General Motors (NYSE:GM) Posts Quarterly Earnings Results, Beats Expectations By $0.39 EPS

General Motors (NYSE:GM) (TSE:GMM.U) issued its earnings results on Tuesday. The auto manufacturer reported $3.06 earnings per share for the quarter, topping the consensus estimate of $2.67 by $0.39, RTT News reports. The business had revenue of $47.97 billion for the quarter, compared to analyst estimates of $45.13 billion. General Motors had a return on equity of 15.77% and a net margin of 6.22%. The business’s quarterly revenue was up 7.2% on a year-over-year basis. During the same quarter last year, the company earned $1.91 EPS. General Motors updated its FY 2024 guidance to 9.500-10.500 EPS and its FY24 guidance to $9.50-10.50 EPS.

General Motors Stock Down 0.1 %

Shares of NYSE GM traded down $0.06 on Friday, hitting $44.07. The company had a trading volume of 11,915,935 shares, compared to its average volume of 15,973,956. The company has a quick ratio of 0.97, a current ratio of 1.18 and a debt-to-equity ratio of 1.23. General Motors has a 12-month low of $26.30 and a 12-month high of $50.50. The firm has a market capitalization of $49.53 billion, a P/E ratio of 5.39, a PEG ratio of 0.49 and a beta of 1.43. The business has a 50 day moving average of $46.52 and a two-hundred day moving average of $42.91.

General Motors Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 19th. Stockholders of record on Friday, September 6th will be issued a $0.12 dividend. The ex-dividend date is Friday, September 6th. This represents a $0.48 dividend on an annualized basis and a dividend yield of 1.09%. General Motors’s dividend payout ratio (DPR) is 5.87%.

General Motors announced that its Board of Directors has approved a share buyback plan on Tuesday, June 11th that allows the company to repurchase $6.00 billion in shares. This repurchase authorization allows the auto manufacturer to buy up to 10.8% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s leadership believes its shares are undervalued.

Analyst Ratings Changes

A number of research analysts recently issued reports on GM shares. JPMorgan Chase & Co. raised their price target on General Motors from $60.00 to $61.00 and gave the stock an “overweight” rating in a research note on Wednesday. StockNews.com downgraded General Motors from a “buy” rating to a “hold” rating in a research note on Wednesday. Wedbush reiterated an “outperform” rating and issued a $55.00 target price on shares of General Motors in a research note on Wednesday. Royal Bank of Canada lifted their target price on General Motors from $54.00 to $56.00 and gave the company an “overweight” rating in a research note on Tuesday, April 23rd. Finally, Mizuho lifted their target price on General Motors from $48.00 to $52.00 and gave the company a “buy” rating in a research note on Wednesday, April 24th. One investment analyst has rated the stock with a sell rating, five have assigned a hold rating, thirteen have assigned a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $56.38.

Insider Activity

In other news, CEO Mary T. Barra sold 326,305 shares of the stock in a transaction dated Tuesday, June 11th. The stock was sold at an average price of $48.33, for a total value of $15,770,320.65. Following the completion of the sale, the chief executive officer now owns 898,648 shares in the company, valued at $43,431,657.84. The transaction was disclosed in a legal filing with the SEC, which is available through this link. In other General Motors news, CEO Mary T. Barra sold 626,316 shares of the stock in a transaction that occurred on Tuesday, May 28th. The stock was sold at an average price of $43.46, for a total transaction of $27,219,693.36. Following the transaction, the chief executive officer now owns 1,198,648 shares of the company’s stock, valued at approximately $52,093,242.08. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, CEO Mary T. Barra sold 326,305 shares of the stock in a transaction that occurred on Tuesday, June 11th. The stock was sold at an average price of $48.33, for a total value of $15,770,320.65. Following the transaction, the chief executive officer now directly owns 898,648 shares in the company, valued at approximately $43,431,657.84. The disclosure for this sale can be found here. Over the last quarter, insiders sold 1,152,621 shares of company stock worth $51,818,111. 0.72% of the stock is currently owned by corporate insiders.

About General Motors

General Motors Company designs, builds, and sells trucks, crossovers, cars, and automobile parts; and provide software-enabled services and subscriptions worldwide. The company operates through GM North America, GM International, Cruise, and GM Financial segments. It markets its vehicles primarily under the Buick, Cadillac, Chevrolet, GMC, Baojun, and Wuling brand names.