The latest trading session saw General Motors (GM – Free Report) ending at $54.28, denoting a +0.18% adjustment from its last day’s close. This change outpaced the S&P 500’s 1.11% loss on the day. Elsewhere, the Dow lost 0.77%, while the tech-heavy Nasdaq lost 1.49%.
The an automotive manufacturer’s shares have seen a decrease of 2.38% over the last month, not keeping up with the Auto-Tires-Trucks sector’s gain of 21.83% and the S&P 500’s gain of 0.4%.
Analysts and investors alike will be keeping a close eye on the performance of General Motors in its upcoming earnings disclosure. The company’s earnings report is set to go public on January 28, 2025. It is anticipated that the company will report an EPS of $1.74, marking a 40.32% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $43.66 billion, up 1.58% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $10.34 per share and a revenue of $182.3 billion, representing changes of +34.64% and +6.08%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for General Motors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.06% decrease. General Motors is currently sporting a Zacks Rank of #3 (Hold).
From a valuation perspective, General Motors is currently exchanging hands at a Forward P/E ratio of 5.24. This signifies a discount in comparison to the average Forward P/E of 11.81 for its industry.
We can also see that GM currently has a PEG ratio of 0.41. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company’s expected earnings growth rate. By the end of yesterday’s trading, the Automotive – Domestic industry had an average PEG ratio of 1.76.
The Automotive – Domestic industry is part of the Auto-Tires-Trucks sector. With its current Zacks Industry Rank of 169, this industry ranks in the bottom 33% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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