General Motors (NYSE:GM) Shares Gap Down to $48.88

General Motors (NYSE:GM) (TSE:GMM.U) gapped down before the market opened on Monday . The stock had previously closed at $48.88, but opened at $47.60. General Motors shares last traded at $47.34, with a volume of 1,853,377 shares.

Analyst Ratings Changes

A number of equities analysts have weighed in on GM shares. StockNews.com lowered shares of General Motors from a “buy” rating to a “hold” rating in a research report on Wednesday, July 24th. Wells Fargo & Company cut their price target on General Motors from $34.00 to $33.00 and set an “underweight” rating for the company in a research note on Tuesday, September 10th. Nomura lowered General Motors from a “neutral” rating to a “reduce” rating and set a $34.00 price objective for the company. in a research note on Monday, August 5th. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and set a $53.00 target price on shares of General Motors in a research note on Tuesday, September 10th. Finally, Wedbush restated an “outperform” rating and issued a $55.00 price target on shares of General Motors in a research note on Wednesday, July 24th. Three equities research analysts have rated the stock with a sell rating, seven have given a hold rating, eleven have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $55.17.

General Motors Price Performance

The firm has a market capitalization of $53.89 billion, a P/E ratio of 5.78, a price-to-earnings-growth ratio of 0.52 and a beta of 1.43. The company has a current ratio of 1.18, a quick ratio of 0.99 and a debt-to-equity ratio of 1.23. The firm has a 50 day moving average price of $46.28 and a 200-day moving average price of $45.29.

General Motors (NYSE:GM) (TSE:GMM.U) last issued its quarterly earnings results on Tuesday, July 23rd. The auto manufacturer reported $3.06 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.67 by $0.39. General Motors had a return on equity of 15.77% and a net margin of 6.22%. The company had revenue of $47.97 billion during the quarter, compared to the consensus estimate of $45.13 billion. During the same period last year, the company earned $1.91 earnings per share. General Motors’s revenue was up 7.2% on a year-over-year basis. On average, analysts expect that General Motors will post 9.95 earnings per share for the current year.

General Motors Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, September 19th. Investors of record on Friday, September 6th were issued a dividend of $0.12 per share. The ex-dividend date of this dividend was Friday, September 6th. This represents a $0.48 annualized dividend and a yield of 1.02%. General Motors’s payout ratio is 5.87%.

General Motors announced that its Board of Directors has initiated a stock buyback program on Tuesday, June 11th that permits the company to repurchase $6.00 billion in shares. This repurchase authorization permits the auto manufacturer to reacquire up to 10.8% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board of directors believes its shares are undervalued.

Insiders Place Their Bets

In related news, EVP Rory Harvey sold 2,302 shares of the business’s stock in a transaction on Friday, August 23rd. The stock was sold at an average price of $47.31, for a total transaction of $108,907.62. Following the completion of the transaction, the executive vice president now owns 10,356 shares in the company, valued at approximately $489,942.36. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. In related news, CFO Paul A. Jacobson bought 25,000 shares of the stock in a transaction on Friday, July 26th. The stock was bought at an average price of $44.11 per share, for a total transaction of $1,102,750.00. Following the completion of the acquisition, the chief financial officer now directly owns 261,872 shares in the company, valued at $11,551,173.92. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Rory Harvey sold 2,302 shares of General Motors stock in a transaction dated Friday, August 23rd. The shares were sold at an average price of $47.31, for a total value of $108,907.62. Following the completion of the transaction, the executive vice president now owns 10,356 shares in the company, valued at approximately $489,942.36. The disclosure for this sale can be found here. 0.72% of the stock is owned by insiders.

Institutional Trading of General Motors

Institutional investors have recently modified their holdings of the company. LifeSteps Financial Inc. purchased a new position in General Motors during the 1st quarter worth $25,000. Strategic Investment Solutions Inc. IL acquired a new position in shares of General Motors during the second quarter valued at about $25,000. Wellington Shields Capital Management LLC purchased a new position in shares of General Motors in the 2nd quarter valued at approximately $28,000. Fortitude Family Office LLC boosted its stake in General Motors by 56.1% in the 2nd quarter. Fortitude Family Office LLC now owns 626 shares of the auto manufacturer’s stock worth $29,000 after purchasing an additional 225 shares in the last quarter. Finally, Cape Investment Advisory Inc. grew its position in General Motors by 75.9% during the 4th quarter. Cape Investment Advisory Inc. now owns 832 shares of the auto manufacturer’s stock worth $30,000 after purchasing an additional 359 shares during the last quarter. 92.67% of the stock is currently owned by institutional investors.

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.