Comparing General Motors (NYSE:GM) and Hyundai Motor (OTCMKTS:HYMTF)

General Motors (NYSE:GM) and Hyundai Motor (OTCMKTS:HYMTF) are both consumer cyclical companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, risk, valuation, analyst recommendations, profitability, institutional ownership and earnings.

Valuation & Earnings

This table compares General Motors and Hyundai Motor”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
General Motors	$178.09 billion	0.34	$10.13 billion	$8.18	6.57
Hyundai Motor	N/A	N/A	N/A	$15,720.50	0.00

General Motors has higher revenue and earnings than Hyundai Motor. Hyundai Motor is trading at a lower price-to-earnings ratio than General Motors, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares General Motors and Hyundai Motor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
General Motors	6.22%	15.77%	4.09%
Hyundai Motor	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current recommendations and price targets for General Motors and Hyundai Motor, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
General Motors	4	6	11	1	2.41
Hyundai Motor	0	0	0	0	N/A

General Motors presently has a consensus target price of $55.35, indicating a potential upside of 3.01%. Given General Motors’ higher possible upside, equities research analysts plainly believe General Motors is more favorable than Hyundai Motor.

Insider and Institutional Ownership

92.7% of General Motors shares are held by institutional investors. Comparatively, 0.1% of Hyundai Motor shares are held by institutional investors. 0.7% of General Motors shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Dividends

General Motors pays an annual dividend of $0.48 per share and has a dividend yield of 0.9%. Hyundai Motor pays an annual dividend of $1,013.16 per share and has a dividend yield of 1,682.4%. General Motors pays out 5.9% of its earnings in the form of a dividend. Hyundai Motor pays out 6.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Summary

General Motors beats Hyundai Motor on 11 of the 13 factors compared between the two stocks.

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. In addition, the company sells trucks, crossovers, cars, and automobile parts through retail dealers, and distributors and dealers, as well as to fleet customers, including daily rental car companies, commercial fleet customers, leasing companies, and governments. Further, it offers range of after-sale services through dealer network, such as maintenance, light repairs, collision repairs, vehicle accessories, and extended service warranties. Additionally, the company provides automotive financing; and software-enabled services and subscriptions. General Motors Company was founded in 1908 and is headquartered in Detroit, Michigan.

About Hyundai Motor

Hyundai Motor Company, together with its subsidiaries, manufactures and distributes motor vehicles and parts worldwide. It operates through Vehicle, Finance, and Others segments. The company offers cars under the AZERA, SONATA, VELOSTER, i30, ELANTRA, ACCENT, i20, and i10 names; SUVs under the TUCSON, SANTA FE, KONA, PALISADE, CRETA, and VENUE names; commercial vehicles under the STARIA, H-1, and H-100 names; and eco vehicles under the IONIQ 6, IONIQ 5, NEXO, SANTA FE Hybrid, SONATA Hybrid, AZERA Hybrid, KONA Electric, IONIQ Plug-in Hybrid, IONIQ Electric, IONIQ Hybrid, and i30 Hybrid names. It also provides trucks and vans; vehicle financing, credit card processing, and other financing activities; train manufacturing services and other activities; and marketing, engineering, transport, mobility, and insurance services, as well as operates a football club. Further, it is involved in real estate development; research and development; and investment activities. Hyundai Motor Company was incorporated in 1967 and is headquartered in Seoul, South Korea.