Stock Price & Analysis

Based on the provided data and recent market developments, here's a concise analysis of GM stock:

Technical Analysis

The stock is showing bearish signals, currently trading at $50.97 with significant resistance around $54-55 level. The stock has broken below key support levels and appears to be in a downtrend.

Recent Developments

1. Legal Issues: The EEOC has just filed a lawsuit against GM and UAW for age discrimination regarding disability payments. This could potentially impact the company's reputation and finances.

2. China Market Challenges: GM continues facing significant challenges in China, with expected full-year sales decline of 14% despite a 40% increase in Q4 2024 sales. The price war with heavily subsidized domestic EV brands remains a major concern.

3. Valuation Analysis: GM is currently trading at approximately 5x forward earnings, indicating it may be undervalued compared to industry peers. However, this low multiple might reflect market concerns about the company's future growth prospects.

Analyst Perspective

Recent analyst ratings show mixed sentiment. UBS maintains a Strong Buy rating with a price target of $64, citing potential positive North America production revisions. However, Wells Fargo maintains a Sell rating with a $35 price target, expressing concerns about price and volume risks.

Recommendation

Based on the technical weakness, mounting legal challenges, and ongoing operational headwinds in China, it would be prudent to sell GM stock at current levels. While the valuation appears attractive, the multiple risks and negative technical momentum suggest further downside potential.

Based on the provided data and context, here's the analysis for GM's stock price prediction in 2025:

Technical Analysis

The current technical indicators show:

• RSI at 44.61 indicates neutral momentum but slightly leaning towards oversold territory
• MACD at -0.56 suggests bearish short-term momentum
• Price is trading below both 20-day (51.92) and 60-day (53.40) moving averages, indicating bearish trend

Fundamental Factors

• GM faces significant challenges in China with declining profits and market share due to intense EV price competition
• The company is implementing a $10 billion cost reduction plan including a 15% workforce reduction to improve efficiency
• Recent lawsuit from EEOC regarding age discrimination could impact company reputation and finances

Price Target 2025 Based on the technical and fundamental analysis, GM stock is expected to reach $54-56 by end of 2025. This target is supported by:

1. Fibonacci resistance levels showing key resistance at $53.64 and $54.91
2. Strong fundamentals with Q4 2024 earnings expected at $1.75 per share, up 41.1% year-over-year
3. Cost-cutting initiatives expected to improve profitability, though China market challenges remain a headwind

Note: This prediction is based on current market conditions and available information. Market conditions can change rapidly, affecting stock performance. Investors should conduct their own research and consider their risk tolerance before making investment decisions.

The S1 support level for GM Stock is $49.74 ,The R1 resistant level for GM Stock is $54.01.

As of the end of day on 2025-01-24, the price of GM Stock was $53.95.

The target price for GM Stock according to analyst rating is 58.21, with the highest price target at 85.00 and the lowest at 35.00. Analysts have a Moderate Buy rating on GM Stock overall.

The market cap of GM is $59.3B.

Based on the provided data and current market conditions, here's a concise analysis of GM's valuation:

Current Valuation Metrics GM is trading at attractive multiples with a P/E of 4.78, EV/EBITDA of 5.89, and P/S of 0.29 for Q3 2024, indicating the stock appears significantly undervalued compared to market averages.

Recent Price Action The stock closed at $50.97 on January 17, 2025, showing a -1.68% decline in regular trading hours, though it recovered slightly with a +0.26% gain in post-market trading.

Analyst Consensus Recent analyst ratings show mixed but generally positive sentiment, with UBS maintaining a Strong Buy rating and raising their price target to $64, suggesting a 23.46% upside potential. However, Wells Fargo maintains a Sell rating with a $35 price target, highlighting some market concerns.

Key Risks The NHTSA has opened an investigation into potential engine failures affecting 870,000 GM vehicles, which could impact near-term sentiment. Additionally, the company faces challenges in China and is currently involved in an age discrimination lawsuit.

Based on these factors, GM appears undervalued at current levels, with strong analyst support and attractive valuation metrics despite some operational challenges.

General Motors Company designs, builds and sells trucks, crossovers, cars and automobile parts and provides software-enabled services and subscriptions worldwide. The Company provides automotive financing services through its General Motors Financial Company, Inc. (GM Financial) segment. GM North America (GMNA) and GM International (GMI) develop, manufacture and/or markets vehicles under the Buick, Cadillac, Chevrolet and GMC brands. The Company's segments include GMNA, GMI, Cruise and GM Financial. Its Cruise segment is engaged in the development and commercialization of autonomous vehicle technology. Its software-enabled services and subscriptions, including OnStar, our advanced driver-assistance systems (ADAS), including Super Cruise driver assistance technology, and its end-to-end software platform. The Company is also focused on investing in electric vehicles (EVs) and AVs, software-enabled services and subscriptions and new business opportunities.

Based on the provided data and market context, here is a price prediction analysis for GM stock by 2030:

GM stock is projected to reach approximately $85-90 by 2030, driven by the company's strong fundamentals and strategic positioning in the auto industry. The forecast is supported by GM's successful cost-cutting initiatives, robust demand for trucks/SUVs, and progress in EV development. However, challenges in the Chinese market and increasing competition in the EV space could create headwinds for this target.

GM has a total of 163000 employees.