GM Valuation

General Motors Co

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52.110

0(0.000%)1D

Overview
Forecast
Valuation
Earnings

GM Relative Valuation

GM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, GM is overvalued; if below, it's undervalued.

Historical Valuation

General Motors Co (GM) is now in the Fair zone, suggesting that its current forward PE ratio of 5.80 is considered Fairly compared with the five-year average of 5.98. The fair price of General Motors Co (GM) is between 43.82 to 69.28 according to relative valuation methord.

Relative Value

Fair Zone

43.82-69.28

Current Price：52.11

Fair

5.86

Trailing

Forward

7.96

EV/EBITDA

General Motors Co. (GM) has a current EV/EBITDA of 7.96. The 5-year average EV/EBITDA is 6.74. The thresholds are as follows: Strongly Undervalued below 5.32, Undervalued between 5.32 and 6.03, Fairly Valued between 7.45 and 6.03, Overvalued between 7.45 and 8.16, and Strongly Overvalued above 8.16. The current Forward EV/EBITDA of 7.96 falls within the Overvalued range.

15.11

EV/EBIT

General Motors Co. (GM) has a current EV/EBIT of 15.11. The 5-year average EV/EBIT is 12.27. The thresholds are as follows: Strongly Undervalued below 10.01, Undervalued between 10.01 and 11.14, Fairly Valued between 13.40 and 11.14, Overvalued between 13.40 and 14.53, and Strongly Overvalued above 14.53. The current Forward EV/EBIT of 15.11 falls within the Strongly Overvalued range.

0.28

General Motors Co. (GM) has a current PS of 0.28. The 5-year average PS is 0.37. The thresholds are as follows: Strongly Undervalued below 0.13, Undervalued between 0.13 and 0.25, Fairly Valued between 0.49 and 0.25, Overvalued between 0.49 and 0.61, and Strongly Overvalued above 0.61. The current Forward PS of 0.28 falls within the Historic Trend Line -Fairly Valued range.

2.93

P/OCF

General Motors Co. (GM) has a current P/OCF of 2.93. The 5-year average P/OCF is 3.51. The thresholds are as follows: Strongly Undervalued below 0.67, Undervalued between 0.67 and 2.09, Fairly Valued between 4.94 and 2.09, Overvalued between 4.94 and 6.36, and Strongly Overvalued above 6.36. The current Forward P/OCF of 2.93 falls within the Historic Trend Line -Fairly Valued range.

6.91

P/FCF

General Motors Co. (GM) has a current P/FCF of 6.91. The 5-year average P/FCF is 12.20. The thresholds are as follows: Strongly Undervalued below -14.52, Undervalued between -14.52 and -1.16, Fairly Valued between 25.55 and -1.16, Overvalued between 25.55 and 38.91, and Strongly Overvalued above 38.91. The current Forward P/FCF of 6.91 falls within the Historic Trend Line -Fairly Valued range.

General Motors Co (GM) has a current Price-to-Book (P/B) ratio of 0.75. Compared to its 3-year average P/B ratio of 0.74 , the current P/B ratio is approximately 0.96% higher. Relative to its 5-year average P/B ratio of 0.99, the current P/B ratio is about -24.32% higher. General Motors Co (GM) has a Forward Free Cash Flow (FCF) yield of approximately 28.57%. Compared to its 3-year average FCF yield of 18.42%, the current FCF yield is approximately 55.07% lower. Relative to its 5-year average FCF yield of 16.56% , the current FCF yield is about 72.51% lower.

0.76

P/B

Median3y

0.74

Median5y

0.99

29.30

FCF Yield

Median3y

18.42

Median5y

16.56

Competitors Valuation Multiple

The average P/S ratio for GM's competitors is 1.23, providing a benchmark for relative valuation. General Motors Co Corp (GM) exhibits a P/S ratio of 0.28, which is -77.18% above the industry average. Given its robust revenue growth of -1.77%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Rivian Automotive Inc

Performance Decomposition

Market capitalization of GM increased by 18.14% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 5.53 to 8.45.

The secondary factor is the Revenue Growth, contributed -1.77%to the performance.

Overall, the performance of GM in the past 1 year is driven by P/E Change. Which is more unsustainable.

-1.77%

47.97B → 47.12B

Revenue Growth

-32.89%

5.99 → 4.02

Margin Expansion

52.80%

5.53 → 8.45

P/E Change

18.14%