- General Motors has increased its full-year adjusted EPS forecast to $9.00 – $10.00, up from its previous forecast of $8.50 – $9.50.
- The company expects its adjusted auto free cash flow to be between $8.5 billion and $10.5 billion, an increase from its earlier prediction of $8 billion to $10 billion.
- Adjusted Ebit is expected to reach from $12.5 billion to $14.5 billion, up from the earlier projection of $12 billion to $14 billion.
- Net income is foreseen to be between $10.1 billion and $11.5 billion, rising from its previous estimate of $9.8 billion to $11.2 billion.
- Automotive net cash provided by operating activities could reach between $18.3 billion and $21.3 billion.
- For the first quarter results, adjusted EPS was recorded at $2.62 compared to $2.21 year upon year.
- Net sales and revenue for the period was $43.01 billion, reflecting a 7.6% increase year upon year.
- Cruise’s net sales and revenue were lower than the estimate at $25 million.
- Automotive segment posted net sales and revenue of $39.21 billion, indicating a 7% growth year over year.
- GM Financial’s net sales and revenue achieved a 14% rise year over year to $3.81 billion.
- North America adjusted Ebit is $3.84 billion, marking a 7.4% growth compared to the previous year.
- Adjusted Ebit achieved $3.87 billion, above the estimated $3.13 billion.
- International operations posted an adjusted Ebit loss of $10 million in contrast to a profit of $347 million last year.
- GM Financial’s adjusted EBT is down 4.4% year over year at $737 million.
- CEO Barra reported that the company is making progress at Cruise and expects improvements in profitability in their EV business.
- CEO also noted that the production of their battery module has increased by 300% over the past six months and expects to double the current capacity by the end of summer.
General Motors on Smartkarma
Analyzing General Motors on Smartkarma, Baptista Research offers insight into the company’s recent earnings. In their report titled “General Motors: Will The EV Battery and Autonomy Growth Opportunities Help Prevent Market Share Losses? – Major Drivers,” Baptista Research highlights both positive and negative aspects of GM’s performance. The report mentions that in 2023, GM emerged as the leading company in vehicle sales in the U.S, experiencing year-over-year sales growth across all brands. This success translated into an increase in GM’s market share in the U.S, supported by stable pricing strategies and incentives below the industry average.
A look at General Motors Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
General Motors Co. is poised for a bright future based on the Smartkarma Smart Scores analysis. With top scores in Value, Growth, and Momentum, the company demonstrates strong potential for long-term success. The Value score of 5 suggests that the company is undervalued relative to its fundamentals, presenting an attractive investment opportunity. Coupled with a solid Growth score of 4, General Motors shows promising potential for expanding its market presence and revenue streams. Additionally, the Momentum score of 5 indicates positive market sentiment and a favorable outlook for the company’s stock performance.
Although General Motors faces challenges in terms of its Dividend and Resilience scores, which are rated lower at 2, the overall Smart Scores paint a optimistic picture for the company’s future. General Motors‘ diversified offerings, including special features for drivers and a global market presence, position it well for sustained growth and profitability in the automotive industry.
Summary: General Motors Co. is a leading manufacturer and marketer of new cars and trucks, offering a wide range of features and services for customers worldwide. With strong Smartkarma Smart Scores in Value, Growth, and Momentum, General Motors is set to capitalize on its strengths and drive continued success in the competitive automotive market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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