Royal Capital Wealth Management LLC purchased a new position in General Motors Company (NYSE:GM – Free Report) (TSE:GMM.U) in the 2nd quarter, HoldingsChannel.com reports. The fund purchased 5,892 shares of the auto manufacturer’s stock, valued at approximately $454,000.
Other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Laurel Wealth Advisors LLC purchased a new position in General Motors in the 4th quarter valued at about $25,000. Evergreen Advisors LLC acquired a new stake in General Motors in the 1st quarter worth about $26,000. SouthState Bank Corp increased its stake in General Motors by 101.7% during the 4th quarter. SouthState Bank Corp now owns 351 shares of the auto manufacturer’s stock worth $29,000 after buying an additional 177 shares in the last quarter. Kelleher Financial Advisors acquired a new position in shares of General Motors during the third quarter valued at approximately $29,000. Finally, Kemnay Advisory Services Inc. acquired a new position in shares of General Motors during the fourth quarter valued at approximately $30,000. 92.67% of the stock is owned by hedge funds and other institutional investors.
Key Stories Impacting General Motors
Here are the key news stories impacting General Motors this week:
- Positive Sentiment: GM and Unifor reached tentative agreements that include pay increases, reducing the risk of a labor disruption at Canadian operations. However, higher wages could increase manufacturing costs. GM, Unifor reach tentative agreements with pay hikes
- Positive Sentiment: GM’s purchasing facility of up to $4.5 billion with Procura Auto Parts is intended to secure critical components during future supply-chain disruptions, potentially improving production resilience. GM spends $4.5 billion on chips
- Neutral Sentiment: GM launched a Stars, Stripes, and Skilled Trades initiative supporting veterans and military families. The program may strengthen recruiting and corporate branding but is unlikely to materially affect near-term earnings. General Motors launches Stars, Stripes, and Skilled Trades initiative
- Neutral Sentiment: Reports that GM is considering a Chevrolet Volt successor highlight a possible response to stronger plug-in hybrid demand, but the product’s timing, investment and profitability remain uncertain. As Toyota RAV4 Plug-In Surges, GM Eyes a Chevy Volt Sequel
- Negative Sentiment: NHTSA expanded its investigation into GM’s eBoost electronic braking system to more than 1.1 million vehicles following hundreds of reports, more than 20 crashes or fires and at least six injuries. Potential recalls, repairs, litigation and reputational damage are key risks, including for some GM EVs built with Honda. GM vehicles under federal scrutiny after hundreds of reports
- Negative Sentiment: The U.S. decision to impose 50% tariffs on Canadian auto imports, following a breakdown in trade talks, could raise GM’s parts and vehicle costs because of its integrated North American supply chain and pressure margins. Trump wants to protect U.S. auto makers
- Negative Sentiment: NHTSA is also examining reports that fixes for GM’s 6.2-liter L87 V8 recall may not have prevented additional engine failures, increasing possible warranty and recall liabilities. GM’s 6.2L V8 recall fix may not have worked
General Motors Trading Down 1.1%
General Motors (NYSE:GM – Get Free Report) (TSE:GMM.U) last posted its quarterly earnings results on Tuesday, July 21st. The auto manufacturer reported $3.57 EPS for the quarter, beating the consensus estimate of $3.19 by $0.38. The firm had revenue of $48.03 billion during the quarter, compared to analysts’ expectations of $47.01 billion. General Motors had a return on equity of 18.18% and a net margin of 1.05%.The business’s revenue for the quarter was up 1.9% on a year-over-year basis. During the same quarter last year, the firm earned $2.53 earnings per share. General Motors has set its FY 2026 guidance at 12.000-14.000 EPS. Analysts predict that General Motors Company will post 13.29 EPS for the current fiscal year.
General Motors Announces Dividend
The company also recently declared a quarterly dividend, which will be paid on Thursday, September 17th. Stockholders of record on Friday, September 4th will be given a dividend of $0.18 per share. The ex-dividend date of this dividend is Friday, September 4th. This represents a $0.72 annualized dividend and a dividend yield of 0.8%. General Motors’s payout ratio is presently 36.36%.
Analysts Set New Price Targets
GM has been the topic of a number of research analyst reports. Wells Fargo & Company lifted their price target on General Motors from $60.00 to $61.00 and gave the stock an “underweight” rating in a research note on Wednesday, July 22nd. Morgan Stanley increased their price objective on General Motors from $100.00 to $101.00 and gave the company an “overweight” rating in a research note on Wednesday, July 22nd. Barclays raised their price objective on General Motors from $105.00 to $110.00 and gave the company an “overweight” rating in a report on Wednesday, July 22nd. Benchmark reaffirmed a “buy” rating on shares of General Motors in a research note on Tuesday, July 21st. Finally, Wall Street Zen raised shares of General Motors from a “hold” rating to a “buy” rating in a report on Saturday, May 2nd. One analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, General Motors presently has a consensus rating of “Moderate Buy” and a consensus price target of $101.41.
Insider Transactions at General Motors
In related news, CEO Mary T. Barra sold 318,448 shares of the firm’s stock in a transaction dated Tuesday, July 28th. The shares were sold at an average price of $90.38, for a total transaction of $28,781,330.24. Following the completion of the sale, the chief executive officer directly owned 428,994 shares in the company, valued at approximately $38,772,477.72. This trade represents a 42.61% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Grant Michael Dixton sold 40,000 shares of General Motors stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $88.44, for a total transaction of $3,537,600.00. Following the transaction, the executive vice president directly owned 54,992 shares in the company, valued at $4,863,492.48. This trade represents a 42.11% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 1,026,010 shares of company stock valued at $89,080,261 in the last three months. 0.44% of the stock is currently owned by corporate insiders.
General Motors Company Profile
General Motors Company (NYSE: GM) is a global automotive manufacturer headquartered in Detroit, Michigan, that designs, builds and sells cars, trucks, crossovers and electric vehicles, and provides related parts and services. Founded in 1908, GM has long been one of the world’s largest automakers and has evolved into a multi-brand company whose primary marques include Chevrolet, GMC, Cadillac and Buick. Beyond vehicle manufacturing, GM’s operations encompass vehicle financing, connected services and advanced mobility initiatives.
GM develops and markets a broad portfolio of products and technologies, including internal-combustion and battery-electric vehicles, vehicle components and on-board connectivity services.
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