GM Valuation

<div class='circular--portrait' style='background:#347AFC;color: #ffffff;font-size:4em;padding-top: 25px;;'>GM</div>
GM -- USA Stock  

Report: 29th of July 2020  

What is the enterprise value of GM? GM Net Cash Flow from Operations is considerably stable at the moment as compared to the past year. The company's current value of Net Cash Flow from Operations is estimated at about 15.1 Billion. Effect of Exchange Rate Changes on Cash is projected to rise to about 2.2 M this year, although the value of Cash and Equivalents Turnover will most likely fall to 5.28. General Motors retains a regular Real Value of $30.37 per share. The prevalent price of the firm is $23.42. At this time, the firm appears to be undervalued. Our model calculates the value of General Motors from evaluating the firm fundamentals such as return on asset of 1.69 %, return on equity of 10.81 %, and current valuation of 134.13 B as well as inspecting its technical indicators and Probability Of Bankruptcy. In general, we encourage acquiring undervalued assets and dropping overvalued assets since, at some point, asset prices and their ongoing real values will come together.

Search Valuation

 
Refresh
GM Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as GM's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.
Undervalued
Today
23.42
9th of July 2020
30.37
Real Value
34.03
Upside
GM is not too volatile asset. Calculation of real value of General Motors is based on 3 months time horizon. Increasing General Motors time horizon generally increases accuracy of value calculation and significantly improves predictive power of the methodology used.
Earnings
Estimates (6)
LowProjected EPSHigh
-0.851.512.49
Details
Hype
Prediction
LowEstimated ValueHigh
19.6523.3126.97
Details
11 Analysts
Consensus
LowTarget PriceHigh
23.0035.7053.00
Details

  GM Investments

GM Valuation Drivers Correlation

Many accounts on the financial statements of General Motors are highly interrelated and sometimes correlated. Consequently, when conducting GM's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of GM
Click cells to compare fundamentals   View All Correlations

GM Market Cap

General Motors is rated # 5 in market capitalization category among related companies. Market capitalization of Auto Manufacturers industry is currently estimated at about 354.51 Billion. GM holds roughly 33.52 Billion in market capitalization claiming about 9% of stocks in Auto Manufacturers industry.
Capitalization  Total debt  Revenue  Valuation  Workforce

GM Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining GM's current stock value. Our valuation model uses many indicators to compare GM value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across GM competition to find correlations between indicators driving GM's intrinsic value. More Info.
General Motors is rated # 5 in last dividend paid category among related companies. It is rated # 5 in beta category among related companies totaling about  3.74  of Beta per Last Dividend Paid.

About GM Valuation

The Macroaxis Equity Valuation Mechanism determines the current worth of General Motors on a weekly bases. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of General Motors. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of General Motors based exclusively on its fundamental and basic technical indicators. By analyzing GM's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of GM's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of GM. We calculate exposure to GM's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to GM's related companies.
Last ReportedProjected for 2020
Gross Profit14 B14.1 B
Profit Margin 0.048  0.0465 
General Motors Company designs, builds, and sells cars, trucks, crossovers, and automobile parts 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, Holden, Baojun, and Wuling brand names. The company also sells trucks, crossovers, and cars to dealers for consumer retail sales, as well as to fleet customers, including daily rental car companies, commercial fleet customers, leasing companies, and governments. In addition, it offers safety and security services for retail and fleet customers, including automatic crash response, emergency services, crisis assist, stolen vehicle assistance, roadside assistance, and turn-by-turn navigation, as well as connected services comprising mobile applications for owners to remotely control their vehicles and electric vehicle owners to locate charging stations, on-demand vehicle diagnostics, smart driver, marketplace in-vehicle commerce, connected navigation, SiriusXM with 360L, and 4G LTE wireless connectivity. Further, the company provides automotive financing services and operates an online new vehicle store. General Motors Company was founded in 1908 and is headquartered in Detroit, Michigan.

GM Dividends Analysis For Valuation

GM Preferred Dividends Income Statement Impact is considerably stable at the moment as compared to the past year. The company's current value of Preferred Dividends Income Statement Impact is estimated at about 154.97 Million. Dividend Yield is projected to rise to 0.0456 this year, although the value of Payment of Dividends and Other Cash Distributions will most likely fall to (2.5 B). . The current value of Accumulated Retained Earnings Deficit is projected to fall to about 23.4 B. The current value of Earning Before Interest and Taxes EBIT is projected to fall to about 7.2 B
Last ReportedProjected for 2020
Preferred Dividends Income Statement Impact151 M155 M
Payment of Dividends and Other Cash Distributions-2.4 B-2.5 B
Dividend Yield 0.042  0.0456 
Dividends per Basic Common Share 1.75  1.75 
There are various types of dividends GM can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of GM shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from General Motors directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When GM pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of GM by the value of the dividends paid out.

GM Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as GM does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio0.88
Earnings Quarterly Growth-86.40%
Revenue Growth-6.20%
Payout Ratio46.63%
Enterprise Value To Ebitda11.20
Earnings Growth-88.50%
Enterprise Value To Revenue0.99

GM Current Valuation Indicators

Valuation refers to the process of determining the present value of General Motors and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value GM we look at many different elements of the entity such as GM's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Book Value per Share
Enterprise Value over EBIT
Enterprise Value over EBITDA
Price to Book Value
Please check Risk vs Return Analysis. Please also try Pattern Recognition module to use different pattern recognition models to time the market across multiple global exchanges.
Macroaxis is not a registered investment advisor or broker/dealer. All investments, including stocks, funds, ETFs, or cryptocurrencies, are speculative and involve substantial risk of loss. We encourage our investors to invest carefully. Much of our information is derived directly from data published by companies or submitted to governmental agencies which we believe are reliable, but are without our independent verification. Therefore, we cannot assure you that the information is accurate or complete. We do not in any way warrant or guarantee the success of any action you take in reliance on our statements or recommendations. Also, note that past performance is not necessarily indicative of future results. All investments carry risk, and all investment decisions of an individual remain the responsibility of that individual. There is no guarantee that systems, indicators, or signals will result in profits or that they will not result in losses. All investors are advised to fully understand all risks associated with any investing they choose to do. Hypothetical or simulated performance is not indicative of future results. We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown because hypothetical or simulated performance is not necessarily indicative of future results. For more information please visit our terms and condition page