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General Motors Company (GM)

NYSE - Nasdaq Real-time price. Currency in USD
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54.94-0.70 (-1.26%)
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  • D
    Darius
    For all the actual investors here. How do you valuate GM?

    I did my valuations assuming that their current business gets taken over by EV and that their margins get hit by a few percentage points. Instead of valuing their current auto business at 0 like some other analysts been saying, I used current numbers and decreased growth rate for revenue to 3% a year in order to let the EV sales catch up.

    For their financial segment I expect a 8.5% growth rate with 5.7% net earnings.

    Cruise, instead of trying to come up with some numbers that we can't verify, I used their current revenue and expected them to grow about 80% a year, which only gave them a combined valuation of $3Bn after 5 years. I know, they are probably going to be worth a lot more, however I want to be conservative.

    BrightDrop, I included in their core auto businesses, just as I did with Ultium batteries.

    P/E ratios I've assigned are: 15-25 on their core auto segment, 25 - 35 on cruise, 10 - 20 on their GM Financial.

    All in all, I got a range for valuations to be from $89.48 on the low, $171 on the base, and $289 on the high end. These valuations are calculated 5 years out. the low of $89.48 aligns with the recent $90 price target from BoA. Their targets are given for annual performance, I always do 5 years as a long term investor.

    I really hope that some of you share the way you do your valuation work and how you put your value on stocks.

    Looking forward to hearing some feedback!
  • B
    Books
    67,000 car recall. Battery module replacement is $2000/car approx so $130 M approx. LG may split costs as they manufactured so let’s say $65M. Will it hurt GM brand? Probably not too much as the new Bolt is a different battery. Also the new EVs are Ultium. We’ve been bit with a slew of bad news but clouds are parting. You will wish you got in at $55
  • s
    scott
    Let it Roll -
    On July 8, Wedbush analyst Daniel Ives touted GM's "game-changing battery technology" and said it's in the best position to challenge Telsa and other EV pureplays such as Nio. Ives started coverage on GM stock with an outperform rating and 85 price target, while giving what seems to be the most full-throated endorsement yet of its EV prospects
  • -
    ------
    Got a great deal on a new gm volt the guy almost gave it away and as a nice surprise

    I got a lifetime supply of marshmallows

    Go figure 🤪
  • S
    Susan
    GM getting more chips.

    Commerce Secretary Gina Raimondo said U.S. automakers are beginning to get more semiconductors after a shortage had dented their production. “You’re starting to see some improvements,” she told Bloomberg. In recent weeks GM CEO Mary Barra have told Raimondo “they’re starting to get a little bit more of what they need,” and the situation is “a little bit better,” she said.

    Best to BUY GM now since increased chip shipments can only mean "MORE GM CAR SALES".
  • D
    DeMan
    Sandy Munro finds huge issue with GM battery packs. Huge fire issue which will cost millions to fix. GM recalls all EVS built the last 2 yrs.
  • s
    scott
    So in a couple years when the EV dust settles will it just be GM, VW, Tesla an Apple standing?

    Seriously I don't see how you can have more than just a few major player in EV production since its so expensive to start up and then you have to have "staying" power to play the game long term. In any case I know 5, 10, 15 years from now GM will be leading the pack or a very, very close second.
  • s
    scott
    Even with today's news GM stock has bottomed at $55. And I mean "BOTTOMED". That tells you "NOW" is a great time to buy since in a week or so battery news will be old news, while GM upcoming quarterly earnings will be impressive. As I see it the future is extremely bright for GM, while shorts like (David) can't see the forest for the trees. Buy the dips people then in a year or so pat yourself on the back when GM stock is flying over $120 plus a share.
  • K
    Ken Ba
    So now I’m selling my 2021 gmc Denali 1500 before it hit that 60k mile warranty expiration.
    And never again buying a GM product.
    Powertrain should last longer then 6000 miles.
  • J
    John
    Today's secret GM story.
    uly 23 (Reuters) - General Motors said on Friday it will add new features, including hands-free automatic lane-changing, to some of its models with Super Cruise driver assistance.

    The automaker will introduce them on six model year 2022 vehicles in the first quarter of next year.

    The features — to be available in vehicles like the Cadillac Escalade and the Chevrolet Silverado — will also include trailering for trucks and SUVs, and an enhanced navigation display.

    Super Cruise will be available on 22 vehicles by 2023, including the GMC Hummer EV SUV, GM said. (Reporting by Sanjana Shivdas "jeye"
  • S
    Steve
    GM issued a second recall on bolt today, likely etiology of GM being red. I see this as a positive, at least it appears they have identified the problem and have a way of fixing it vs ongoing outdoor storage and no overnight charging. Optimistic new Ultium platform won’t have this issue as it’s entirely new battery tech for GM.
  • D
    David
    Gotta love them electric trucks. Selling out everywhere. All my neighbors and friends have sold off every one of their gas powered vehicles and everyone everywhere is driving electric because they are so great!!!! I havent even seen a single gas powered vehicle on the road for months anywhere!
  • S
    Steve
    Timed it perfectly and bought at $54.90. Next week I think we break $60 and then move higher into August 4th earnings.
  • J
    Juan
    GM should announce another (huge) Federal Express BrightDrop order for GM EV600. Question now is will order release come before or after GM upcoming earnings report?

    BrightDrop's EV600 is playing a starring role in a new commercial highlighting FedEx's goal to reach carbon neutrality by 2040. Willie Nelson calls it an "impressive truck" in the ad, and we may soon find out that ties between the companies are much deeper than previously revealed.
  • K
    Ken Ba
    Im sorry but the consumer have the last say , Consumer reports ranks the 1500 Sierra Nevada,s the least reliable truck on the market.
  • M
    Montana Optimist
    $TSLA conversation
    Elon confirmed 4680 delayed, and Maxwell sale acknowledged that dry electrode technology not working. Elon further stated can save the planet "without improvements in Li-Ion Technology" Takeaway
    - will continue with small cells like plaid bag of potatoes battery design.
    - structural design and all 4680 battery day announcements are out of the window.
    -Tesla is way behind on batteries now, will likely have to source batteries from others like CATL in China, probably do the same in US Soon.
    - forget Cybertruck, Semi or any long range vehicle like plaid+ for 2+ years. $TSLA battery will lag others $NIO, $XPEV, $GM, $F, $VWAG and other.
  • B
    Books
    PREDICTION. In the next week FEDEX announces a 1.5B equity investment in Brightdrop at a $15B valuation for unit with a 100k vehicle commitment
  • s
    scott
    (Last One) Let it Roll -
    GM is demonstrating a level of technological and engineering excellence and creativity that support the GM stock investment case. A video of the Hummer EV in CrabWalk mode, allowing it to move diagonally to get through tight off-road spots, went viral last fall. Now GM's Cruise unit is setting the pace among autonomous vehicle entrants in California, where it recently became the first company cleared to give passenger rides with no safety driver on board.
  • s
    scott
    Bottom Line - Next week GM stock moves higher as investors realize EV are the future of all world countries. Large and small. Hope you bought the dips last week because second half of 2021 pushes GM stock price way, way higher.
  • t
    truthbtold
    BrightDrop is going to be HUGE. And look at "new hires"

    GM is adding four new executives to its BrightDrop EV commercial delivery and logistics business, which the company announced in January. The new hires are effective immediately, according to GM:

    Anthony Armenta, formerly Postmates’ vice president of engineering, will be chief technology officer.

    Rachad Youssef, formerly vice president of software product management at Chinese electric vehicle start-up Nio, will be chief product officer.

    Shaluinn Fullove, formerly Lyft’s global head of people for autonomous technology and rideshare platforms, will join as chief people officer.

    Steve Hornyak, formerly chief commercial officer at Fabric, will become chief revenue officer.

    One now has to wonder what BrightDrop might be worth if ever spun off? Which I don't see happening.