General Motors (New York Stock Exchange: GM) sells durable cars and trucks. But the GM stock he won’t be as durable as General Motors’ cars in 2022. Nonetheless, I’m bullish on General Motors stock as it managed to contend for the number one position in US car sales, despite many macroeconomic challenges. .
General Motors is one of Detroit’s most established and well-known automakers. But the company has had to deal with the same problems other American car companies have in his 2022. Inflation, recession fears, and high interest rates that make car payments more difficult.
These factors, combined with inventory shortages, pushed U.S. auto sales down 8% last year from a year earlier. But despite these challenges, General Motors veered into the fast lane and overtook its competitors. Additionally, General Motors is promoting an electric vehicle (EV) initiative that will impress both environmentalists and investors.
GM stock is grossly undervalued
Before we get to General Motors’ astounding performance, it’s important to first pass on a few key statistics. It shows that it is a bargain on the market.
Additionally, General Motors pays an annual dividend yield of 0.53%. Also, if you like financial statements, please check here. General Motors’ next quarterly earnings report is scheduled for January 31st. With one exception, the company has beaten all of his Wall Street quarterly EPS forecasts since late 2020.
Despite its impressive performance, GM stock is much closer to its 52-week low ($30.33) than its 52-week high ($63.91). It’s rare to find a bargain like this for an iconic American automaker.
It’s official: General Motors was the number one U.S. car dealer in 2022
This is more than just an interesting trivia you can teach your friends at a party. General Motors beating out all its competitors to reclaim the top spot in US car sales in 2022 is truly an amazing feat.
it is. General Motors received its title from Japanese automaker Toyota Motor Corporation (New York Stock Exchange: TM) sold the most cars in the United States last year. This is a big point of pride for General Motors, which has held the top spot since 1931 but relinquished it to Toyota at the end of 2021.
It’s also worth noting that General Motors posted 41% growth in US new car sales in Q4 2022. Clearly, General Motors is thriving despite the aforementioned macro-level challenges, as this is far better than his 13% growth for Toyota in that space.
GM stocks should not be ignored EV investment
Despite General Motors’ notable U.S. sales milestones and super low prices, EV enthusiasts may need more information before jumping into the deal. After all, General Motors offers investors several reasons to put GM stock on their watchlist.
For one, General Motors expects its North American EV portfolio to be profitable in 2025, which isn’t too far off. General Motors has already expanded its North American EV production capacity to more than 1 million vehicles per year.
Additionally, General Motors has just launched a dealer community charging program. To kick off the program, General Motors oversaw the installation of “the first community charging stations in Wisconsin and Michigan,” according to a press release. This is important because major automakers should not just offer EVs without promoting the availability of EV infrastructure.
In addition, General Motors, along with Canadian Prime Minister Justin Trudeau and Ontario Prime Minister Doug Ford, joined vehicle electrification experts Bright Drop to open “Canada’s first full-scale electric vehicle manufacturing plant.” bottom. This shows General Motors has his EV industry ambitions beyond the border, along with support from senior Canadian government officials.
Is GM Stock a Buy, According to Analysts?
Looking at Wall Street, GM is a moderate buy based on a rating of 7 buys, 6 holds, and 2 sells. General Motors’ average price target is $42.62, suggesting a 21.8% upside potential.
Bottom Line: Should You Consider General Motors Stock?
After a particularly difficult year for companies and automakers, General Motors closed out 2022 with a reclaimed key title and stronger domestic car sales. Despite all this, GM stock is cheaper than it should be.
That’s not a problem, but just a reason to consider picking up General Motors stock and holding it for the long term. Meanwhile, EV investors have multiple reasons to invest in his GM stock.