GM Valuation
| GM Stock | MXN 1,028 28.00 2.80% |
At this time, the firm appears to be overvalued. General Motors retains a regular Real Value of 740.16 per share. The prevalent price of the firm is 1028.0. Our model calculates the value of General Motors from evaluating the firm fundamentals such as Return On Equity of 0.14, return on asset of 0.0295, and Current Valuation of 2.67 T as well as inspecting its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that GM's price fluctuation is very steady at this time. Calculation of the real value of General Motors is based on 3 months time horizon. Increasing GM's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since GM is currently traded on the exchange, buyers and sellers on that exchange determine the market value of GM Stock. However, GM's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 1028.0 | Real 740.16 | Hype 1028.0 | Naive 1012.29 |
The intrinsic value of GM's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence GM's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of General Motors helps investors to forecast how GM stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of GM more accurately as focusing exclusively on GM's fundamentals will not take into account other important factors: GM Total Value Analysis
General Motors is currently expected to have takeover price of 2.67 T with market capitalization of 1.06 T, debt of 75.92 B, and cash on hands of 30.31 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the GM fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
2.67 T | 1.06 T | 75.92 B | 30.31 B |
GM Investor Information
About 83.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 0.83. Some equities with similar Price to Book (P/B) outperform the market in the long run. General Motors has Price/Earnings To Growth (PEG) ratio of 1.06. The entity recorded earning per share (EPS) of 115.18. The firm last dividend was issued on the 2nd of March 2023. General Motors is not in a good financial situation at the moment. It has a very high risk of going through financial straits in March.GM Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. GM has an asset utilization ratio of 59.36 percent. This suggests that the Company is making 0.59 for each dollar of assets. An increasing asset utilization means that General Motors is more efficient with each dollar of assets it utilizes for everyday operations.GM Ownership Allocation
General Motors has a total of 1.39 Billion outstanding shares. The majority of General Motors outstanding shares are owned by outside corporations. These institutional investors are usually referred to as non-private investors looking to purchase positions in GM to benefit from reduced commissions. Consequently, third-party entities are subject to a different set of regulations than regular investors in General Motors. Please pay attention to any change in the institutional holdings of General Motors as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company holds, if the real value of the firm is less than the current market value, you may not be able to make money on it.GM Profitability Analysis
The company reported the revenue of 156.74 B. Net Income was 9.93 B with profit before overhead, payroll, taxes, and interest of 21.15 B.About GM Valuation
Our relative valuation model uses a comparative analysis of GM. We calculate exposure to GM's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of GM's related companies.General Motors Company designs, builds, and sells trucks, crossovers, cars, and automobile parts and accessories in North America, the Asia Pacific, the Middle East, Africa, South America, the United States, and China. General Motors Company was founded in 1908 and is headquartered in Detroit, Michigan. GM operates under Auto Manufacturers classification in Mexico and is traded on Mexico Stock Exchange. It employs 157000 people.
8 Steps to conduct GM's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates GM's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct GM's valuation analysis, follow these 8 steps:- Gather financial information: Obtain GM's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine GM's revenue streams: Identify GM's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research GM's industry and market trends, including the size of the market, growth rate, and competition.
- Establish GM's growth potential: Evaluate GM's management, business model, and growth potential.
- Determine GM's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate GM's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for GM Stock Analysis
When running GM's price analysis, check to measure GM's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy GM is operating at the current time. Most of GM's value examination focuses on studying past and present price action to predict the probability of GM's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move GM's price. Additionally, you may evaluate how the addition of GM to your portfolios can decrease your overall portfolio volatility.