Chou Associates Management Inc. Makes New Investment in General Motors Company $GM

Key Points

• Chou Associates Management Inc. acquired a new stake in General Motors, purchasing 52,000 shares valued at approximately $2,446,000, making it the firm's 16th largest holding.
• General Motors recently reported earnings of $2.53 per share, slightly beating analysts' expectations, with revenue of $47.12 billion for the quarter, marking a 1.8% year-over-year decline.
• The company declared a quarterly dividend of $0.15 per share, set to be paid on September 18th, representing an annualized dividend yield of 1.0%.

Chou Associates Management Inc. acquired a new stake in General Motors Company (NYSE:GM - Free Report) TSE: GMM.U in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The firm acquired 52,000 shares of the auto manufacturer's stock, valued at approximately $2,446,000. General Motors makes up approximately 1.3% of Chou Associates Management Inc.'s portfolio, making the stock its 16th largest holding.

Several other hedge funds also recently modified their holdings of the stock. Vanguard Group Inc. grew its holdings in shares of General Motors by 6.9% in the 1st quarter. Vanguard Group Inc. now owns 99,341,336 shares of the auto manufacturer's stock valued at $4,672,023,000 after acquiring an additional 6,395,375 shares in the last quarter. Dimensional Fund Advisors LP grew its holdings in shares of General Motors by 2.2% in the 1st quarter. Dimensional Fund Advisors LP now owns 14,383,079 shares of the auto manufacturer's stock valued at $676,322,000 after acquiring an additional 316,196 shares in the last quarter. Invesco Ltd. grew its holdings in shares of General Motors by 4.5% in the 1st quarter. Invesco Ltd. now owns 13,746,152 shares of the auto manufacturer's stock valued at $646,482,000 after acquiring an additional 594,217 shares in the last quarter. AQR Capital Management LLC grew its holdings in shares of General Motors by 146.8% in the 1st quarter. AQR Capital Management LLC now owns 13,470,258 shares of the auto manufacturer's stock valued at $629,196,000 after acquiring an additional 8,012,743 shares in the last quarter. Finally, Hotchkis & Wiley Capital Management LLC grew its holdings in shares of General Motors by 17.5% in the 1st quarter. Hotchkis & Wiley Capital Management LLC now owns 12,822,632 shares of the auto manufacturer's stock valued at $603,048,000 after acquiring an additional 1,910,186 shares in the last quarter. Institutional investors own 92.67% of the company's stock.

Analyst Ratings Changes

Several equities research analysts recently issued reports on the stock. Bank of America cut their target price on shares of General Motors from $65.00 to $62.00 and set a "buy" rating for the company in a research note on Wednesday, July 23rd. Industrial Alliance Securities set a $70.00 target price on shares of General Motors in a research note on Friday, July 11th. UBS Group raised their target price on shares of General Motors from $50.00 to $56.00 and gave the company a "neutral" rating in a research note on Monday, July 14th. Mizuho raised their target price on shares of General Motors from $53.00 to $58.00 and gave the company an "outperform" rating in a research note on Friday, May 16th. Finally, The Goldman Sachs Group reiterated a "buy" rating on shares of General Motors in a research note on Friday, July 11th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat, General Motors presently has a consensus rating of "Hold" and an average price target of $58.05.

General Motors Stock Down 1.4%

NYSE GM opened at $57.74 on Thursday. The company has a current ratio of 1.22, a quick ratio of 1.05 and a debt-to-equity ratio of 1.42. General Motors Company has a 1-year low of $41.60 and a 1-year high of $61.24. The company has a 50 day moving average of $54.11 and a 200-day moving average of $49.79. The company has a market cap of $54.97 billion, a price-to-earnings ratio of 9.16, a PEG ratio of 1.24 and a beta of 1.32.

General Motors (NYSE:GM - Get Free Report) TSE: GMM.U last released its quarterly earnings results on Tuesday, July 22nd. The auto manufacturer reported $2.53 earnings per share for the quarter, beating analysts' consensus estimates of $2.52 by $0.01. General Motors had a net margin of 2.54% and a return on equity of 12.98%. The company had revenue of $47.12 billion during the quarter, compared to the consensus estimate of $45.87 billion. During the same period in the previous year, the business earned $3.06 earnings per share. The firm's quarterly revenue was down 1.8% on a year-over-year basis. General Motors has set its FY 2025 guidance at 8.250-10.000 EPS. On average, equities research analysts expect that General Motors Company will post 11.44 earnings per share for the current fiscal year.

General Motors Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 18th. Stockholders of record on Friday, September 5th will be issued a dividend of $0.15 per share. The ex-dividend date is Friday, September 5th. This represents a $0.60 annualized dividend and a dividend yield of 1.0%. General Motors's dividend payout ratio is 9.52%.

Insider Transactions at General Motors

In other news, CAO Christopher Hatto sold 36,804 shares of the company's stock in a transaction on Wednesday, August 13th. The shares were sold at an average price of $55.10, for a total transaction of $2,027,900.40. Following the completion of the transaction, the chief accounting officer directly owned 12,007 shares in the company, valued at approximately $661,585.70. This represents a 75.40% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Rory Harvey sold 23,977 shares of the company's stock in a transaction on Tuesday, August 5th. The stock was sold at an average price of $53.01, for a total transaction of $1,271,020.77. Following the transaction, the executive vice president owned 8,513 shares of the company's stock, valued at $451,274.13. This trade represents a 73.80% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 1,070,311 shares of company stock worth $62,095,433. Corporate insiders own 0.54% of the company's stock.

General Motors Profile

General Motors Company designs, builds, and sells trucks, crossovers, cars, and automobile parts; and provide software-enabled services and subscriptions 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, Baojun, and Wuling brand names.

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