Insider Buying: General Motors (NYSE:GM) CFO Acquires 25,000 Shares of Stock

General Motors (NYSE:GM) (TSE:GMM.U) CFO Paul A. Jacobson purchased 25,000 shares of the business’s stock in a transaction on Friday, July 26th. The shares were purchased at an average cost of $44.11 per share, for a total transaction of $1,102,750.00. Following the transaction, the chief financial officer now owns 261,872 shares of the company’s stock, valued at $11,551,173.92. The purchase was disclosed in a filing with the SEC, which is available at this hyperlink.

General Motors Price Performance

Shares of GM stock traded up $0.05 during midday trading on Monday, reaching $44.17. 6,158,177 shares of the company traded hands, compared to its average volume of 15,952,648. The firm’s 50 day simple moving average is $46.49 and its two-hundred day simple moving average is $43.06. The firm has a market cap of $49.64 billion, a PE ratio of 5.40, a price-to-earnings-growth ratio of 0.44 and a beta of 1.43. The company has a debt-to-equity ratio of 1.23, a current ratio of 1.18 and a quick ratio of 0.99. General Motors has a 1-year low of $26.30 and a 1-year high of $50.50.

General Motors (NYSE:GM) (TSE:GMM.U) last posted its earnings results on Tuesday, July 23rd. The auto manufacturer reported $3.06 earnings per share for the quarter, beating the consensus estimate of $2.67 by $0.39. The company had revenue of $47.97 billion for the quarter, compared to analyst estimates of $45.13 billion. General Motors had a return on equity of 15.77% and a net margin of 6.22%. General Motors’s revenue was up 7.2% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.91 earnings per share. On average, equities research analysts expect that General Motors will post 9.93 EPS for the current fiscal year.

General Motors Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 19th. Shareholders of record on Friday, September 6th will be given a dividend of $0.12 per share. This represents a $0.48 dividend on an annualized basis and a yield of 1.09%. The ex-dividend date is Friday, September 6th. General Motors’s payout ratio is currently 5.87%.

General Motors announced that its Board of Directors has initiated a stock repurchase plan on Tuesday, June 11th that allows the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization allows the auto manufacturer to buy up to 10.8% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company’s board of directors believes its shares are undervalued.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on GM shares. JPMorgan Chase & Co. raised their target price on shares of General Motors from $60.00 to $61.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 24th. Royal Bank of Canada upped their target price on shares of General Motors from $54.00 to $56.00 and gave the company an “overweight” rating in a report on Tuesday, April 23rd. Citigroup upped their target price on shares of General Motors from $95.00 to $96.00 and gave the company a “buy” rating in a report on Wednesday, April 24th. Piper Sandler raised their price target on General Motors from $44.00 to $45.00 and gave the stock a “neutral” rating in a report on Wednesday, April 24th. Finally, Bank of America reiterated a “buy” rating and issued a $75.00 target price on shares of General Motors in a research note on Wednesday, June 12th. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating, thirteen have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat, General Motors currently has an average rating of “Moderate Buy” and an average price target of $56.38.

Institutional Trading of General Motors

Large investors have recently modified their holdings of the business. LifeSteps Financial Inc. purchased a new stake in General Motors in the 1st quarter valued at approximately $25,000. Fortitude Family Office LLC lifted its position in shares of General Motors by 56.1% in the second quarter. Fortitude Family Office LLC now owns 626 shares of the auto manufacturer’s stock valued at $29,000 after acquiring an additional 225 shares in the last quarter. Montag A & Associates Inc. acquired a new stake in shares of General Motors during the first quarter valued at $30,000. YHB Investment Advisors Inc. purchased a new stake in General Motors during the 1st quarter worth about $32,000. Finally, EdgeRock Capital LLC acquired a new position in General Motors in the 2nd quarter valued at about $33,000. 92.67% of the stock is currently owned by institutional investors and hedge funds.

General Motors Company 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.