GENERAL MOTORS CO (8GM.DE) Stock Fundamental Analysis
FRA:8GM - Deutsche Boerse Ag - US37045V1008 - Common Stock - Currency: EUR
8GM gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 30 industry peers in the Automobiles industry. While 8GM is still in line with the averages on profitability rating, there are concerns on its financial health. 8GM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year 8GM was profitable.
8GM had a positive operating cash flow in the past year.
In the past 5 years 8GM has always been profitable.
Each year in the past 5 years 8GM had a positive operating cash flow.
1.2 Ratios
8GM's Return On Assets of 2.69% is fine compared to the rest of the industry. 8GM outperforms 62.50% of its industry peers.
Looking at the Return On Equity, with a value of 11.78%, 8GM is in the better half of the industry, outperforming 78.13% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 5.84%, 8GM is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 8GM is in line with the industry average of 6.82%.
The last Return On Invested Capital (5.84%) for 8GM is above the 3 year average (5.60%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.69% | ||
| ROE | 11.78% | ||
| ROIC | 5.84% |
ROA(3y)3.21%
ROA(5y)3.26%
ROE(3y)13.38%
ROE(5y)14.1%
ROIC(3y)5.6%
ROIC(5y)5.91%
1.3 Margins
The Profit Margin of 8GM (4.02%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of 8GM has declined.
The Operating Margin of 8GM (7.20%) is comparable to the rest of the industry.
8GM's Operating Margin has improved in the last couple of years.
The Gross Margin of 8GM (12.28%) is worse than 84.38% of its industry peers.
In the last couple of years the Gross Margin of 8GM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.2% | ||
| PM (TTM) | 4.02% | ||
| GM | 12.28% |
OM growth 3Y-15.76%
OM growth 5Y13.42%
PM growth 3Y-20.89%
PM growth 5Y-4.37%
GM growth 3Y-11.63%
GM growth 5Y4.44%
2. Health
2.1 Basic Checks
8GM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, 8GM has less shares outstanding
The number of shares outstanding for 8GM has been reduced compared to 5 years ago.
Compared to 1 year ago, 8GM has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.31, we must say that 8GM is in the distress zone and has some risk of bankruptcy.
8GM has a Altman-Z score of 1.31. This is comparable to the rest of the industry: 8GM outperforms 50.00% of its industry peers.
8GM has a Debt/Equity ratio of 1.50. This is a high value indicating a heavy dependency on external financing.
8GM has a worse Debt to Equity ratio (1.50) than 71.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.31 |
ROIC/WACC0.79
WACC7.36%
2.3 Liquidity
8GM has a Current Ratio of 1.21. This is a normal value and indicates that 8GM is financially healthy and should not expect problems in meeting its short term obligations.
8GM's Current ratio of 1.21 is in line compared to the rest of the industry. 8GM outperforms 46.88% of its industry peers.
A Quick Ratio of 1.04 indicates that 8GM should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.04, 8GM is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.97% over the past year.
8GM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.68% yearly.
The Revenue has been growing slightly by 7.76% in the past year.
8GM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.43% yearly.
EPS 1Y (TTM)25.97%
EPS 3Y14.2%
EPS 5Y19.68%
EPS Q2Q%6.11%
Revenue 1Y (TTM)7.76%
Revenue growth 3Y13.85%
Revenue growth 5Y6.43%
Sales Q2Q%2.34%
3.2 Future
8GM is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -4.78% yearly.
8GM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.34% yearly.
EPS Next Y-9.93%
EPS Next 2Y-4.41%
EPS Next 3Y-3.24%
EPS Next 5Y-4.78%
Revenue Next Year-2.35%
Revenue Next 2Y-1.36%
Revenue Next 3Y-0.06%
Revenue Next 5Y1.34%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 4.64 indicates a rather cheap valuation of 8GM.
Based on the Price/Earnings ratio, 8GM is valued cheaper than 90.63% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.25, 8GM is valued rather cheaply.
The Price/Forward Earnings ratio is 5.16, which indicates a rather cheap valuation of 8GM.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 8GM indicates a somewhat cheap valuation: 8GM is cheaper than 75.00% of the companies listed in the same industry.
8GM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.15.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.64 | ||
| Fwd PE | 5.16 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 8GM.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.61 |
4.3 Compensation for Growth
8GM has a very decent profitability rating, which may justify a higher PE ratio.
8GM's earnings are expected to decrease with -3.24% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.24
EPS Next 2Y-4.41%
EPS Next 3Y-3.24%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.23%, 8GM has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.08, 8GM is paying slightly less dividend.
With a Dividend Yield of 1.23, 8GM pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.23% |
5.2 History
The dividend of 8GM decreases each year by -18.77%.
Dividend Growth(5Y)-18.77%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
8GM pays out 8.31% of its income as dividend. This is a sustainable payout ratio.
8GM's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP8.31%
EPS Next 2Y-4.41%
EPS Next 3Y-3.24%
FRA:8GM (5/30/2025, 7:00:00 PM)
43.87
+1.42 (+3.36%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners87.62%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap42.39B
Analysts73.68
Price Target47.17 (7.52%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.23% |
Yearly Dividend0.52
Dividend Growth(5Y)-18.77%
DP8.31%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.49%
Min EPS beat(2)-1.54%
Max EPS beat(2)-1.45%
EPS beat(4)2
Avg EPS beat(4)5.78%
Min EPS beat(4)-1.54%
Max EPS beat(4)18.05%
EPS beat(8)6
Avg EPS beat(8)11.18%
EPS beat(12)9
Avg EPS beat(12)12.01%
EPS beat(16)12
Avg EPS beat(16)13.45%
Revenue beat(2)1
Avg Revenue beat(2)2.35%
Min Revenue beat(2)-0.72%
Max Revenue beat(2)5.43%
Revenue beat(4)3
Avg Revenue beat(4)3.33%
Min Revenue beat(4)-0.72%
Max Revenue beat(4)6.17%
Revenue beat(8)5
Avg Revenue beat(8)2.84%
Revenue beat(12)8
Avg Revenue beat(12)2.11%
Revenue beat(16)9
Avg Revenue beat(16)1.31%
PT rev (1m)-3.52%
PT rev (3m)-18.68%
EPS NQ rev (1m)0.76%
EPS NQ rev (3m)-19.95%
EPS NY rev (1m)-12.2%
EPS NY rev (3m)-19.74%
Revenue NQ rev (1m)-0.92%
Revenue NQ rev (3m)-2.46%
Revenue NY rev (1m)-0.81%
Revenue NY rev (3m)-2.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.64 | ||
| Fwd PE | 5.16 | ||
| P/S | 0.26 | ||
| P/FCF | N/A | ||
| P/OCF | 2.09 | ||
| P/B | 0.75 | ||
| P/tB | 0.8 | ||
| EV/EBITDA | 5.61 |
EPS(TTM)9.45
EY21.54%
EPS(NY)8.51
Fwd EY19.4%
FCF(TTM)-2.63
FCFYN/A
OCF(TTM)21.02
OCFY47.93%
SpS171.99
BVpS58.75
TBVpS54.63
PEG (NY)N/A
PEG (5Y)0.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.69% | ||
| ROE | 11.78% | ||
| ROCE | 7.09% | ||
| ROIC | 5.84% | ||
| ROICexc | 6.81% | ||
| ROICexgc | 7.01% | ||
| OM | 7.2% | ||
| PM (TTM) | 4.02% | ||
| GM | 12.28% | ||
| FCFM | N/A |
ROA(3y)3.21%
ROA(5y)3.26%
ROE(3y)13.38%
ROE(5y)14.1%
ROIC(3y)5.6%
ROIC(5y)5.91%
ROICexc(3y)6.66%
ROICexc(5y)7.09%
ROICexgc(3y)6.88%
ROICexgc(5y)7.34%
ROCE(3y)6.8%
ROCE(5y)7.18%
ROICexcg growth 3Y-7.41%
ROICexcg growth 5Y14.11%
ROICexc growth 3Y-7.2%
ROICexc growth 5Y14.47%
OM growth 3Y-15.76%
OM growth 5Y13.42%
PM growth 3Y-20.89%
PM growth 5Y-4.37%
GM growth 3Y-11.63%
GM growth 5Y4.44%
F-Score7
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.71 | ||
| Cap/Depr | 206.93% | ||
| Cap/Sales | 13.75% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 88.28% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.21 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 1.31 |
F-Score7
WACC7.36%
ROIC/WACC0.79
Cap/Depr(3y)201.81%
Cap/Depr(5y)189.83%
Cap/Sales(3y)13.92%
Cap/Sales(5y)15.19%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)25.97%
EPS 3Y14.2%
EPS 5Y19.68%
EPS Q2Q%6.11%
EPS Next Y-9.93%
EPS Next 2Y-4.41%
EPS Next 3Y-3.24%
EPS Next 5Y-4.78%
Revenue 1Y (TTM)7.76%
Revenue growth 3Y13.85%
Revenue growth 5Y6.43%
Sales Q2Q%2.34%
Revenue Next Year-2.35%
Revenue Next 2Y-1.36%
Revenue Next 3Y-0.06%
Revenue Next 5Y1.34%
EBIT growth 1Y13.8%
EBIT growth 3Y-4.09%
EBIT growth 5Y20.72%
EBIT Next Year5.72%
EBIT Next 3Y4.76%
EBIT Next 5Y4.97%
FCF growth 1Y43.45%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y35.31%
OCF growth 3Y9.84%
OCF growth 5Y6.03%