Why General Motors (GM) Is Down Today
NEW YORK (TheStreet) -- General Motors
The stock dipped to a low of $34.36 shortly after the market opened but recovered as the day went on and even rose above its previous closing price in the afternoon. It had volume of 50.8 million, more than double its average of 24.9 million.
Profits rose 2% to $913 million, or 57 cents a share, from $892 million, or 54 cents a share, in the same period one year earlier. Excluding items such as a $700 million charge to exit the Chevrolet brand in Europe, GM earned 67 cents a share. Revenue also increased 3% to $40.5 billion. But analysts expected an EPS of 88 cents on revenue of $40.8 billion.
Full-year earnings fell 22% to $3.8 billion, or $2.38 a share. Excluding items, which included an $800 million impairment charge, the automaker earned $3.18 a share for the year.
Must Read: GM Results Stronger than They Appear
TheStreet Ratings team rates GENERAL MOTORS CO as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate GENERAL MOTORS CO (GM) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. We feel these strengths outweigh the fact that the company has had sub par growth in net income."
- You can view the full analysis from the report here: GM Ratings Report