Quick Summary:
- General Motors Co (GM, Financial) shares plummeted over 7% due to new tariffs.
- Analysts predict a potential upside of over 35% for GM stock.
- GM holds an "Outperform" status with a favorable GF Value estimate.
General Motors Co (GM) is navigating choppy waters as the recent announcement of a 25% tariff on foreign vehicles and parts has dragged its shares down by over 7%. This tariff, unveiled by President Trump, is set to take effect on April 2 and could elevate production costs significantly for automakers with international operations. The additional duties are expected to pass through to consumers, potentially raising car prices substantially.
Wall Street Analysts Forecast
Despite the immediate turmoil, analyst projections for General Motors show optimism. According to 25 analysts, the average one-year price target for GM stands at $58.87, with forecasts ranging from a high of $105.00 to a low of $34.00. This average target suggests a potential upside of 35.53% from the current stock price of $43.44. For more in-depth data, visit the General Motors Co (GM, Financial) Forecast page.
The sentiment from 29 brokerage firms also favors GM, with an average recommendation score of 2.4, categorized as "Outperform". This rating uses a scale from 1 to 5, where 1 indicates a Strong Buy and 5 represents a Sell.
Adding to this positive outlook, GuruFocus has projected a one-year GF Value of $57.80 for GM, suggesting a 33.06% potential increase from the current price of $43.44. The GF Value is a composite measure of fair value, rooted in historical trading multiples, past business performance, and future growth estimates. For further insights, explore the General Motors Co (GM, Financial) Summary page.
