General Motors Company (GM) Stock Analysis — Fair Value, Risk & Moat Rating
NYQ · Consumer Cyclical · Auto Manufacturers
Is General Motors Company a safe investment right now?
General Motors Company's Altman Z-Score of 1.22 places it in the distress zone. Our fair value estimate is $141.45 (Strong Buy Zone). Moat rating: 2.3/5 stars.
Could General Motors Company go bankrupt? Altman Z-Score analysis
Z-Score of 1.22 falls below the 1.8 distress threshold, indicating significant financial stress.
- Below 1.8 — Distress Zone (high bankruptcy risk)
- 1.8 to 3.0 — Gray Zone (elevated uncertainty)
- Above 3.0 — Safe Zone (financially healthy)
What drives GM's Z-Score?
| Component | Formula | Value | Weight | Contribution |
|---|---|---|---|---|
| A · Working Capital / Total Assets | WC / TA | 0.0548 | 1.2 | 0.07 |
| B · Retained Earnings / Total Assets | RE / TA | 0.1832 | 1.4 | 0.26 |
| C · EBIT / Total Assets | EBIT / TA | 0.0137 | 3.3 | 0.05 |
| D · Market Cap / Total Liabilities | MCap / TL | 0.3274 | 0.6 | 0.2 |
| E · Revenue / Total Assets | Rev / TA | 0.6578 | 1.0 | 0.66 |
How has GM's financial health changed over time?
| Year | Z-Score | Zone |
|---|---|---|
| 2022 | 1.28 | Distress |
| 2023 | 1.29 | Distress |
| 2024 | 1.3 | Distress |
| 2025 | 1.22 | Distress |
Source: Calculated from GM's latest 10-K filing on SEC EDGAR.
What is General Motors Company actually worth?
How we calculated this
| Input | Value | Source |
|---|---|---|
| Predicted EPS (α) | $6.90 | Proprietary blend of reported actuals + analyst consensus, weighted by α |
| Last Year EPS | $3.27 | Annual report (SEC EDGAR) |
| Analyst Consensus EPS (This Year) | $12.34 | 26 analysts consensus |
| Trailing P/E | 24.2x | Current market pricing |
| Fair P/E (β discount) | 20.5x | Trailing PE adjusted by value discount factor β, hard-capped |
| Earnings Trend (γ) | Accelerating | Directional signal: predicted vs trailing EPS |
Wall Street Reference: Analyst consensus target price is $94.27 (26 analysts). This is shown for reference only and is not used in our valuation model.
Source: Earnings data from SEC EDGAR filings. Market data via Yahoo Finance.
Does General Motors Company have a durable competitive advantage?
Moat rating: 2.3/5.
What makes up GM's moat score?
ROIC Stability
ROIC variability over the past decade. Score: 2/5.
Gross Margin Trend
Gross margin trajectory over the past decade. Score: 2/5.
Switching Costs
Estimated customer lock-in based on margin level. Score: 3/5.
How stable is GM's return on invested capital?
| Year | ROIC | Trend |
|---|---|---|
| 2022 | 6.9% | — |
| 2023 | 6.1% | Stable |
| 2024 | 4.9% | Declining |
| 2025 | 2.0% | Declining |
Source: ROIC calculated from SEC EDGAR filings.
Is General Motors Company's dividend safe?
Can General Motors Company afford its dividend?
Payout ratio is 17.4%. FCF covers the dividend -13.0x. 12 consecutive years of payments.
General Motors Company's key financial metrics
| Metric | Latest | 1Y Ago | 3Y Ago | Trend |
|---|---|---|---|---|
| Revenue | $185.0B | $187.4B | $156.7B | Rising |
| Net Income | $2.7B | $6.0B | $9.9B | Declining |
| Free Cash Flow | $1.8B | −$6.0B | −$5.1B | Rising |
| Gross Margin | 6.3% | 12.5% | 13.4% | Declining |
Recent events that affect our GM analysis
GM earnings report scheduled
Upcoming report. Consensus EPS estimate: $2.61. Revenue estimate: $43.67B. Our current Fair Value: $141.45 — a significant beat or miss could shift this estimate.
GM analyst consensus: 78% bullish (21 of 27 analysts)
7 Strong Buy, 14 Buy, 4 Hold, 1 Sell, 1 Strong Sell. Consensus target: $94.27 (19.3% upside). Compare with our independent Fair Value: $141.45.
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM paid $0.1800/share dividend
Dividend Safety Grade: B. Payout ratio: 17.4%.
GM beat EPS estimates by 10.7%
Reported EPS: $2.51 vs estimate $2.27. Earnings strength supports our Fair Value of $141.45 (79.1% above current price).
GM filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM paid $0.1500/share dividend
Dividend Safety Grade: B. Payout ratio: 17.4%.
GM beat EPS estimates by 20.6%
Reported EPS: $2.80 vs estimate $2.32. Earnings strength supports our Fair Value of $141.45 (79.1% above current price).
GM filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM paid $0.1500/share dividend
Dividend Safety Grade: B. Payout ratio: 17.4%.
GM missed EPS estimates by 26.1%
Reported EPS: $1.91 vs estimate $2.58. Our Fair Value of $141.45 may face downward pressure if the trend continues.
GM filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM paid $0.1500/share dividend
Dividend Safety Grade: B. Payout ratio: 17.4%.
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM beat EPS estimates by 4.3%
Reported EPS: $2.78 vs estimate $2.67. Earnings strength supports our Fair Value of $141.45 (79.1% above current price).
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM paid $0.1200/share dividend
Dividend Safety Grade: B. Payout ratio: 17.4%.
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
GM beat EPS estimates by 4.3%
Reported EPS: $1.92 vs estimate $1.84. Earnings strength supports our Fair Value of $141.45 (79.1% above current price).
GM filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
GM filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
Common questions about General Motors Company
What is General Motors Company stock price today?
General Motors Company (GM) stock price is $79.00 as of the latest market close, traded on the NYSE exchange.
What does General Motors Company do?
General Motors Company designs, builds, and sells trucks, crossovers, cars, and automobile parts worldwide. It operates through GM North America, GM International, and GM Financial segments. It markets its vehicles primarily under the Buick, Cadillac, Chevrolet, GMC, Baojun, and Wuling brand names.
What is General Motors Company market cap?
General Motors Company has a market capitalization of $71.41B, classifying it as a large-cap stock in the Consumer Cyclical sector.
What sector and industry is GM in?
General Motors Company operates in the Consumer Cyclical sector, specifically within the Auto Manufacturers industry. It trades on the NYSE under the ticker symbol GM.
Is GM stock overvalued or undervalued?
Based on our valuation model, General Motors Company trades 44.1% below our fair value estimate — potentially undervalued.
- FairValueLabs Fair Value: $141.45
- Current Price: $79.00
- Valuation Zone: Strong Buy Zone
What is GM stock forecast and analyst target price?
Based on 26 Wall Street analysts, the consensus price target for General Motors Company is $94.27, implying upside of 19.3% from the current price.
- Analyst High Target: $122.00
- Analyst Low Target: $57.00
Note: Analyst targets are shown for reference and are not used in our valuation model.
Is General Motors Company revenue and earnings growing?
Here are the analyst consensus growth estimates for General Motors Company:
- Revenue growth (current year est.): 0.4%
- EPS growth (current year est.): 16.4%
- Revenue growth (next year est.): 2.4%
- EPS growth (next year est.): 12.7%
What are General Motors Company's key financial metrics?
| Metric | Latest | Trend |
|---|---|---|
| Revenue | $185.0B | Rising |
| Net Income | $2.7B | Declining |
| Free Cash Flow | $1.8B | Rising |
| Gross Margin | 6.3% | Declining |
What is GM's P/E ratio?
The price-to-earnings ratio measures how much investors pay per dollar of earnings:
- Trailing P/E (last 12 months): 24.2x
- Forward P/E (next 12 months est.): 5.7x
- FairValueLabs Fair P/E: 20.5x
How volatile is GM stock?
General Motors Company has a beta of 1.34, meaning it is somewhat more volatile than the broader market. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.
How much cash and debt does General Motors Company have?
General Motors Company's balance sheet shows:
- Total Cash: $27.67B
- Total Debt: $131.58B
- Net Cash Position: $-103.91B
A positive net cash position means the company holds more cash than debt, reducing financial risk.
What is General Motors Company's free cash flow?
General Motors Company generated $8.56B in trailing twelve-month free cash flow (from $26.87B in operating cash flow). Free cash flow represents the cash available for dividends, buybacks, and debt reduction after all capital expenditures.
Does General Motors Company pay a dividend, and is it safe?
Yes, General Motors Company pays a regular dividend. Here are the key metrics:
- Dividend Yield: 0.7%
- Payout Ratio: 17.4%
- Consecutive Years Paid: 12
- 5-Year Dividend Growth: -13.9%
- FairValueLabs Safety Grade: B
Is General Motors Company at risk of going bankrupt?
General Motors Company's Altman Z-Score is 1.22, placing it in the distress zone (below 1.8) — elevated bankruptcy risk. The Z-Score uses five balance sheet ratios to predict bankruptcy probability within two years.
Does General Motors Company have a durable competitive advantage?
General Motors Company scores 2.3/5 stars (Weak moat) in our moat analysis:
- ROIC Stability: 2/5
- Gross Margin Trend: 2/5
- Switching Costs: 3/5
A score above 3.5 suggests meaningful pricing power and a defensible market position.
What is GM's return on equity (ROE)?
General Motors Company's return on equity is 4.3%. ROE measures how efficiently a company generates profits from shareholder equity. An ROE above 15% is generally considered strong, while below 10% may signal inefficiency.
How do I buy GM stock?
GM shares can be purchased through any brokerage account that provides access to the NYSE. Common steps:
- Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
- Search for ticker symbol GM
- Place a market or limit order for your desired number of shares
This is not investment advice. Always do your own research before buying any stock.
Is GM a value stock or speculative?
FairValueLabs classifies General Motors Company as Value Investment. It exhibits consistent profitability, reasonable valuation, and financial stability — characteristics of a traditional value investment.
Who is the CEO of General Motors Company?
The current CEO of General Motors Company is Ms. Mary T. Barra.
What is GM's earnings per share (EPS)?
Earnings per share measures the company's profit allocated to each outstanding share:
- Trailing EPS (last 12 months): $3.27
- Forward EPS (next 12 months est.): $13.86
- Analyst consensus EPS (this year): $12.34
- Analyst consensus EPS (next year): $13.90
Other Consumer Cyclical companies analyzed by FairValueLabs
FairValueLabs Disclaimer
All valuations, scores, ratings, and classifications on this page are produced by the FairValueLabs internal valuation system. They do not represent actual market value, guaranteed outcomes, or professional investment advice. These are analytical estimates for educational and research purposes only.
This is not financial advice. All data is sourced from SEC EDGAR public filings. Always consult a qualified financial advisor before making investment decisions.
Last updated: Apr 22, 2026. Data sources: SEC EDGAR (financial statements), Yahoo Finance (market data, analyst consensus). Data may not reflect the most recent quarter.
GM analysis methodology: How we calculate fair value, Z-Scores, and moat ratings