Charles Schwab Investment Management Inc. Lowers Stake in General Motors (NYSE:GM)

Charles Schwab Investment Management Inc. cut its position in General Motors (NYSE:GM) (TSE:GMM.U) by 1.6% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 9,519,716 shares of the auto manufacturer’s stock after selling 157,192 shares during the period. Charles Schwab Investment Management Inc. owned about 0.96% of General Motors worth $507,115,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors and hedge funds have also recently modified their holdings of the company. Golden State Wealth Management LLC purchased a new stake in General Motors in the 4th quarter worth $25,000. Crews Bank & Trust bought a new position in shares of General Motors in the fourth quarter worth about $26,000. Catalyst Capital Advisors LLC purchased a new stake in shares of General Motors during the third quarter worth about $27,000. Truvestments Capital LLC bought a new stake in General Motors during the 3rd quarter valued at approximately $27,000. Finally, Compass Planning Associates Inc purchased a new position in General Motors in the 4th quarter worth approximately $27,000. 92.67% of the stock is currently owned by institutional investors.

General Motors Trading Down 4.2 %

GM stock opened at $45.39 on Wednesday. General Motors has a twelve month low of $38.94 and a twelve month high of $61.24. The stock has a market capitalization of $45.17 billion, a price-to-earnings ratio of 7.38, a price-to-earnings-growth ratio of 0.67 and a beta of 1.40. The company has a quick ratio of 0.98, a current ratio of 1.13 and a debt-to-equity ratio of 1.38. The firm’s fifty day simple moving average is $50.08 and its two-hundred day simple moving average is $50.47.

General Motors (NYSE:GM) (TSE:GMM.U) last issued its quarterly earnings results on Tuesday, January 28th. The auto manufacturer reported $1.92 EPS for the quarter, beating the consensus estimate of $1.75 by $0.17. General Motors had a net margin of 3.21% and a return on equity of 15.29%. As a group, analysts anticipate that General Motors will post 11.44 earnings per share for the current year.

General Motors declared that its Board of Directors has approved a share buyback program on Wednesday, February 26th that authorizes the company to buyback $6.00 billion in outstanding shares. This buyback authorization authorizes the auto manufacturer to repurchase up to 12.5% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s board believes its stock is undervalued.

General Motors Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, March 20th. Investors of record on Friday, March 7th will be paid a dividend of $0.12 per share. This represents a $0.48 dividend on an annualized basis and a dividend yield of 1.06%. The ex-dividend date is Friday, March 7th. General Motors’s dividend payout ratio is currently 7.80%.

Insider Buying and Selling

In related news, Director Alfred F. Kelly, Jr. purchased 12,000 shares of General Motors stock in a transaction that occurred on Thursday, January 30th. The shares were bought at an average price of $50.66 per share, with a total value of $607,920.00. Following the purchase, the director now directly owns 13,714 shares of the company’s stock, valued at approximately $694,751.24. This represents a 700.12 % increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.72% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on the stock. Deutsche Bank Aktiengesellschaft upgraded shares of General Motors from a “hold” rating to a “buy” rating and lifted their price objective for the company from $56.00 to $60.00 in a research report on Tuesday, January 21st. Morgan Stanley upgraded shares of General Motors from an “underweight” rating to an “equal weight” rating and lifted their price target for the company from $46.00 to $54.00 in a report on Tuesday, December 10th. Hsbc Global Res cut shares of General Motors from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, December 11th. StockNews.com cut General Motors from a “buy” rating to a “hold” rating in a report on Wednesday, February 5th. Finally, Wells Fargo & Company reiterated an “underweight” rating on shares of General Motors in a research report on Monday, February 3rd. Three equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating and ten have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $59.71.

About General Motors

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.