Citigroup Raises GM Price Target by 5.6% as Analyst Maintains Strong Buy Rating

Citigroup's Itay Michaeli raised their price target on General Motors Co (NYSE: GM) by 5.6% from $90 to $95 on 2023/12/04. The analyst maintained their Strong Buy rating on the stock. This price target hike followed updates to Citigroup's FY 2024 and 2025 estimates that were catalyzed by what Michaeli called GM's "encouraging update," released on 2023/11/29. Michaeli predicted that "the question coming out of the update will be whether it will prove sufficient to support a sustained re-rating of the shares." "Citigroup thinks it can," Michaeli told readers.

According to the analyst, their firm thought "management's tone around its electric vehicle outlook sounded reassuring, all-things-considered." Michaeli argued that, "with EV sentiment remaining quite weak, any tangible progress should be rewarded."

Mizuho's Vijay Rakesh also issued an update on GM on 2023/12/04. That analyst raised their price target by 10.5%, from $38 to $42, and upgraded their rating on the stock from Hold rating to Strong Buy.

The recent analyst ratings indicate a positive sentiment towards GM. As of now, 85.7% of top-rated analysts rate GM as a Strong Buy or Buy, while 14.3% see it as a Hold. None of the analysts either recommend or strongly recommend selling the stock.

Looking ahead, the consensus forecast among analysts is that GM's upcoming year will deliver earnings per share (EPS) of $6.8. If the analysts' predictions are correct, GM's next yearly EPS will be down by 4.9% on a year-over-year basis.

In terms of stock performance, since GM's last quarterly report on 2023/09/30, the stock price has shown a modest increase of 0.3%. However, on a year-over-year basis, the stock is down 14.7%. During the same period, GM has underperformed the S&P 500, which is down 14.3%.

It is worth noting that Citigroup analyst Itay Michaeli is ranked by WallStreetZen in the bottom 1% out of 4,418 Wall Street analysts. Michaeli's average return stands at -24.5%, with a 32.7% win rate. Despite this ranking, the analyst specializes in the Technology and Industrials sectors, among others.

General Motors Company, founded in 1908 and headquartered in Detroit, MI, is an automaker that owns core brands such as Chevrolet, Buick, GMC, and Cadillac. In addition, GM holds interests in Chinese brands Wuling Motors and Baojun. The recent analyst rating updates reflect the market's sentiment towards GM and its future prospects.

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WallStreetZen and Don Francis do not hold any positions in the companies mentioned in this article. The information and statistics provided herein are presented for general informational purposes only and may not be accurate, complete, or up-to-date. It should not be interpreted as a recommendation to buy or sell any stocks and should not be solely relied upon for making investment decisions. It does not take into account your financial situation or risk profile. All investors should conduct their own investment due diligence before buying a stock. WallStreetZen expressly disclaims any liability for the accuracy, reliability, or completeness of the analysts' information, price targets, ratings, or opinions.