Automotive manufacturer General Motors (NYSE:GM) will be reporting results tomorrow morning. Here’s what to look for.
General Motors beat analysts’ revenue expectations by 9.9% last quarter, reporting revenues of $48.76 billion, up 10.5% year on year. It was a very strong quarter for the company, with an impressive beat of analysts’ adjusted operating income estimates and full-year EPS guidance exceeding analysts’ expectations.
Is General Motors a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting General Motors’s revenue to be flat year on year at $43.28 billion, in line with its flat revenue from the same quarter last year. Adjusted earnings are expected to come in at $1.81 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. General Motors has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 5.4% on average.
Looking at General Motors’s peers in the industrials segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Winnebago’s revenues decreased 18% year on year, missing analysts’ expectations by 6.9%, and MSC Industrial reported a revenue decline of 2.7%, topping estimates by 2.6%. Winnebago traded down 7.6% following the results while MSC Industrial’s stock price was unchanged.
Read our full analysis of Winnebago’s results here and MSC Industrial’s results here.
There has been positive sentiment among investors in the industrials segment, with share prices up 4.9% on average over the last month. General Motors’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $60.01 (compared to the current share price of $53.40).
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