General Motors (GM, $58.18) faces probe on airbags
U.S. automaker General Motors is facing a probe from U.S. regulators into complaints the air bags on thousands of GM vehicles may not inflate in a crash.
The Office of Defects Investigation has received 15 consumer complaints of alleged air-bag-system malfunctions. Nine of those complaints mention the illumination of an airbag-malfunction indicator during the crash.
According to the National Highway Traffic Safety Administration, the inquiry covers nearly 750,000 Cadillac, Chevrolet and GMC SUVs and pickup trucks from the 2020 and 2021 model years.
In December, GM recalled nearly 840,000 vehicles for suspension problems or due to the possibility of the front seat belts on the vehicles failing.
GM's Indicator enters downward trend
The Aroon Indicator for GM entered a downward trend on May 25, 2023. Tickeron's A.I.dvisor identified a pattern where the AroonDown red line was above 70 while the AroonUp green line was below 30 for three straight days. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options. A.I.dvisor looked at 232 similar instances where the Aroon Indicator formed such a pattern. In of the 232 cases the stock moved lower. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
Following a 3-day decline, the stock is projected to fall further. Considering past instances where GM declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
GM broke above its upper Bollinger Band on June 02, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 71 cases where GM's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on May 26, 2023. You may want to consider a long position or call options on GM as a result. In of 76 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for GM just turned positive on May 17, 2023. Looking at past instances where GM's MACD turned positive, the stock continued to rise in of 43 cases over the following month. The odds of a continued upward trend are .
GM moved above its 50-day moving average on June 02, 2023 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where GM advanced for three days, in of 311 cases, the price rose further within the following month. The odds of a continued upward trend are .
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. GM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.682) is normal, around the industry mean (9.720). P/E Ratio (5.299) is within average values for comparable stocks, (96.234). Projected Growth (PEG Ratio) (1.391) is also within normal values, averaging (5.911). GM has a moderately low Dividend Yield (0.010) as compared to the industry average of (0.040). P/S Ratio (0.306) is also within normal values, averaging (74.415).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. GM’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 89, placing this stock worse than average.
Notable companies
Industry description
Market Cap
High and low price notable news
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a manufacturer of cars, trucks and automobile parts
Industry MotorVehicles
GM and
Correlation & Price change
A.I.dvisor indicates that over the last year, GM has been closely correlated with F. These tickers have moved in lockstep 85% of the time. This A.I.-generated data suggests there is a high statistical probability that if GM jumps, then F could also see price increases.
