GM Analyst Call Lacks Conviction (GM, F)
General Motors Corporation (NYSE: GM) may have been one of the top IPOs of American history. It was also one of the biggest bankruptcies in American history. S&P Equity Research has decided that GM shares are close to fully valued…
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S&P is looking for a modest premium to peers, but there is a concern that higher materials costs will begin to offset gains in auto sales. GM is trading at $34.30 so far on Monday with a 0.1% gain, but the price target is not very enthusiastic. S&P assigned only a $36.00 price target.
It was just last Wednesday that Ford Motor Co. (NYSE: F) was cut to “Hold” from a previous “Buy” by S&P Equity based upon its performance and target objectives catching up to the valuations (or vice-versa).
JON C. OGG
Contact [email protected] for any questions or corrections.
Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.
