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US Equities · Finance research note

GM — General Motors

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Evidence and analysis

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2. Company Fundamentals

2.1 Competitiveness

Metric Value
Operating Margins 9.36%
Profit Margins 1.38%
Return on Equity 4.01%
Return on Assets 2.69%
Free Float 0.9B
Dividend Yield 0.92%
Short Int % Utilisation 2.32%

2.2 Growth

Metric Value
Revenue Growth -0.9%
Free Cash Flow 22.47B
EBITDA 9.73 (Ratio)
Enterprise Value 177.98B
EV/Revenue 0.96
EV/EBITDA 9.73

Revenue growth of -0.9% suggests mature or challenged top-line momentum.

2.3 Management

Role Metric
Consensus Rating N/A

2.4 Return

Metric Value
Expected Return (Ann.)* 65.06%
Risk / Std Dev (Ann.)* 33.99%
1-Year Price Return* 55.50%

Latest Market Data (as of 2026-08-14, US Eastern time):

Metric Value
Last Price $86.77
52-Week Range $54.33 – $91.85
Observation Count 251 trading days

The return and risk statistics use daily adjusted closes from the retrieved one-year series and annualise daily moments using 252 trading days. The last price is the latest regular-market price reported for the stated date. Source: Yahoo Finance market data.

DuPont Model Analysis

The DuPont model decomposes return on equity (ROE) into three operating and capital-structure drivers:

ROE = Net Margin × Asset Turnover × Equity Multiplier

The comparison uses the latest two comparable annual periods available for the issuer, with reported statement amounts shown in US$. Revenue and net income are income-statement flows; total assets and shareholders’ equity are year-end balance-sheet figures. This is a simplified year-end-balance DuPont comparison rather than an average-balance ROE calculation.

DuPont component Calculation FY2025 FY2024
Revenue Reported revenue $185.02B $187.44B
Net income Reported net income $3.18B $7.19B
Total assets Year-end reported balance $281.28B $279.76B
Shareholders’ equity Year-end reported balance $61.12B $63.07B
Net margin Net income ÷ revenue 1.72% 3.84%
Asset turnover Revenue ÷ total assets 0.6578x 0.6700x
Equity multiplier Total assets ÷ shareholders’ equity 4.6022x 4.4356x
ROE Net margin × asset turnover × equity multiplier 5.20% 11.40%

Source: Yahoo Finance annual statements. Values are based on the two latest comparable annual periods returned by the source; fiscal period labels use the statement period-end year.

2.5 FCFF DCF Valuation

FCFF DCF exception: WACC is outside the permitted 5.00%–30.00% model range. This post deliberately does not publish a mechanical enterprise value or implied per-share value on an unsuitable basis.

Available valuation input Value
Last market price $83.73
Market capitalisation $75.73B
Revenue $185.02B
EBIT $3.84B
Reported free cash flow $1.77B
FCF yield 2.34%
Net debt / EBITDA 5.62x

2.6 Investor-Style Research Screen

Educational screen Result
Buffett-inspired cash-quality checks not rated — FCFF DCF suitability or data-integrity condition not met
Lynch-inspired balance-and-growth checks not rated — FCFF DCF suitability or data-integrity condition not met

Data lineage: Yahoo Finance public market and reported-statement data; retrieval timestamp: 2026-08-18 17:35:14.902649 UTC; latest reported fiscal period: 2025-12-31 00:00:00. Financial institutions and REITs require sector-specific methods rather than a mechanical FCFF DCF. This is research and analysis only, not personalized financial advice.

2.7 Quantitative Factor Diagnostics

Model basis: Daily issuer USD excess returns are regressed in-sample using ordinary least squares on matching regional Fama–French factors. FF3 estimates market, size, and value loadings; FF5 adds profitability and investment. Coefficients are descriptive historical exposures, not predictions.

Estimation input Value
Regional factor set US
Factor-return currency USD
Issuer-return basis USD adjusted total return
Estimation window 2025-08-19 to 2026-06-30
Aligned daily observations 217
Minimum observation requirement 120
Currency conversion for HK listings not required

Fama–French Three-Factor and Five-Factor Results

Diagnostic FF3 FF5
Annualised alpha 2.77% 17.36%
Adjusted R² 0.26 0.28
Annualised residual volatility 29.38% 28.77%
Factor loading (t-statistic) FF3 FF5
Market excess return (Mkt-RF) 1.28 (7.39) 1.56 (8.02)
Size (SMB) 0.37 (1.57) 0.36 (1.47)
Value (HML) 0.72 (3.59) 0.42 (1.71)
Profitability (RMW) NM 0.48 (2.31)
Investment (CMA) NM 0.50 (1.40)

Definitions: Mkt-RF is the market return less the risk-free rate; SMB is small minus big; HML is high minus low book-to-market; RMW is robust minus weak profitability; CMA is conservative minus aggressive investment. Factor returns are sourced from the Kenneth R. French Data Library; issuer adjusted-return history is sourced from Yahoo Finance. For Hong Kong listings, adjusted HKD prices are converted into USD with daily USD/HKD closes before return calculation to match the USD regional factor basis. This is an in-sample historical regression; coefficients and t-statistics do not establish causation or predict future returns. This is research and analysis only, not personalized financial advice.

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