Today, 12:30 PM
Wed, Jun. 22, 6:25 PM
- Kia Motors (OTC:KIMTF) topped J.D. Power's annual U.S. survey of vehicle quality, the first time in 27 years that a non-luxury brand scored the top ranking.
- Kia ranked first among 33 car brands in the study, moving up from second place a year ago. Porsche, the sports luxury brand owned by Volkswagen (OTCPK:VLKAF, OTCPK:VLKAY), came in second after finishing first last year.
- U.S. brands scored better marks collectively than their foreign counterparts for only the second time in the study's 30-year history; brands at GM, Ford (NYSE:F) and Fiat Chrysler's (NYSE:FCAU) U.S. arm improved quality scores 10% from 2015, double the improvement rate of foreign brands.
- The survey also showed that for the first time in a decade, owners of vehicles from non-premium brands reported fewer problems than those who own the more expensive cars, SUVs and pickup trucks.
Mon, Jun. 20, 10:31 AM
- Automaker stocks are taking news of increased support for the U.K. staying in the EU extremely well. The sector is considered sensitive to F/X disruptions due to the large footprint of the major manufacturers.
- This year has seen strong demand in Europe and better-than-anticipated volume numbers from China support aggressive plans for capacity in the industry and far-reaching R&D initiatives. Despite some bottom-line improvement, Detroit automaker Ford (F +2%) and General Motors (GM +2.2%) still trail the S&P 500 Index for the year and trade with single-digit PE ratios.
- Gainers today include Fiat Chrysler Automobiles (FCAU +5%), BMW (OTCPK:BAMXY) +5.1%, Daimler (OTCPK:DDAIF) +3.9%, Toyota (TM +3.6%), Tata Motors (TTM +3%), and Nissan (OTCPK:NSANY +3.2%).
Fri, Jun. 17, 9:07 AM
- Shares of Volkswagen (OTCPK:VLKAY) fell this week after the company outlined in broad strokes its EV strategy.
- Though the German automaker called the EV initiative its "biggest change process" in its history, analysts wanted more details. While 30 new EV models are expected over the next ten years, and a target of a 20% to 25% EV mix by 2025 was set by the company, management didn't dive into specifics on production, price points, and driving ranges.
- "There are worthy elements among the plans but it's probably also a marketing exercise by VW to tell the public that they have gotten the message," noted Commerzbank analyst Sascha Gommel.
- "Without any additional details on planned measures as well as on Dieselgate, we stick to our skeptical view on VW," DZ Bank analyst Michael Punzet wrote.
- Other automobile industry watchers think Volkswagen will need to move on its electrification talk rather quickly with the German government backing the EV industry with incentives and the mass-market Chevy Bolt (NYSE:GM) and Model 3 (NASDAQ:TSLA) aiming high. However, a serious disadvantage for Volkswagen in making a significant EV makeover is the high level of representation from labor on the board.
- Volkswagen ADRs are down about 7% for the week.
- Previously: The Germans roll forward with EV plans (June 11)
Thu, Jun. 16, 7:52 AM| Thu, Jun. 16, 7:52 AM | 68 Comments
Thu, Jun. 16, 7:38 AM
- Opel (NYSE:GM) car registrations +11.7% to 88,208 units in May, according to the European Automobile Manufacturers Association.
- Overall EU registrations +16% Y/Y to 1,288,220 units in May, led by +20% gains in Italy, France, and Spain. Registrations were up 12% in Germany and 3% in the U.K.
- Opel market share: 6.6% vs. 6.9% a year ago.
- Opel YTD registrations +10.0%.
- Results include the Opel, Vauxhall, Chevrolet, and other GM brands.
- EAMA release (.pdf)
Mon, Jun. 13, 11:22 AM
- General Motors (NYSE:GM) is up 1% to outpace broad market averages amid some untethered talk in trading circles about Toyota (TM -0.7%) making a bid.
- By U.S. market cap, Toyota is about 3.8 times bigger than GM.
- Though major consolidation is anticipated within the global automobile industry, speculation over a GM-Toyota combination is something new.
Sat, Jun. 11, 9:34 AM
- Electric vehicles remain in focus with German automakers as the Volkswagen scandal continues to throw a spotlight on diesel emissions. There's also a touch more of reality on an EV future after German Chancellor Angela Merkel’s government backed a joint deal with automakers to invest heavily in incentives.
- Daimler (OTCPK:DDAIF) plans to unveil its long-range Mercedes-Benz electric vehicle at the Paris Auto Show in October. Sales of the Mercedes EV are expected to start in 2019.
- Audi aims to introduce a new EV model every year beginning in 2018. Electric crossovers and SUVs are a major part of Audi's strategy.
- A new all-electric flagship sedan is expected out of BMW (OTCPK:BAMXY) in 2021. In the meantime, BMW stepped up the driving range of its i3 with the 2017 model (114 miles). A two-pronged attack from BMW has the company investing heavily in self-driving car technology and mulling over partnerships.
- Porsche has the dreamy Mission E Electric sports car in the works. The concept version boasted nearly-Ludicrous stats (zero-to-62 mph in less than 3.5 seconds, 310 miles all-electric range, and 600 horsepower to all four wheels)
- The Volkswagen (OTCPK:VLKAY) brand is also making a major commitment to electric cars as part of its broad emissions-cheating mea culpa. Earlier this week, InsideEVs reported that the company is considering a second dedicated electric car platform that will bring larger models into the picture.
- Beyond all the EV developments in Germany aimed at the higher-price points - there's still Tesla Motors (NASDAQ:TSLA), Apple (see MacRumors' rundown), GM's (NYSE:GM) mass-market Bolt, and dramatic self-driving car partnerships involving Uber (Private:UBER), Lyft (Private:LYFT), Toyota (NYSE:TM), Google, and Fiat Chrysler (NYSE:FCAU) in the mix.
- Some analysts have suggested the best play on the EV production ramp is a bet on key suppliers. Now who has a sleeper pick to share?
Fri, Jun. 10, 10:07 AM
- Piper Jaffray launches coverage on Tesla Motors (TSLA -1.5%) with a Neutral rating and $223 price target.
- The investment firm shows some preference for Detroit automakers as both Ford (F -0.9%) and General Motors (GM -1.1%) are initiated at Overweight with generous PTs of $17 and $41, respectively. The rather run-of-the-mill write-ups on Ford and GM from Piper focus on improved balance sheets and dividend payouts, while the Tesla take points to Model 3 delivery date concerns.
- PJ suggests Mobileye might be the automobile industry disruptor to bet on (Overweight/$50 PT).
Thu, Jun. 9, 8:06 AM
- General Motors (NYSE:GM) is going right after the Ford F-150 pickup in a new marketing campaign for the Silverado line.
- The automaker plans to highlight lab tests which show that the Chevy's steel bed holds up better in rigorous trials than the F-150 aluminum bed.
- Surveys of Ford F-150 owners have indicated a high level of satisfaction with the new aluminum style.
- At the crux of the matter, F-150 sales are up 7% YTD (324K) in the U.S. vs. a slight dip in Silverado sales (224K).
Tue, Jun. 7, 1:00 PM
- Profit over sales volume was a major theme at the General Motors (GM +1.2%) annual shareholder meeting in Detroit today. GM's U.S. market share of 16.6% is a post-WWII low, but execs reiterated that a sales mix with a lower contribution from rental companies will help the company show margin improvement. Mary Barra noted that residual values will also hold up better for GM cars.
- All twelve of the company's candidates to the board were elected by shareholders. In a largely symbolic vote, 38% of GM shareholders rejected a compensation plan at the automaker.
- The bold investments in Lyft and Cruise Automation were highlighted as the focus stayed on the future instead of looking back at costly recalls or other issues.
- A question on buybacks was skirted, but it was pretty clear that boosting share price is a top goal in the C-suite.
- Jesse Jackson made an appearance to push GM for more African-American representation with dealership ownership.
- General Motors annual meeting webcast
Tue, Jun. 7, 8:39 AM
- All eyes in the automobile sector will be on Detroit today where General Motors (NYSE:GM) holds its annual meeting.
- Though automaker has received high marks from analysts and industry insiders for a series of next-gen moves with the self-driving, mobility, and Lyft initiatives, GM shares are down 15% from their level a year ago during the annual meeting as investors remain focused on macro issues.
- CEO Mary Barra told Bloomberg ahead of the shareholder event that GM can still "break even" in a market that falls to 10M to 11M annual sales (a steep plunge) and is positioned to weather global market disruptions.
- The optimistic CEO weighed on GM's price with a bullish view. "I absolutely think, and we think, we’re undervalued right now," noted Barra.
- GM even has a video on its investor relations website titled "GM is a compelling investment opportunity" for doubters. The bull case on GM is earnestly pitched by Barra.
- General Motors annual meeting webcast
- GM closed at $29.99 yesterday vs. a 52-week range of $24.62 to $36.88.
Mon, Jun. 6, 3:30 AM
- In a somewhat unprecedented way of moving metal, Cadillac President Johan de Nysschen will this month begin looking for commitments from store owners willing to set up showrooms where buyers can learn about products via VR headsets without getting behind the wheel.
- Virtual stores are a part of "Project Pinnacle," an extensive retail-strategy overhaul by General Motors' (NYSE:GM) luxury division that was first introduced a few months ago in closed-door meetings.
Fri, Jun. 3, 7:31 AM
- General Motors (NYSE:GM) announces it delivered 295,282 vehicles in China during May. The mark is 16.9% higher than the delivery level from a year ago.
- Deliveries by brand: Cadillac +30% to 8,568 units; Buick +61% to 100,864 units; Baojun +80% to 43,515 units; Chevrolet -24% to 38,115 units; Wuling -5% to 104,170 units.
- Demand for SUVs, MPVs, and luxury vehicles stayed strong for GM during the month.
Fri, Jun. 3, 4:41 AM
- Michigan-based airbag maker Key Safety Systems and its new Chinese parent Ningbo Joyson Electronic Corp are discussing a potential investment in Takata (OTCPK:TKTDY) with Lazard.
- The news comes as automakers wrangle with regulators over the more than 100M vehicles worldwide that have been called back over Takata's deadly inflators.
- General Motors (NYSE:GM) is the latest to resist some recalls, citing no cases of an air bag rupturing among deployments in its large pickup trucks and SUVs.
Thu, Jun. 2, 9:11 AM| Thu, Jun. 2, 9:11 AM | 11 Comments
General Motors Co. engages in the designing, manufacturing, and selling of cars, trucks, and automobile parts. It also provides automotive financing services through General Motors Financial Company, Inc. It operates through the following automotive segments: GM North America, GM Europe, GM... More
Sector: Consumer Goods
Industry: Auto Manufacturers - Major
Country: United States
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