May 1, 2015, 9:39 AM| May 1, 2015, 9:39 AM | 2 Comments
Apr. 30, 2015, 11:38 AM
- General Motors (GM -0.5%) confirms it will spend $5.4B over three years to beef up its U.S. plants.
- The company disclosed investments in three plants in Michigan, but didn't provide details yet for $4.6B of the investment.
- Naturally, the UAW is full of approval on GM's announcement after watching Mexico land several major automaker investments.
- Previously: General Motors to announce major plant investment (Apr. 29 2015)
Apr. 30, 2015, 11:08 AM
- A 25-page thesis from Fiat Chrysler Automobiles titled "Confessions of Capital Junkie" presents the case that automakers need to consider consolidating through mergers.
- The automobile industry is set up for failure unless costs from R&D and regulatory changes can be shared on a larger scale, according to the company.
- "Capital consumption rate by OEMs is unacceptable—it is duplicative, does not deliver real value to consumers and is pure economic waste," reads the presentation.
- There's even a slide with a quote from Alice in Wonderland to hammer home the automaker's main points on the need for M&A.
- Today, Ford CEO Mark Fields told CNBC the company isn't looking for a merger within the auto space. Similar comments have been made by execs with General Motors, Nissan, and Toyota in the recent past.
- FCA's industry analysis (.pdf)
- Automaker stocks: GM, F, TM, HMC, TSLA, OTCQX:VLKAY, OTCPK:DDAIF, OTC:HYMLF, OTCPK:BAMXY, OTCPK:MMTOF, TTM, OTCPK:SZKMY, OTCPK:FUJHY, OTCPK:GELYF, FCAU, OTCPK:NSANY, OTCPK:DDAIF, OTCPK:MZDAY, TSLA.
Apr. 29, 2015, 5:35 PM
- General Motors (NYSE:GM) will announce a new series of investments for plants in the U.S. tomorrow at a media event, according to Detroit Free Press.
- The planned outlay is reported to be several billion dollars.
- A new $1.3B SUV facility being considered for Arlington, Texas is not one of the targets of the investment.
- Last year, GM used about 87% of its plant capacity in the U.S.
Apr. 27, 2015, 12:57 PM
- TrueCar estimates U.S. car sales will rise 6.1% Y/Y in April to 1.475M units.
- Strong demand is expected to be reported in the crossover, SUV, and pickup truck segments. Incentive spending is seen increasing 0.6% Y/Y to $2,601 per unit. April U.S. forecasts from TrueCar by automaker are listed below.
- Fiat Chrysler Automobiles (NYSE:FCAU): +10.6% to 198.6K units, market share +60 bps Y/Y to 13.5%.
- Ford (NYSE:F): +6.2% to 223.3K units, market share flat at 15.1%.
- General Motors (NYSE:GM): +5.9% to 269.1K units, market share -10 bps Y/Y to 18.3%.
- Honda (NYSE:HMC): +1.9% to 135K units, market share -30 bps Y/Y to 9.2%.
- Hyundai (OTC:HYMLF): -5.8% to 62.3K units, market share -60 bps to 4.2%.
- Kia (OTC:HYMLF): +7.9% to 57.9K units, market share flat at 3.9%.
- Nissan (OTCPK:NSANY): +8.7% to 113K units, market share +20 bps Y/Y to 7.7%.
- Subaru (OTCPK:FUJHY): +23.5% to 49.5K units, market share +50 bps Y/Y to 3.4%.
- Toyota (NYSE:TM): +3.4% to 206.4K units, market share -40 bps Y/Y to 14.0%.
- Volkswagen (OTCQX:VLKAY): -4.7% to 48.4K units, market share -40 bps Y/Y to 3.3%.
Apr. 27, 2015, 11:18 AM
- General Motors (GM +0.8%) provided an update from its ignition compensation facility.
- The automaker has processed and approved 90 death claims and 163 injury claims.
- Just three weeks ago, the tally stood at 80 death claims and 148 injury claims.
- During GM's earnings call last week execs noted the company was on target with the expected run rate of free cash flow for recall expenses - a category which includes more than compensation payments.
- GM earnings call transcript
- GM ignition compensation update (.pdf)
Apr. 24, 2015, 8:25 AM
- Price target of $37, from $42 (current $35.92).
- Cites pricing challenges.
- Previously: GM under pressure after reporting profit below expectations (Apr. 23)
- Previously: GM back on Greenlight Capital's long list (Apr. 20)
- Related: General Motors' (NYSE:GM) CEO Mary Barra on Q1 2015 Results - Earnings Call Transcript (Apr. 23)
Apr. 23, 2015, 8:14 AM
- General Motors (NYSE:GM) missed earnings estimates after Q1 results in parts of Europe and Brazil acted as a drag.
- EBIT-adjusted totals by operating segment: GM North America +$2.182B, GM Europe -$239M, GM International +$371M, GM South America -$214M, GM Financial +$214M.
- The automaker reported its total global market share fell 10 bps to 11.0% with one of the biggest slips in the U.S. cars category.
- North America capacity utilization stood at 100.5% at the end of the quarter vs. 104.4% a year ago.
- Recall and restructuring costs were also a factor during the quarter.
- GM backed its previous guidance with the Q1 report.
- Previously: General Motors slides 3.1% on earning miss
- GM -3.23% premarket to $35.96.
Apr. 23, 2015, 7:41 AM
- General Motors (NYSE:GM): Q1 EPS of $0.86 misses by $0.11.
- Revenue of $35.7B (-4.6% Y/Y) misses by $1.91B.
- Shares -3.1% PM.
Apr. 22, 2015, 5:30 PM
- ABBV, AEP, ALK, ALXN, ASPS, AVT, BAX, BBT, BCC, BEAV, BHE, BKU, BMS, BTU, CAB, CAM, CAT, CFX, CLFD, CLI, CMS, COL, COR, CSL, DAN, DGX, DHR, DLX, DNKN, DOW, DPS, DPZ, DST, EQM, EQT, ERIC, FAF, FCX, FNB, GM, GMT, GPK, GRA, HP, HSY, HUB.B, IQNT, IR, IVC, JAH, JCI, JNS, KKR, LAZ, LLY, LTM, LUV, MDP, MDSO, MHO, MJN, MMM, MO, MTH, NDAQ, NUE, NVS, NWE, ORI, PENN, PEP, PG, PHM, PII, PNK, PRLB, PTEN, RS, RTIX, RTN, SFE, SNA, SQNS, STC, SUI, SWK, SXC, SYNT, UAL, UNP, USG, UTEK, WBC, WCC, WNS
Apr. 22, 2015, 2:29 PM
- 22% of hybrid and electric car owners making a trade-in this year opted to go for a SUV, according to data from Edmunds.com
- The mark stood at 18.8% a year ago and 11.9% three years ago.
- The rate at which hybrid and EV car owners bought another green car fell below 50%.
- Edmunds.com connects the dots to conclude that the level of gas prices in the U.S. was a primary factor in the trade-in trend.
- The break-even point for higher-priced EVs lengthens as gas prices fall.
- Automobile industry analysts think the trend could snap back just as quick with an energy market shock.
- YTD U.S. plug-in sales are up ~2.9%.
- Related stocks: OTCPK:NSANY, TM, HMC, GM, F, TSLA.
Apr. 21, 2015, 9:22 AM
- General Motors (NYSE:GM) reports it sold 2.4M vehicles in Q1.
- The volume mark is 2% higher than a year ago and was led by gains in China (+9%) and North America (+6%).
- The GMC and Buick brands were standouts during the quarter with sales growth of 15% and 8% respectively during the quarter.
- GM +0.78% premarket to $37.40.
Apr. 20, 2015, 3:37 PM
Apr. 20, 2015, 2:49 AM
- Shanghai GM, a joint venture between General Motors (NYSE:GM) and China's SAIC Motor, plans to spend 100B yuan ($16B) over the next five years developing new vehicles.
- "In terms of new energy, we are keen on power efficiency...and are ardent to go electrical throughout our portfolio," Shanghai GM President Wang Yongqing said on Sunday.
- With the investment, the automaker expects to seize at least 10% of the Chinese market by creating around 10 new or upgraded models a year through 2020.
Apr. 18, 2015, 9:48 AM
- The roll-out of 4G LTE high-speed wireless connections in all 2016 General Motors (NYSE:GM) models could provide the automaker with new sources of revenue and jump-start tech initiatives of rivals.
- GM sees OnStar 4G leading to e-commerce revenue from transaction splits (fast-food, hotel rooms, entertainment, advertising), services, and data usage.
- Software upgrades pushed out via broadband connections could also save GM money on repair and warranty costs.
- While execs with GM estimate OnStar will generate $350M in profit over the next three years, some analysts have aimed much higher with their projections.
- Gartner sees 10% of all revenue from the automobile industry generated from connected broadband platforms by 2020 - a formidable mark which explains the increasing presence of Apple and Google in the sector.
- Partnerships between Silicon Valley and Detroit are expected to accelerate.
- GM sits in a nice position to defend its turf against the tech heavyweights through its valuable OnStar property - while BMW (OTCPK:BAMXY), Audi (OTCQX:VLKAY), Nissan (OTCPK:NSANY), and Tesla Motors (NASDAQ:TSLA) are also a few steps away from Internet-based revenue streams.
- Other companies which might benefit to a degree from a connected car explosion: MBLY, NVDA, AMBA, SWKS,SBUX, DPZ, T - add your own in the comments.
Apr. 16, 2015, 8:57 AM
- Opel (NYSE:GM) car registrations -1.0% to 119,053 units in March, according to the European Automobile Manufacturers Association.
- Overall EU registrations +10.6% Y/Y in March, powered by double-digit growth in Spain, Italy, and France. YTD registrations +8.6%.
- Opel market share: 7.2% vs. 8.1% a year ago.
- Opel YTD registrations -3.6%.
- Results include the Opel, Vauxhall, Chevrolet, and other GM brands.
- EAMA release (.pdf)
General Motors Co. engages in the business of design, manufacturing and sale of cars, trucks and automobile parts worldwide. It operates through four segments: GM North America, GM Europe, GM International Operations and GM South America. The GM North America segment sells vehicles under the... More
Sector: Consumer Goods
Industry: Auto Manufacturers - Major
Country: United States
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