Analysts’ views on US auto giants
According to 2016 US sales data, General Motors (GM) and Ford Motor (F) are the two largest auto companies in the United States. Reuters’s latest data shows that only 17% of the 24 analysts covering both companies have recommended “buy” for Ford, whereas 42% ohave recommended “buy” for GM. Of the remaining recommendations, 50% and 75% were “hold” for GM and Ford, respectively, and 8% were “sell.”
Consensus 12-month target prices
As of November 7, analysts’ 12-month consensus target price for Ford was $12.72, ~4.6% higher than its market price of $12.16. Analysts’ consensus target price for GM was $46.52, ~11.6% higher than its market price of $41.70. A lower percentage of analysts are recommending “buy” for GM and Ford stock in November than in October.
As of November 7, Ford stock had risen marginally, by 0.2%, in 2017, while GM’s stock had risen ~19.7%. Meanwhile, the S&P 500 (SPY) had risen 15.7%.