Tigress Reiterates On General Motors Company As Shares Represent Attractive Risk/Reward Scenario

Tigress Financial Partners reiterated its Strong Buy rating on General Motors Company GM in a report issued Wednesday.

Analyst Ivan Feinseth expressed that "GM’s strong product pipeline emphasizing the luxury Cadillac brand and a defined pathway to long- term cost savings left us feeling optimistic about GM’s future."

Feinseth noted that "GM’s profitability is largely dependent on high margin sales of luxury vehicles. According to GM’s estimates, the luxury automotive segment is expected to grow 36 percent by 2020, with much of that growth coming from China."

Cadillac is expected to be a major driver of Economic Profit through increased brand awareness and marketing efforts, according to the Feinseth.

The report observed that "GM’s profitability is at an inflection point. GM’s increasing utilization of global platforms is helping to lower the variable costs for parts."

Feinseth concluded that "shares of GM represent an attractive risk/reward scenario."

General Motors Company traded at $31.90 in the pre-market on Wednesday, up 0.41 percent.

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm
Posted In: Analyst ColorReiterationAnalyst RatingsCadillacIvan FeinsethTigress Financial Partners
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!