4 reasons why the turning point for GM is NOW, says Citi

Citi on Thursday gave an update on General Motors GM giving 4 reasons why the company's position have never been better. Execution: General Motors' operating margins in North America are rising and the company is poised to lead with numerous key technologies such as V2V, LTE. and Supercruise. Earnings: General Motors reported fourth quarter EPs of $1.19 above consensus estimates. Guidance on 2015 earnings looks positive as well. Cash Flow: 2015 cash flow guidance was reported above analyst expectations, showing that General Motors has the capital necessary to make capital expenditures and position itself to be a leader in the U.S. automobile market US demand of automobiles: With the fall in gas prices, GM is positioned with their many key technologies to take advantage of the recent surge in US automotive sales. Citi currently rates general Motors as a Buy with a $49 price target. Other banks issued comments on General Motors as well. Bank of America Merrill Lynch "On an operating basis, the upside in the quarter was driven by stronger than expected results in South America and GMIO, while other regions were largely in-line…. We continue to expect GM's results to be led by NA in the near term, particularly considering strong industry mix & pricing and GM's upcoming product launches." Morgan Stanley "NA results were in line but look to be high quality (destocking) while the 20% EBIT beat vs. consensus was driven by LATAM, EU and non China IO. Under the circumstances, results were excellent – but the 20% dividend increase is what drives the stock." GM has traded at $36.40, up 1.6%