Why General Motors Stock Is Sliding

Why General Motors Stock Is Sliding

General Motors Co GM shares are trading lower Wednesday after Morgan Stanley slashed its price target on the stock.

Morgan Stanley analyst Adam Jonas maintained General Motors with an Equal-Weight rating and lowered the price target from $42 to $30, citing a weak outlook for GM's China business.

The Morgan Stanley analyst also prefers the valuation of Ford Motor Co F over General Motors stock at current levels. Both companies reported September sales numbers this week. 

September Sales: GM said it sold 555,580 vehicles in the United States in the third quarter, up 24% year-over-year. The company said the jump in sales was due to strong customer demand and improved availability. 

Ford said it sold a total of 142,644 vehicles in September, consisting of 68,299 trucks, 70,887 SUVs and 4,691 EVs. EV sales were up 197.3% on a year-over-year basis. 

See Also: Why Ford Stock Is Rising Today

GM is set to report its third-quarter financial results before the market opens on Oct. 25.

GM Price Action: GM has a 52-week high of $67.21 and a 52-week low of $30.33.

The stock was down 2.01% at $35.06 Wednesday morning, according to Benzinga Pro.

Photo: courtesy of General Motors.

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