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Gm Financial Analysis

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I N T R O The General Motor Company has its roots planted deep into the automotive industry. After the company was founded on September 16th, 1908, they started producing cars under a wide selection of brand names. Over the years it acquired and founded the brands Alpheon, Chevrolet,Buick, GMC, Cadillac, Holden, HSV, Opel, Vauxhall, Wuling, Baojun,Jie Fang, and UzDaewoo. Currently, the General Motor Company holds a majority stake in GM Korea and a 20% stake in IMM (Industries Mécaniques Maghrébines). GM is running its operations out of Detroit Michigan where they own the iconic GM Renissance Center that sits upon the Detroit skyline. They produce their cars out of 396 facilities on six continents manned by 216,000 employees which have collectively …show more content…

The real jem here is the improvement in this ratio over the past four years. In 2014, the year prior, they had a 2.35% margin which was amazingly brought up in one year to 6.35%. Looking through the four years, it is evident that it’s not the top line that is improving this figure, but it’s the bottom line. By bringing their profit up from $3.9 billion to $9.7 billion, they have been able to improve their profit margin. In comparison to the industry (11.32%) and the sector (9.23%), GM isn’t performing too well. It’s the potential of the company if they keep up the trend that will push them ahead of the …show more content…

Although this seems quite subjective, in general, the lower the P/E, the more bang investors are getting for their buck. GM has also been able to bring this number down tremendously over the past four years. Sitting at 72.98 in 2013, then coming down to 52.89 in 2014, and finally ending at 8.86 in 2015, they have proven to shown a strong improvement in this ratio. This large change has mostly to do with their earnings per share. Their EPS has only passed a dollar in 2015, causing every PE ratio before it to be much greater. As they brought their EPS up from 0.54, to 0.56, to 0.66, and finally to 3.84, their price earnings ratio increased respectively. In comparison, the industry P/E ratio is at 13.00. GM is proving to provide a great investment in this

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Investors will look at various analyses and rations to decide if investing in Target makes good fiscal sense. To look for profitability the investors might decide to review their return on equity vs the industry averages. Targets is higher than the average which shows them being profitable. However, an area of concern for a potential investor might be with their Price/Earnings ratio which is higher than the average Investors will look at many aspects of the company to make their decision and one area is the Price/Book ratio which is higher than the industry average.

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ROE increased by 9.34%, ROA also increased by 4.49%, and gross profit margin increased by 4.9%. This indicates that UPS is effectively using shareholders investments and efficiently using its asset to generate net income. Current ratio increased by .14% showcasing UPS has more

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General Motors and United Auto Workers Union (UAW) Long before collapse of General Motors in 2009, the company was a jewel in the crown of America. It was the first company to make 1$ billion dollar in terms of revenue in a single year (1950). Its Manufacturing facility were one of the largest in the America and its portfolio contained cars for each and every type of customer. The company saw tremendous growth till 1980’s post that its revenue and market share started declining sharply owing to increased competition from Japanese and other automakers in globalized The story of rise and fall of General Motors will be incomplete without special mention of United Auto Workers Union which was one of the important stakeholder and influencer during the whole

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this means that IBM freeing up more money than they are losing when they get rid of an asset. This shows that IBM is making smart financial decisions, decisions that will make IBM's value grow. IBM's P/E is 10.82 which is is well below the industry average of 20.9. this shows that the IBM holds tremendous value compared to the rest of its

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