On Wednesday, General Motors reported fourth-quarter and full-year 2016 earnings. For the quarter, GM beat expectations. Global sales for the past year were a record for the company.
ADVERTISEMENT
Morgan Stanley's top auto analyst suggests GM could be broken up (GM)
"Does something more radical have to change to optimize shareholder value?" Morgan Stanley's Adam Jonas asked.
GM headquarters in Detroit.
ADVERTISEMENT
Recommended articles
And the market did what it has grown accustomed to doing with GM stock, sending shares into a dive (they had been rallying nicely as part of the so-called "Trump Bump"). The main source of concern is that GM's North American profit margins eroded at the end of 2016,
On a conference call with GM executives after earnings were announced, Morgan Stanley lead auto analysts Adam Jonas noted that since GM's 2010 IPO, the stock is up 6% versus the S&P500 rising 96%. In a research note published Wednesday, he reiterated that data point and opined that "
FOLLOW BUSINESS INSIDER AFRICA
ADVERTISEMENT
Recommended articles
The CBN justifies $2b billion loss in forex, dispelling Naira defense claims
10 best airports in Africa in 2024
10 most expensive cities in Africa in 2024
Illegal money changers adapt to Zimbabwe's ZiG currency rollout
Zimbabwe's ZiG currency printing contingent on reserve sufficiency
The global workforce is set to collapse without Africa
500 millionaires fall off in Kenya - here’s why
Top 10 African countries with the most centi-millionaires in 2024
