The value of GM stock surpassed the $40 per share threshold during a mid-week rally today, Wednesday February 6th, 2019, marking a notable milestone for shares of the “new” General Motors.
So far today, shares reached a high of $40.74 per share and a low of $39,75. The results come on the heels of a generally positive earnings report for Q4 2018 and for the entire 2018 calendar year.
By comparison, The General’s domestic competition doesn’t seem to be enjoying similar success. Ford shares decreased slightly to $8.74 per share while those of Fiat Chrysler saw minimal gains of roughly $0.03.
If this upward trend continues until the end of the business week, then it would become the fifth consecutive week during which GM stock saw an increase in value. The boost seems to have started following a GM investors conference prior to the start of the 2019 Detroit Auto Show conference. During the conference, the automaker presented its strategy for new models intended for developing markets as well as several future Cadillac vehicles and how they will contribute to its bottom line.
A day after, GM unveiled the all-new Cadillac XT6 three-row crossover SUV and pre-announced an electric Cadillac crossover at the Detroit Auto Show. The former is set to be a significant driver of sales volume, revenue and profit, while the latter will give Cadillac a foothold into the nascent (yet growing) luxury electric vehicle segment.
Several macroeconomic factors also appear to be aiding the ongoing GM stock rally, including the semi-permanent end of the governmental shutdown.