Fundamental analysis GM (General Motors Co)

Updated on 10/20/2026

Method and analysis by Lubin Danilo, founder of Lubin Investment. Score computed automatically, with no human opinion.

We analyzed General Motors stock against the 10 quality criteria of Lubin Investment. The company gets a quality score of 6/10, meaning medium quality, and a P/FCF valuation multiple of 5.0×.

General Motors trades at a low free cash flow multiple but fails part of our quality criteria. Mind the trap: a low price is not a discount if the business is deteriorating. The low multiple may simply reflect a real problem.

Sector: Auto Manufacturers. Listing: US. Current price: 77.09 USD.

Lubin scoring methodology

General Motors Co (GM)'s score is calculated automatically from 10 objective financial criteria, with no human intervention or opinion. Each criterion is validated (YES / PARTIAL / NO) based on thresholds drawn from the financial literature (Warren Buffett, Michael Mauboussin, Aswath Damodaran). The final score is the sum of validations.

The thresholds come from the financial literature, not from our preferences: see the valuation work of Aswath Damodaran (NYU Stern) and the SEC investor education resources (investor.gov).

General Motors's accounts are public: you can check every figure in its official 10-K filings with the SEC (EDGAR).

The 10 quantitative criteria analyzed

1. Profitable: net margin > 5%
2. Growing revenue: revenue growing > 10%/year over 5 years
3. Growing earnings per share: FCF per share adjusted for stock-based compensation, > 10%/year over 5 years
4. Share count under control: stable or declining (net buybacks = value creation for shareholders)
5. Growing revenue per employee: revenue and revenue per employee both grow ≥ 10%/year over 5 years; partial when only one growth driver reaches its tier (fallback: free cash flow margin > 10% when employee history is unavailable)
6. Expanding margins: operating margin widens over 5 years (operating leverage)
7. Return on invested capital: Cash ROCE > 15% per year
8. Debt under control: net debt repayable in less than 3 years of free cash flow
9. Earnings converted to cash: free cash flow exceeds accounting net income
10. Net collection period: short or negative cash conversion cycle

Its price against peers

Against the 5 other Auto Manufacturers stocks we have scored, General Motors trades at 5.0× its free cash flow, versus a median of 15.9× for that basket. On price alone, General Motors is therefore cheaper than its peers. That says nothing about its quality: at Lubin Investment, quality and price are judged separately, and a low multiple is only a bargain if the quality holds up.

Frequently asked questions

Is General Motors a quality stock?

General Motors gets a quality score of 6/10 (medium quality), calculated over the 10 Lubin Investment criteria: profitability, revenue and free cash flow growth, share buybacks, margins, debt and return on capital.

How is General Motors's score calculated?

The score is the total of validated criteria (YES / PARTIAL / NO) using thresholds drawn from the financial literature (Warren Buffett, Mauboussin, Aswath Damodaran), automatically and with no human opinion.

What is General Motors's P/FCF?

The price-to-free-cash-flow (P/FCF) multiple of General Motors stock is 5.0×. At Lubin Investment, valuation is judged separately from quality.

Where to see General Motors's full analysis?

The full interactive analysis (10-criteria detail, history, P/FCF valuation, sector comparisons) is available at https://lubin-investment.com/analyse/GM?lng=en.

Articles about General Motors

• General Motors (GM): What to Expect Before Earnings (2026-07-12)

Other stocks in the Auto Manufacturers sector

• Hero MotoCorp (HEROMOTOCO.NS), score 10/10, P/FCF 15.9×
• Ferrari (RACE.MI), score 9/10, P/FCF 45.1×
• Hong Leong Asia (H22.SI), score 9/10, P/FCF 5.0×
• Force Motors (FORCEMOT.NS), score 9/10, P/FCF 30.4×

Go further

👉 See the full interactive analysis of GM

Other resources : All stocks in the Auto Manufacturers sector.