General Motors Co. shares were poised to hit a record close Thursday, stretching their winning run to a fourth session and topping $50 on optimism about the company’s electric-vehicle push.
traded as high as $142.71, an intraday high based on available data going back to 1972. The stock has gained in the past seven out of eight sessions and on Thursday was the sixth best performer in the Dow Jones Industrial Average.
Analyst Bill Selesky at Argus on Thursday raised his rating on GM stock to buy, from hold, saying that the company continues to expand into electric and autonomous vehicles and it benefits from “high margins” in North America as well as “solid cash flow and a strong balance sheet.”
Investors have undervalued GM in internal combustion vehicles and other aspects of its business, Selesky said in the note. He raised his price target on GM shares to $56, implying an upside around 15% from current levels.
Shares of GM have gained 46% in the past 12 months, compared with gains around 16% for the S&P 500 index.
GM was “the star of the show” earlier this week at virtual CES, Dan Ives with Wedbush said in a note Thursday. GM updates in battery technology and new EV models “lays out a new path of growth for the company and makes them a major player in the EV industry for years to come,” he said.
GM also unveiled a new business, BrightDrop, focused on deliveries and logistics, with FedEx among its first customers.