Operating Margin

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Price: 1 426 MXN 4.65% Market Closed

Market Cap: Mex$83.2B

4.6%

Declining

by 2%

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

4.6%

Operating Income

$8.5B

Revenue

$187.4B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

4.6%

Operating Income

Mex$8.5B

Revenue

$187.4B

Peer Comparison

Country		Company	Market Cap	Operating Margin
US		General Motors Co NYSE:GM	74.3B USD	Loading...
US		Tesla Inc NASDAQ:TSLA	1.5T USD	Loading...
JP		Toyota Motor Corp TSE:7203	45.3T JPY	Loading...
CN		BYD Co Ltd SZSE:002594	845.8B CNY	Loading...
IT		Ferrari NV MIL:RACE	55.7B EUR	Loading...
DE		Bayerische Motoren Werke AG XETRA:BMW	53.7B EUR	Loading...
DE	V	Volkswagen AG XETRA:VOW	52.6B EUR	Loading...
KR		Hyundai Motor Co KRX:005380	128.5T KRW	Loading...
DE		Mercedes Benz Group AG MIL:MBG	75.3B EUR	Loading...
DE		Daimler AG XETRA:DAI	67.5B EUR	Loading...
DE		Mercedes-Benz Group AG XETRA:MBG	51.8B EUR	Loading...

Market Distribution

Min	-4 087 900%
30th Percentile	-5.1%
Median	6%
70th Percentile	14.8%
Max	1 032 600%

Other Profitability Ratios

General Motors Co
Glance View

Economic Moat

None

Market Cap

83.2B MXN

Industry

Automobiles

General Motors Co. (GM) traces its roots back to 1908 when it emerged as a small automaker in Flint, Michigan. Over the decades, GM has grown into one of the world's largest automobile manufacturers, boasting a diverse lineup of brands including Chevrolet, Cadillac, GMC, and Buick. The company operates on a global scale, with manufacturing facilities spread across 35 countries, allowing it to cater to regional markets by adapting its vehicles to local tastes and regulations. GM has demonstrated a robust capacity for innovation, evidenced by its aggressive strides toward electric vehicle (EV) production and autonomous driving technology. By tapping into the growing demand for eco-friendly and smart vehicles, General Motors is positioning itself as a leader in the automotive industry's transformation. In its quest for profitability, GM relies on a multifaceted business model. The company's primary revenue stream comes from its core operations of designing, manufacturing, and selling vehicles and vehicle parts. Additionally, GM Financial, the automaker's captive finance arm, plays a crucial role by providing auto financing solutions that facilitate sales and enhance customer loyalty. With a keen eye on the future, the company is steadily venturing beyond the conventional car business, investing in autonomous vehicle divisions and exploring new avenues in ride-sharing and mobility services. Through strategic operations and ongoing adaptation to market trends, GM not only sustains its historical legacy but also charts a progressive path forward in the rapidly changing automotive landscape.

View GM Analysis

GM Intrinsic Value

Undervaluation 16%

Intrinsic Value

Price

What is Intrinsic Value?

Economic Moat is a concept popularized by Warren Buffett to describe a company's durable competitive advantage. It represents the 'moat' that protects a company from competitors and helps it sustain profitability over the long term. Our analysis of the past 10 years showed that companies with a wide economic moat significantly outperformed the market, delivering +645% returns compared to +189% for the S&P 500.

Our research into Economic Moat performance spans the past 10 years and focuses on companies with a wide economic moat. For this analysis, we calculated the average stock price returns of these companies, comparing them to the performance of the S&P 500 index over the same period.

The results were compelling: wide moat stocks achieved a remarkable +645% average return, compared to +188% for the broader market. This difference highlights the long-term benefits of investing in businesses that can maintain their market position and pricing power over time.

Note: This research does not account for survivorship bias. Past performance is not indicative of future results.

Determining whether a company has an economic moat requires both a deep dive into financial metrics and a qualitative assessment of its competitive position. Our analysts conduct a rigorous evaluation that focuses on identifying structural advantages that enable a company to sustain profitability and defend its market share over the long term.

The process begins with an analysis of a company’s historical financial performance. We assess how consistently the company has generated returns above its cost of capital and whether those returns have been stable or improving. However, financial performance alone doesn’t reveal the full picture. To understand the sources of these advantages, we evaluate five key drivers of economic moats:

Network Effect: We analyze whether the value of a company’s product or service grows as its user base expands. Platforms like payment systems or marketplaces benefit from this self-reinforcing.

Switching Costs: We assess whether customers face significant costs or disruptions when switching to a competitor’s product or service. High switching costs create customer stickiness and provide pricing power.

Intangible Assets: Strong brands, patents, and regulatory licenses can protect a company’s market position by creating barriers for competitors or enabling premium pricing. For example, a well-recognized consumer brand may command higher customer loyalty and margins.

Efficient scale: Occurs when a market is optimally served by one or a few players, making it unprofitable for new entrants to compete. This typically happens in industries with high fixed costs or geographic constraints, such as utilities or pipelines.

Cost Advantage: Companies with structural cost advantages can produce goods or services at a lower cost than their competitors, enabling them to offer competitive pricing or maintain higher margins. These advantages often arise from economies of scale, superior supply chain management, or proprietary technology. Firms like Walmart leverage their massive scale to negotiate better terms with suppliers, allowing them to undercut competitors on price.

By examining these factors in combination with a company’s financial performance and market positioning, we classify each company into one of three categories:

This rigorous evaluation ensures that our moat ratings are both comprehensive and reliable, giving investors the tools they need to make well-informed, long-term decisions.

The AI Assistant may sometimes provide inaccurate information.

Make your own investment decisions or consult a licensed financial advisor.

General Motors Co
BMV:GM

Peer Comparison

Market Distribution

Other Profitability Ratios

General Motors Co
Glance View

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General Motors Co BMV:GM