New to Investment Firms?


Already have an account?

How to Buy General Motors Stock

General Motors has been at the center of the automobile revolution for more than a century. General Motors employs almost 85,000 people in the United States, generating millions of dollars for communities across the nation. Our guide will show you how to open a brokerage account and how to buy General Motors stock.

Quick General Motors Stock History 

General Motors Company (GM) is an American multinational corporation headquartered in Detroit, Michigan. They specialize in designing, manufacturing, marketing, and distributing vehicles and vehicle parts, and sell financial services, with global headquarters in Detroit’s Renaissance Center.

William C. Durant established it as a holding corporation on September 16, 1908. General Motors is a multinational corporation that has proved to have worldwide reach and capabilities.

Chevrolet, Buick, GMC, and Cadillac are the four primary automotive brands of General Motors, which manufactures automobiles in numerous countries. Maven, the company’s mobility branch, provides car-sharing services across the country and is researching alternatives to individual car ownership.

In 2016, GM’s annual global sales volume surpassed 10 million automobiles.

The Good and the Bad of General Motors Stock

There are numerous advantages to owning stocks or shares in a corporation. Here are some of the advantages and disadvantages of owning General Motors stock.

Pros of Owning General Motors Stock 

  • GM’s rapid transition will see the company invest $7 billion this year and $27 billion by 2025 in electrified and autonomous vehicles.
  • The company’s recent agreement with the United Autoworkers is a huge plus for General Motors stock. Putting thousands of people back to work is fantastic for GM stockholders, who could use some relief after a month of nervously fretting about production issues.

Cons of Owning General Motors Stock 

  • GM appears to be falling behind rival automakers in terms of customer appeal.
  • One evident issue with GM that is difficult to defend or dismiss is that its sales look to be in a long-term decline. In reality, revenue has consistently dropped over the past half decade.

Outlook for General Motors Stock

General Motors recently posted first-quarter earnings that were substantially above Wall Street projections. For 2021, the firm expects adjusted pretax earnings of $10 billion to $11 billion.

This translates as $4.50 to $5.25 per share, and their adjusted automotive free cash flow is projected to be $1 billion to $2 billion. Despite a global semiconductor chip scarcity that has resulted in manufacturer closures, the business anticipates a robust first half of the year. 

The carmaker recorded $4.4 billion in pretax adjusted profit for the first quarter, up from $1.3 billion the previous year. Uncertainties about GM’s slow-moving stock prices and entirely stagnant revenues both plague the firm right now, with no strong sign of when or if the firm will escape from its present situation to start generating positive stock statistics.

Steps to Buy General Motors Stock

To purchase General Motors stock, you must first open a brokerage account, then a trading account, deposit money, and then you will be able to begin purchasing shares. 

Step 1: Select a Brokerage

You’ll need a brokerage account in order to invest in General Motors stock. Consider creating a brokerage account now so that you are ready to purchase the stock when the price is right.

Step 2: Open the Trading Account

Opening a trading account can be easy with the help of a broker. After you’ve determined which brokerage is appropriate for you, create an account with them.

This account will be used to post transactions and trade stocks.

Step 3: Deposit Funds Into the Account

Without funds, you won’t have any way of purchasing stocks. So, after you’ve linked an approved method of payment to your account, you’ll be able to deposit funds to purchase General Motors shares.

Once your account is officially activated, you must decide how many shares of General Motors stock you wish to acquire.

Step 4: Search for the General Motors Ticker Symbol (GM)

You can search for a stock by either the company name or a ticker symbol. Find the stock using the ticker symbol, GM, and conduct some research before deciding if it’s a good investment for you.

Step 5: Purchase General Motors Stock

Brokers will have a “deal ticket” at the bottom of each page where you may place your order. You will enter the symbol and the number of shares you wish to purchase on the broker’s order form.

You can buy as many shares as you like with a market order, or you can use a limit order to postpone the purchase until the stock reaches a particular price.

Is General Motors Stock a Good Buy?

GM stock has risen this year, but it still lags behind the S&P 500. General Motors Company represents the pinnacle of the classic American automaker and is prepared to restore its title as the world’s finest automaker.

However, in order to do so the corporation must overcome some significant obstacles. This stock has been trending upward at points in time this year and could prove to be a great investment.

If you would like to consult a professional to help you invest in stocks, feel free to reach out to a trusted financial advisor today.