Latest news with #Berstein
Yahoo
4 days ago
- Automotive
- Yahoo
Why General Motors (GM) Shares Are Trading Lower Today
Shares of automotive manufacturer General Motors (NYSE:GM) fell 5.2% in the afternoon session after President Trump announced plans to double tariffs on steel and aluminum imports to 50%. Automakers rely heavily on these raw materials for vehicle production, and a tariff hike would directly increase production costs and reduce profits. For investors, this could also signal downward pressure on earnings, potential cuts to forward guidance, and increased uncertainty. The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Is now the time to buy General Motors? Access our full analysis report here, it's free. General Motors's shares are somewhat volatile and have had 13 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. The biggest move we wrote about over the last year was 4 months ago when the stock dropped 11.1% on the news that the company reported weak fourth-quarter 2024 earnings and provided guidance that assumed a stable policy environment in the US, thus failing to help investors shrug off concerns relating to the impact of regulatory measures. A key concern is the Trump administration's potential plans to reduce incentives like tax credits, which have helped accelerate the demand for EVs. If these plans are implemented, both GM and other EV players may need to rethink their growth forecasts. A Berstein analyst added following the earnings release "In our view, the guidance for 2025 leaves no room for errors, and also does not include impact from regulatory changes in the U.S., especially on tariffs and BEV support." On a more positive note, General Motors beat analysts' revenue expectations, and its full-year EPS guidance came in higher than Wall Street's estimates. Overall, this was a mixed quarter, which failed to clear up uncertainties. General Motors is down 8% since the beginning of the year, and at $47.27 per share, it is trading 21.5% below its 52-week high of $60.20 from November 2024. Investors who bought $1,000 worth of General Motors's shares 5 years ago would now be looking at an investment worth $1,724. Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.
Yahoo
29-04-2025
- Business
- Yahoo
Watch These Boeing Stock Price Levels After 5-Session Winning Streak Snapped
Boeing shares closed slightly lower on Tuesday to put an end to a five-day winning streak during which the stock gained 14%. Since forming a bullish piercing pattern earlier this month, the stock has continued to move higher, potentially forming a double bottom in the process. Investors should watch overhead areas on Boeing's chart around $187 and $215, while also tracking important support levels near $140 and $ (BA) shares closed slightly lower on Tuesday to put an end to a five-day winning streak during which the stock gained 14%. The stock got a boost to start the week after analysts at Berstein upgraded the stock, pointing out that the jet maker's narrower-than-expected first quarter loss posted last week indicates a turnaround toward growth. In addition, Spirit AeroSystems Holdings and Boeing rival Airbus agreed to a deal Monday, clearing the way for Boeing to reacquire the supplier as it works to improve its manufacturing quality Boeing shares have gained 5% since the start of the year, after a turbulent 2024 that saw the stock lose a third of its value as a string of production mishaps and a crippling machinists strike weighed on investor sentiment. Boeing shares fell 0.2% to $182 on Tuesday. Below, we break down the technicals on Boeing's weekly chart and identify major price level worth putting on the radar. Since forming a bullish piercing pattern earlier this month, Boeing shares have continued to move higher, potentially forming a double bottom in the process. It's also worth noting that while this month's low made a lower low, the relative strength index (RSI) made a comparatively shallower trough to create a bullish divergence, a technical occurrence pointing to weakening selling pressure. Let's identify two major overhead areas on Boeing's chart that investors may be watching and also locate important support levels worth tracking during pullbacks. The first overhead area to watch sits around $187. This level may provide resistance near the closely watched 200-week moving average and a horizontal line that connects a range of trading activity on the chart stretching back to late 2021. Further buying enthusiasm could lift Boeing shares to the $215 level. Investors looking for profit-taking opportunities may decide to place sell orders near the upper range of a period of sideways drift on the chart between January and July 2023. This location also sits in the neighborhood of a projected bars pattern target that takes the stock's steep uptrend following a prior double bottom on the chart and repositions it from this month's low, providing insight as to how a similar move higher may play out. A retracement in the stock could see the shares fall to around $140. This area on the chart would likely attract buying interest near last November's prominent swing low, which also closely aligns with a brief period of consolidation in mid-2022. Finally, a further descent in Boeing shares could see a drop to lower support at $121. Investors may view this as a potential buying level near the May and September 2022 swing lows that preceded the stock's steep move higher in the fourth quarter of that year. The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info. As of the date this article was written, the author does not own any of the above securities. Read the original article on Investopedia
