Ford Motor Company (F): Is General Motors Company (GM) a Better Investment Than Its Peers?

Page 2 of 2

GM Chart

GM data by YCharts

However, Ford Motor Company (NYSE:F) does yield 2.5%, whereas Toyota Motor Corporation (ADR) (NYSE:TM) yields 1.1%, and General Motors offers no yield.

You might have noticed that Toyota Motor Corporation (ADR) (NYSE:TM) is the weakest performer on that one-year chart. But the chart doesn’t show that Toyota has been the top performer year-to-date. Japanese Prime Minister Shinzo Abe’s monetary stimulus policy, better known as Abenomics, has hurt the yen and driven stocks higher, similar to what we saw in the United States coming out of The Great Recession. This trend should help Toyota exports.

Toyota recently reported a strong first quarter, doubling its net profit and upping its full-year net income forecast by 8%. Furthermore, Toyota increased its global market share to 11.5% from 11.4% year-over-year. All above factors considered, Toyota might present a better investment opportunity than General Motors right now.

Conclusion

General Motors, and Ford Motor Company (NYSE:F), cannot be run much better than they’re being run at the moment. At the same time, industry trends are more powerful than strong management teams. Therefore, I wouldn’t recommend General Motors at this point in time. However, this is an ever-changing industry, and this story could always shift in the near future.

The article Is General Motors a Better Investment Than Its Peers? originally appeared on Fool.com and is written by Dan Moskowitz.

Dan Moskowitz has no position in any stocks mentioned. The Motley Fool recommends Ford and General Motors. The Motley Fool owns shares of Ford.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2