Billionaire David Tepper is Dumping These 5 Stocks

2. General Motors Company (NYSE:GM)

Number of Hedge Fund Holders: 76

General Motors Company (NYSE:GM) is an American multinational automobile manufacturer. In Q4 2021, David Tepper’s Appaloosa Management owned 2.25 million shares of General Motors Company (NYSE:GM), worth about $132 million. The hedge fund dumped its stake completely in the first quarter of 2022. 

On July 27, Benchmark analyst Michael Ward lowered the price target on General Motors Company (NYSE:GM) to $60 from $75 and kept a Buy rating on the shares after the company’s Q2 results. The analyst dropped his 2023 earnings estimate to account for increased interest costs at GM Financial and reduced his target multiple to the low end of his range.

According to Insider Monkey’s data, 76 hedge funds were long General Motors Company (NYSE:GM) in Q1 2022, down from 90 funds a quarter earlier. Warren Buffett’s Berkshire Hathaway held the biggest position in the company, consisting of 62 million shares worth $2.7 billion.  

Here is what Diamond Hill Large Cap Fund has to say about General Motors Company (NYSE:GM) in its Q1 2022 investor letter:

“General Motors—and the auto industry in general—continues to face headwinds related to supply chain disruptions and raw material cost inflation. In addition, uncertainty surrounding global energy markets due to inflation and the conflict in Ukraine has created a greater economic burden on consumers, which tends to slow automotive sales.”