3 Reasons General Motors Stock Is a Screaming Buy

When thinking about General Motors (NYSE: GM), many investors think back to the financial crisis and government bailout, but that doesn't do justice to the company that GM has become in the years since. GM is doing a lot of things right, and it's quietly becoming arguably the best automotive investment out there. Here are three reasons why.When it comes to returning value to shareholders, there are two primary pathways: dividends and share buybacks. Each comes with its advantages, but General Motors has decided to go heavy on share buybacks, with its stock trading at a paltry eight times price-to-earnings.General Motors has been extremely engaged in share buyback programs over the past decade. The Detroit automaker has consistently used strong free cash flow, along with the belief that its stock is heavily undervalued, to significantly reduce shares outstanding and boost earnings per share. You can see the extreme change in the graphic below.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool