Is GM a high-quality business?

AlphaMadera's AlphaQuality grade scores General Motors Company on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how GM compares to a Buffett-style quality bar.

What is General Motors Company's AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to GM based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes GM a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

GM - General Motors Company

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $93.92 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Stable Earnings Power

AlphaQuality — archetype-weighted quantitative grade

C- 44.7 / 100 composite

Composite Grade

Composite of six pillars weighted for stable earnings power businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 20%

F 26.8

5yr Avg ROIC 4.2% 31/100
Operating Margin Trend -1.13 pp/yr 17/100

Capital Efficiency

Weight: 15%

A- 82.0

5yr Avg ROE 12.7% 72/100
5yr Share-Count CAGR -9.8% 100/100

Growth Quality

Weight: 15%

C 51.8

5yr Revenue CAGR 9.9% 80/100
5yr EPS CAGR -16.4% 0/100
Revenue-Growth Years (5) 4/5 80/100

Cash Generation

Weight: 15%

F 23.1

5yr FCF Margin -1.6% 17/100
5yr FCF/NI Conversion 0.31x 31/100

Balance Sheet

Weight: 20%

F 25.3

Net Debt / EBITDA 5.86x 9/100
Interest Coverage (EBIT/Int) 4.00x 55/100
Altman Z-Score 1.20 20/100

Stability

Weight: 15%

B 70.5

EPS Volatility (σ/μ) 0.22 68/100
Piotroski F-Score 6 67/100
Negative-Revenue Years (5) 1/5 80/100

6 of 6 gurus held; 2 added; 3 trimmed.

Holders: 6
Avg Δ position: -2.3%
New buys: 0
Full exits: 0

Cooperman decreased -64%
Greenblatt increased +49%
Halvorsen increased +35%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (20%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (15%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (20%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (15%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.