2-Star Stocks Poised to Plunge: General Motors?

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Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, auto giant General Motors (NYSE: GM) has received a distressing two-star ranking.

With that in mind, let's take a closer look at GM and see what CAPS investors are saying about the stock right now.

GMfacts

Headquarters (founded)Detroit (1908)
Market Cap$37.1 billion
IndustryAutomobile manufacturers
Trailing-12-Month Revenue$150.1 million
ManagementChairman/CEO Daniel Akerson
CFO Daniel Ammann
Trailing-12-Month Return on Equity14.6%
Cash/Debt$32.6 billion / $14.8 billion
CompetitorsChrysler Group
Ford Motor
Toyota Motor

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 21% of the 1,035 members who have rated GM believe the stock will underperform the S&P 500 going forward.

About a month ago, one of those Fools, bignort2001, succinctly summed up the GM bear case for our community:

A crappy company doesn't become a good one just because the [government] owns it. The auto industry is in for decline everywhere. [A]s one of the worst players, GM will continue to look at shrinking share of a flat or smaller auto market.

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