This Move Will Add Millions to GM's Profits

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A massive stamping machine formed parts for SUVs at GM's new factory in Arlington, Texas, on Monday. The new factory is one small part of a strategy to boost GM's global profits. Photo credit: General Motors Co.

General Motors  this week opened a new stamping plant in Arlington, Texas. The plant, which makes parts for GM's SUVs, cost $200 million to build and added over 100 new jobs. That's certainly important to the local economy -- but why is it important to investors in GM stock?

It's not obvious from the headlines, but this new factory is just the latest move by GM in a strategic global plan that the auto giant is using to quietly boost its profits. In this video, contributor John Rosevear explains why the new factory is important -- and how it, and others like it, could give GM's stock a big boost over time.

The article This Move Will Add Millions to GM's Profits originally appeared on

Fool contributor John Rosevear owns shares of General Motors. You can connect with him on Twitter at @jrosevearThe Motley Fool recommends General Motors. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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