The following video is part of our "Motley Fool Conversations" series, in which industrials editor/analyst Brendan Byrnes and consumer goods editor/analyst Austin Smith discuss topics across the investing world.
In today's edition, Brendan gives three reasons to buy big domestic automaker General Motors. The company should continue to capitalize on pent-up demand for vehicles in the U.S., where GM is the market share leader. GM is also the market leader in China, the world's biggest auto market, and should continue to do well there as industrywide sales hit an incredible 30 million units by 2020. Finally, the main reason to buy GM is that the company is simply dirt cheap. Trading at less than five times forward earnings, Brendan thinks this stock is a steal today.
With Europe in shambles, many investors may be nervous about investing in a company that's internationally focused, but they shouldn't be. Emerging markets are giving new life to established American companies with deep pockets. As these industry titans look abroad for more sales, they aren't starting with a blank slate -- they're bringing their operational excellence to new markets and thriving. To uncover these picks today, we invite you to read a copy of our free report: "3 American Companies Set to Dominate the World." The report won't be available forever, so we invite you to click here to get your copy today!
At the time thisarticle was published Austin Smithhas no positions in the stocks mentioned above.Brendan Byrnesowns shares of Ford. The Motley Fool owns shares of Ford.Motley Fool newsletter services recommendFord and General Motors Company. Try any of our Foolish newsletter servicesfree for 30 days. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Motley Fool has adisclosure policy.
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