General Motors (NYSE:GM) stock is getting a boost on Tuesday after the automotive company announced a $6 billion share buyback program.
The board of directors at General Motors signed off on the repurchase of up to $6 billion in shares of GM stock. The company is announcing this news share buyback program as it expects to complete its prior $10 billion one by the end of June.
It’s worth pointing out that this share buyback is a morale boost for GM investors amid turbulence at the company. This comes as consumer demand for electric vehicles (EVs) is starting to wane.
General Motors chief financial officer (CFO) Paul Jacobson said the following about the share buyback:
“The investments GM made in its brands and product portfolio over the last several years, and the company’s operating discipline, are delivering consistently strong revenue growth, margins and free cash flow. We are very focused on the profitability of our ICE business, we’re growing and improving the profitability of our EV business and deploying our capital efficiently. This allows us to continue returning cash to shareholders.”
GM Stock Movement on Tuesday
News of the GM stock buyback brings with it strong trading for the company’s shares today. This has more than 11 million shares trading hands as of this writing. That’s closing in on the company’s daily average trading volume of about 14.9 million shares.
GM stock is up slightly as of Tuesday afternoon after seeing larger gains earlier this morning.
Investors will want to stick around for even more of the most recent stock market news today!
We have all of the hottest stock market happenings traders need to know about on Tuesday! Among that is what’s going on with Nvidia (NASDAQ:NVDA), Affirm (NASDAQ:AFRM) and Snowflake (NYSE:SNOW) shares today. All of that news is available at the following links!
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
