12 Best Consumer Cyclical Dividend Stocks to Buy Right Now

5. General Motors Company (NYSE:GM)

Number of Hedge Fund Holders: 68

General Motors Company (NYSE:GM) is an American multinational automotive manufacturing company that sells trucks, cars, and auto parts and provides software-enabled services and subscriptions. Instead of pursuing robotaxi development, which the company acknowledged would require significant time and resources to scale in a highly competitive market, GM shifted its focus toward driver-assist technologies that could provide near-term revenue opportunities.

This strategic shift allowed General Motors Company (NYSE:GM) to gauge consumer interest in paying for these features, and the response has been positive. According to CEO Mary Barra, approximately 20% of the nearly 18,000 Super Cruise users opted to continue their subscription after their three-year trial period ended in 2024.

In the fourth quarter of 2024, General Motors Company (NYSE:GM) reported revenue of $47.7 billion, which showed an 11% growth from the same period last year. The company’s net income declined by over $5 billion due to special charges, primarily driven by $4 billion in non-cash restructuring expenses and the impairment of its interests in certain China Joint Ventures. In addition, $0.5 billion in charges were recorded following the decision to halt funding for the Cruise robotaxi business.

General Motors Company (NYSE:GM)’s cash generation came in strong in FY24. The company recorded an operating cash flow of approximately $24 billion and its free cash flow came in at $14 billion. On February 26, it declared a 25% hike in its quarterly dividend to $0.15 per share. It is one of the best dividend stocks on our list as the company has been making regular dividend payments since 2014. The stock has a dividend yield of 1.01%, as of March 4.