General Motors Company (GM)’s 2014 Silverado Hits a Speed Bump

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Bottom line
Currently Ford Motor Company (NYSE:F) is producing more profits than General Motors Company (NYSE:GM) off lower revenue from its leaner operations and if GM doesn’t handle this speed bump quickly, it will cause margins and profits to drop, which GM can’t afford. There’s still time for GM to smooth things out, and last month was a solid step in the right direction. In addition to that step, much of Detroit is slashing downtime to improve its inventories of popular vehicles while GM is opting to keep its typical downtime for most plants to reduce its higher inventories. When we see inventory reports released next week, we’ll know If Memorial Day sales helped slash Silverado inventories lower than 99 days. If it hasn’t, GM will have a major speed bump to deal with this summer — something management and investors hope to avoid.

The article GM’s 2014 Silverado Hits a Speed Bump originally appeared on Fool.com.

Fool contributor Daniel Miller owns shares of Ford and General Motors. The Motley Fool recommends General Motors. It recommends and owns shares of Ford.

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