Should You Now Consider Disposing Your General Motors (GM) Stake?

Diamond Hill Capital, an investment management firm, published its “Diamond Hill Large Cap Fund” first-quarter 2022 investor letter – a copy of which can be downloaded here. During a volatile quarter, Diamond Hill Large Cap Fund held up better than the Russell 1000 Index by a decent margin in Q1. After a strong rebound in 2021, global GDP growth is expected to moderate in 2022. Try to take some time looking at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, Diamond Hill Large Cap Fund mentioned General Motors Company (NYSE:GM) and explained its insights for the company. Founded in 1908, General Motors Company (NYSE:GM) is a Detroit, Michigan-based multinational automotive manufacturing company with a $46.2 billion market capitalization. General Motors Company (NYSE:GM) delivered a -45.90% return since the beginning of the year, while its 12-month returns are down by -44.30%. The stock closed at $31.72 per share on July 13, 2022. 

Here is what Diamond Hill Large Cap Fund has to say about General Motors Company (NYSE:GM) in its Q1 2022 investor letter:

“General Motors—and the auto industry in general—continues to face headwinds related to supply chain disruptions and raw material cost inflation. In addition, uncertainty surrounding global energy markets due to inflation and the conflict in Ukraine has created a greater economic burden on consumers, which tends to slow automotive sales.”

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Our calculations show that General Motors Company (NYSE:GM) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. General Motors Company (NYSE:GM) was in 76 hedge fund portfolios at the end of the first quarter of 2022, compared to 90 funds in the previous quarter. General Motors Company (NYSE:GM) delivered a -20.96% return in the past 3 months.

In April 2022, we also shared another hedge fund’s views on General Motors Company (NYSE:GM) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

Disclosure: None. This article is originally published at Insider Monkey.