In this video, Blake Bos outlines three risks to General Motors:
- GM rides the highs and lows of the economy. If the European economy falls flat, for example, GM will feel it in its earnings.
- A substantial unfunded pension liability will eat into earnings for the next few years.
- Corporate culture has begun to improve, as its high-quality popular new cars bear out. Will the trend continue, or will GM slip back into its past habits of mediocrity?
For more details, check out the video.
Blake Bos has no position in any stocks mentioned. The Motley Fool recommends Ford and General Motors and owns shares of Ford. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.