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GM Reports 11% Surge in Sales for May, Biggest Leap Since August 2009

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General Motors CoGeneral Motors Co. (NYSE: GM) on Friday reported an 11% monthly growth in sales for May, highest since August 2009 thanks to double digit sales growth in brands like Chevrolet, GMC and Buick brands, even as Cadillac performed weaker than expectations.

According to car shopping website, Edmunds.com, the results were in line with the expectations.


Edmund.com estimated that U.S. auto-market would grow by 31% in May compared to the same period last year and soar 18% over the preceding month. For GM, it forecasted 11% growth over April’s sales.

The Company said that it sold 245,256 vehicles in May, up from 221,182 a year earlier and 15% more than April’s total.

Meanwhile, its rival’s Chevrolet sales climbed up 10% as GMC sales soared 19%. Total Buick sales jumped 19% and total Cadillac sales plummeted 15%.

Month-end dealer inventory in the U.S. was at 701,389 units- fall of 1.6% from the last month.

This year May had 26 sales days, while last year the month had 24 sales days.

The improvement in U.S. sales comes at a time when GM’s overseas sales, mainly in Europe have been badly hurt by the economic slowdown. Last month GM reported a very weak first quarter results.

Although the company showed improvement in profitability, the result was offset by weakness in overseas markets and continued losses to rival Ford Motor Co. (NYSE: F) in North America, its strongest market.

GM shares dropped 2.9% to $21.55 in recent trading. The stock plunged 19% in preceding three months.

 








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edliston
Post Written By: Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.


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Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing.

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