GM and Ford Stocks Climbed in Morning Trading

GM and Ford stock climbed in morning trading as Citigroup analyst raised his price targets on shares of Ford Motor and General Motors.

Citigroup analyst Michaeli was bullish on General Motors (GM), maintaining a Buy rating and raising his price target to $96 from $90. He sees GM benefiting from new launches of its ICE trucks and electric vehicles, and a positive supply-and-demand cycle.

“GM remains our top pick,” Michaeli wrote, even though the shares have underperformed since the departure of the CEO of the company’s autonomous vehicle branch, Cruise.

Michaeli also increased Ford’s (F) price target to $23, up from $20, to reflect the industry’s strong fourth-quarter trends and U.S. demand. Ford’s continued execution, including on electric vehicles, will continue to bring the company upsides, he added. The analyst reiterated a Neutral rating on the stock.

“We continue to see greater relative upside at GM, but we maintain a constructive stance on Ford, as the long-term risk/reward proposition continues to improve,” Michaeli said.