GM Down 8.1% In A Day. What Happened During Past Market Dips?
- In Inflation Shock, General Motors stock declined 59% vs 25% for S&P 500. During covid pandemic, it dropped 55% compared to the S&P 500’s 34%.
- Following the Inflation Shock, the stock has not yet recovered to its pre-crisis peak, whereas the S&P 500 recovered in 15 months. In the 2018 correction, the stock took 27 months to recover, compared to 4 months for the S&P 500.
General Motors Stock Performance In Market Crashes:
| GM | S&P 500 | |
|---|---|---|
| 2018 Correction | ||
| % Change from Pre-Recession Peak | -34% | -20% |
| # of Months for Full Recovery | 27 | 4 |
| Covid Pandemic | ||
| % Change from Pre-Recession Peak | -55% | -34% |
| # of Months for Full Recovery | 7 | 5 |
| Inflation Shock | ||
| % Change from Pre-Recession Peak | -59% | -25% |
| # of Months for Full Recovery | Yet to Recover | 15 |
Worried that GM could fall much more? You could take a look at the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming the S&P 500 over the last 4-year period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.
Relevant Articles