Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

General Motors Co. (NYSE:GM)

Market Value Added (MVA)

Advanced level

Market value added (MVA) is the difference between a firms’s fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.


MVA

General Motors Co., MVA calculation

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Fair value of debt1 116,524  106,327  103,922  97,025  86,189 
Operating lease liability 1,178  1,249  1,389  1,219  1,483 
Market value of common equity 79,077  50,058  56,252  58,714  52,579 
Noncontrolling interests 4,647  4,165  3,917  1,199  239 
Less: Available-for-sale debt securities, marketable securities 9,046  4,174  5,966  8,313  11,841 
Market (fair) value of General Motors 192,380  157,625  159,514  149,844  128,649 
Less: Invested capital2 152,792  145,313  139,594  117,416  103,211 
MVA 39,588  12,312  19,920  32,428  25,438 

Based on: 10-K (filing date: 2021-02-10), 10-K (filing date: 2020-02-05), 10-K (filing date: 2019-02-06), 10-K (filing date: 2018-02-06), 10-K (filing date: 2017-02-07).

1 Fair value of debt. See details »

2 Invested capital. See details »

Item Description The company
MVA General Motors Co.’s market (fair) value less invested capital. General Motors Co.’s MVA decreased from 2018 to 2019 but then increased from 2019 to 2020 exceeding 2018 level.

MVA Spread Ratio

General Motors Co., MVA spread ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Market value added (MVA)1 39,588  12,312  19,920  32,428  25,438 
Invested capital2 152,792  145,313  139,594  117,416  103,211 
Performance Ratio
MVA spread ratio3 25.91% 8.47% 14.27% 27.62% 24.65%
Benchmarks
MVA Spread Ratio, Competitors4
Tesla Inc. 2,108.69% 544.89% 220.41% 328.21% 266.24%

Based on: 10-K (filing date: 2021-02-10), 10-K (filing date: 2020-02-05), 10-K (filing date: 2019-02-06), 10-K (filing date: 2018-02-06), 10-K (filing date: 2017-02-07).

1 MVA. See details »

2 Invested capital. See details »

3 2020 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 39,588 ÷ 152,792 = 25.91%

4 Click competitor name to see calculations.

Performance ratio Description The company
MVA spread ratio The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. General Motors Co.’s MVA spread ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

MVA Margin

General Motors Co., MVA margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Market value added (MVA)1 39,588  12,312  19,920  32,428  25,438 
 
Automotive net sales and revenue 108,673  122,697  133,045  133,449  156,849 
Add: Increase (decrease) in deferred revenue (349) (267) 176  1,307  883 
Adjusted automotive net sales and revenue 108,324  122,430  133,221  134,756  157,732 
Performance Ratio
MVA margin2 36.55% 10.06% 14.95% 24.06% 16.13%
Benchmarks
MVA Margin, Competitors3
Tesla Inc. 2,591.72% 548.16% 224.10% 453.82% 466.90%

Based on: 10-K (filing date: 2021-02-10), 10-K (filing date: 2020-02-05), 10-K (filing date: 2019-02-06), 10-K (filing date: 2018-02-06), 10-K (filing date: 2017-02-07).

1 MVA. See details »

2 2020 Calculation
MVA margin = 100 × MVA ÷ Adjusted automotive net sales and revenue
= 100 × 39,588 ÷ 108,324 = 36.55%

3 Click competitor name to see calculations.

Performance ratio Description The company
MVA margin The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. General Motors Co.’s MVA margin ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.