NEW YORK (TheStreet) -- General Motors (GM) - Get General Motors Company (GM) Report stock is rising 0.97% to $30.28 in afternoon trading on Monday after CEO Mary Barra said the automaker is worth more than its current value and can remain profitable during an economic downturn.
"I absolutely think, and we think, we're undervalued right now," Barra told Bloomberg Television. "We're going to continue to work to keep making sure people understand exactly the mission of General Motors and what we're working toward."
Shares of Detroit-based GM are down more than 10% year-to-date despite first quarter earnings growth because investors are concerned about peak auto sales, Bloomberg reports.
Barra explained that GM could break even in the U.S. market if at least 10 million vehicles a year are sold by domestic companies. Last year, U.S. automakers sold 17.47 million vehicles.
Morgan Stanley analysts estimate that domestic auto sales would have to be at least 13 million units a year for GM and its competitor Ford Motor (F) to break even, Bloomberg added.
Separately, General Motors has a "buy" rating and a letter grade of B- at TheStreet Ratings because of the company's compelling growth in net income, revenue growth, notable return on equity, attractive valuation levels and impressive record of earnings per share growth.
You can view the full analysis from the report here: GM
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.