NEW YORK (TheStreet) -- General Motors Co. (GM) shares are down 0.83% to $35.64 in trading on Thursday after the U.S. automaker reported today a second consecutive month of sales declines in China.
The decline comes despite the company's decision to cut prices on 40 of its different vehicles in China, its largest market.
Sales for the quarter fell 4% year over year to 252,567 vehicles sold in May, a decline it blamed on changeover as the company phases out its older models.
Despite the weak May numbers, the company reported that over the first five months of the year the company had record retail sales of 1,472,186 vehicles, a 5.1% increase on an annual basis.
"China's vehicle market continues to grow at a moderate pace. We expect about 6%-8% annual growth, which is significant given the size of the world's largest passenger vehicle market," said GM China President Matt Tsien.
TheStreet Ratings team rates GENERAL MOTORS CO as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate GENERAL MOTORS CO (GM) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its increase in net income, impressive record of earnings per share growth, notable return on equity, largely solid financial position with reasonable debt levels by most measures and increase in stock price during the past year. We feel its strengths outweigh the fact that the company shows weak operating cash flow."