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Frustrated GM investors ask what more Mary Barra can do

DETROIT — General Motors Co Chief Executive Mary Barra has transformed the No. 1 U.S. automaker in her almost five years in charge, but that is still not enough to satisfy investors. Ahead of third-quarter results due on Oct. 31, GM shares are trading about 6 percent below the $33 per share price at which they launched in 2010 in a post-bankruptcy initial public offering. The Detroit carmaker's stock is down 22 percent since Barra took over in January 2014. After hitting an all-time high of $46.48 on Oct. 24, 2017, the shares have declined 33 percent. In the same period, the Standard & Poor's 500 index has climbed 7.8 percent. Several shareholders contacted by Reuters said GM could face a third major action by activist shareholders in less than four years if the share price does not improve. "I've been expecting it," said John Levin, chairman of Levin Capital Strategies. "It just seems a tempting morsel to somebody." Levin's firm owns more than seven million GM shares. Barra has guided the company through the settlement of a federal criminal probe of a mishandled safety recall, sold off money-losing European operations, and returned $25 billion to shareholders through dividends and stock buybacks from 2012 through 2017. GM declined to comment for this story, but the company's executives privately express frustration with the market's reluctance to see it as anything more than a manufacturer tied mainly to auto market sales cycles. GM's profitable North American truck and SUV business and its money-making China operations are valued at just $14 billion, excluding the value of GM's stake in its $14.6 billion Cruise automated vehicle business and its cash reserves from its $44 billion market capitalization. The recent slump in the Chinese market, GM's largest, and plateauing U.S. demand are ratcheting up the pressure. GM is one of the few global automakers without a founding family or a government to serve as a bulwark against corporate raiders. In 2015, a group led by investor Harry Wilson pressed GM to launch a $5 billion share buyback, and commit to what is now an $18 billion ceiling on the level of cash the company would hold. In 2017, GM fended off a call by hedge fund manager David Einhorn to split its common stock shares into two classes. Einhorn, whose firm still owned more than 21 million shares at the end of June, declined to comment about GM's stock price. Other investors said there were no clear alternatives to Barra's approach.

Tesla leads and Infiniti bleeds in Consumer Reports' satisfaction survey

According to Consumer Reports, Tesla owners are more likely to rave about their vehicles than any other brand. And we're not surprised — Tesla has performed very well in past customer satisfaction surveys, despite the fact that the electric cars themselves tend to have more problems than most other automobiles. Second place went to Lincoln, which interestingly had a higher cumulative score than Tesla in individual category measurements like comfort and storage space. Ram, a truck-only brand, rounded out the top three. The consumer-focused magazine bases its owner satisfaction score on responses to a very simple question: Would you buy this exact car again? The higher percentage of owners who answer "definitely yes" to that question, the higher the satisfaction score. Further breakdowns are scored for other parts of the ownership experience, which is why brands that rank poorly in Consumer Reports' own reliability charts — like Tesla and Lincoln, for example — can still earn top marks for satisfaction. The lowest-ranked brands for satisfaction are Cadillac, Nissan and Infiniti. Interestingly, Cadillac performed better than average in Driving and Comfort and middle-of-the-road in the In-Car Electronics and Cabin Storage, but like most other brands, scored poorly in Value. In fact, only Subaru, Mazda and Volkswagen scored better than average in Value. Nissan and especially Infiniti earned comparatively low marks across the board to go along with the bottom-of-the-barrel satisfaction score. Here's the full list of automakers from Consumer Reports' satisfaction survey, ranked in order from best to worst: Tesla Lincoln Ram Chrysler Subaru Hyundai Porsche Dodge Mazda Toyota Kia Mini BMW Ford Audi Honda Volvo Volkswagen Lexus Jeep GMC Chevrolet Mercedes-Benz Buick Cadillac Nissan Infiniti It's worth diving into the individual category scores in addition to the official finishing order for a full look at the results. For instance, despite the fact that automakers like Lincoln and Ford use similar infotainment systems, their In-Car Electronics scores don't quite match up. Also, some automakers have full lineups with multiple cars, trucks and SUVs while others offer just a couple of nameplates. Head on over to Consumer Reports for all the details. Looking for a reliable car, truck or SUV? Check out the top 10 vehicles that owners keep the longest.

2020 Cadillac CT5 prototype shows off more lighting details

The elusive 2020 Cadillac CT5 luxury sports sedan has once again been spotted by a spy photographer. This time, we get to see it from all angles, whereas last time we only saw it from the front. It still has quite a bit of fake body work, and it's very clear Cadillac still hopes you'll think this is a Charger, from the big hood scoop to the fake full-width taillights. Digging past those misdirects, we can find some new details about the car. First, the car's front lighting has developed further. There are production-ready headlights fitted that appear to have some sort of LED illumination. These production lights also fit the shape we saw on the last prototype, so they'll end high up on the body, extending slightly horizontally toward the grille. There's still a section that extends back along the fender, seeming to bridge the gap between current Cadillacs and the Escala concept from which this car takes inspiration. Another addition are the vertical LED accent lights. This is another trademark feature of both current Cadillacs and the Escala, but they were absent from the last prototype we saw. We also get a look at some of the grille's details. Instead of slats, this CT5 has a plastic mesh of small rectangles. The pattern is reminiscent of brickwork. These photos also give us our first look at the back of the CT5. It looks like a fairly typical Cadillac. It's much more conservative than the front end. There are some angular cutouts in the bumper to allow exhaust gases out. The taillights have the current Cadillac look with the top curving over the rear fender. We can't tell if there will be a horizontal element like on the Escala, due to the fake lights. We're expecting the CT5 to be shown sometime next year in time for the 2020 model year. Odds are it will use off-the-shelf Cadillac engines including the turbocharged 2.0-liter four-cylinder, naturally aspirated 3.6-liter V6, and the twin-turbo 3.0-liter V6. Now that Cadillac has revealed its twin-turbo 4.2-liter V8, we'll be interested to see if that shows up in a future CT5-V. Related Video: Featured Gallery Cadillac CT5 prototype spy shots View 23 Photos Image Credit: SpiedBilde Spy Photos Cadillac Luxury Sedan cadillac ct5 cadillac escala