GM Stock Downgraded To Neutral At Barclays

By Claudia AssisMarketWatch Pulse

Analysts at Barclays on Thursday downgraded General Motors Co. stock to equalweight, citing concerns about "deteriorating China conditions" for the U.S. car maker. "We struggle to see meaningful upside for GM stock through at least the remainder of the year," the analysts said. GM's downgrade was part of a large shuffle to negative sentiment on the car industry for Barclays; the investment bank downgraded the sector to negative from neutral. The sector's underperformance is likely to continue as China car sales will disappoint, the analysts said. The analysts also downgraded car-parts suppliers BorgWarner Inc. , Delphi Automotive Plc. , and Lear Corp. to equalweight. They highlighted Mobileye NV , however, saying that the maker of driver-assistance products would not be affected by the challenges in China and stands to gain more market share. The analysts rose their price target on Mobileye to $76 from $66 a share.

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