With increasing demand for carbon neutral vehicles and the gradual decrease in global semiconductor shortage, we expect a strong recovery of the automotive industry. Shares of well-established automakers are expected to increase. Toyota Motor (NYSE 🙂 and General Motors (GM ) are both good options. Which stock is better to buy right now? Find out more. Headquartered at Toyota in Japan, Toyota Motor CorporationTM designs, produces, assembles, sells commercial and passenger cars, as well as accessories and parts. It is active in Automotive, Financial Services, and Other segments. General Motors Company (NYSE) is based in Detroit, Mich. It designs, manufactures and markets automobiles and parts around the world. The company is represented by GM North America, GM International, Cruise and GM Financial.

Massive government and private investment to increase semiconductor production will help the industry recover from the crisis. A traditional automaker might prove more profitable due to their extensive portfolio and market leadership. Market Research Future reports that the industry will grow by 4.5% between 2021 and 2028. Both TM and GM will therefore benefit.

TM prices have risen 20.1% during the past six month, while GM returns 17.9%. However, GM’s 7.5% gains over the past month are higher than GM’s 4.1% returns. And GM is the clear winner with 16.1% gains versus TM’s 1.9% returns in terms of their past three months’ performance.

Continue reading on StockNews