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General Motors (GM) announced a 25% dividend hike on Feb. 26 and a new accelerated share buyback program. Based on its historical yield, GM stock could be worth significantly more. Value investors love these shareholder-friendly moves.
GM stock is trading at $49.37 today. Based on its new 60-cent dividend, up 15 cents annually (i.e., a hike from 12 cents to 15 cents quarterly), GM stock could be worth $60.00 per share.