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GM Defense, Mistral integrate munition tech in tactical vehicle

EditorBrando Bricchi
Published 20/05/2024, 18:36
© Reuters
GM
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WASHINGTON - GM Defense, General Motors (NYSE:GM)' subsidiary focused on military applications, has partnered with defense solutions provider Mistral Inc. to upgrade its light tactical utility vehicle with advanced loitering munition technology. The collaboration integrates the Hero-120, a loitering munition system developed by Mistral and UVision, into GM Defense's vehicle based on the Chevrolet Colorado ZR2.

The modified utility vehicle includes a cargo bed designed to house the Hero-120 system, which allows operators to engage targets without direct exposure to enemy fire. The precision strike capability of the munition is engineered to optimize effectiveness and minimize collateral damage during combat operations.

John "JD (NASDAQ:JD)" Johnson, vice president of Business Development for GM Defense, emphasized the growing demand for agile and lethal light tactical wheeled vehicles. He commented on the successful initial demonstrations and the intent to continue showcasing the integrated technologies to defense customers.

Yoav Banai, vice president of Mistral, highlighted the integration as setting a new standard in military technology, combining mobility, precision, and adaptability for the U.S. Army and allied forces.

The GM Defense utility concept vehicle is designed for sustained operations in challenging environments, featuring a high percentage of commercial off-the-shelf parts for maintainability. It can be customized with various modular kits to meet the diverse needs of general purpose and special operations forces.

The vehicle is also equipped with a Multi-Canister Launcher - Expeditionary (MCL-E), which allows for the rapid and effective launch of multiple munitions, enhancing the operational scope and effectiveness of both mounted and dismounted soldiers in various combat scenarios.

GM Defense is known for delivering integrated vehicles, power and propulsion, and connectivity solutions to defense, security, and government markets. Mistral Inc., headquartered in Bethesda, Maryland, specializes in bridging operational gaps for U.S. warfighters with practical and cost-effective solutions.

This strategic collaboration aims to advance military capabilities in response to evolving battlefield challenges. The information is based on a press release statement from GM Defense LLC.

InvestingPro Insights

General Motors (GM), the parent company of GM Defense, is demonstrating a strong presence in the market with several positive indicators to consider. According to InvestingPro data, GM boasts a market capitalization of $52.18 billion and has been showcasing a robust performance with a revenue growth of 8.79% over the last twelve months as of Q1 2024. This growth is reflected in the company's revenue, which amounted to $174.87 billion during the same period. Additionally, GM's P/E ratio stands at an attractive 5.62, indicating that the stock may be undervalued relative to its earnings.

An InvestingPro Tip highlights that GM's management has been actively engaged in share buybacks, a move that often signals confidence in the company's future prospects and is typically well-received by investors. Furthermore, the company's valuation implies a strong free cash flow yield, suggesting that GM is generating ample cash relative to its share price.

With 13 analysts having revised their earnings upwards for the upcoming period, it's clear that the sentiment around GM is positive. This could be particularly relevant for investors interested in the company's long-term potential, especially considering GM Defense's innovative collaborations in the military sector. For more InvestingPro Tips, including insights on GM's low earnings multiple and its status as a prominent player in the Automobiles industry, investors can visit Investing.com/pro/GM. There are a total of 13 additional InvestingPro Tips available, which can be further explored with an exclusive 10% off a yearly or biyearly Pro and Pro+ subscription using the coupon code PRONEWS24.

GM's strategic moves in the defense sector, coupled with its strong financial metrics, may offer an intriguing opportunity for investors looking for growth in both military and civilian applications.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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