UPDATE: J.P. Morgan Lowers PT on General Motors to $42 (GM)

J.P. Morgan is out with its report today on General Motors GM, lowering its price target from $44 to $42. In a note to clients, J.P. Morgan writes, "We trim our future year EPS estimates by ~10% to account for lowered 2010 base (after 4Q EBIT miss vs JPM) but also a greater dose of conservatism related to materials cost (steel, namely), NA mix given elevated fuel price concerns, and Europe pricing. But given better than expected year-end net debt (on account of Q4's $2B FCF upside), our Dec- 2011 price target is only trimmed to $42 (vs. $44 earlier) – this continues to apply a 4.25x multiple (0.75x discount to Ford's target multiple) to our revised 2012e EBITDA." At the time of posting, shares of GM were trading pre-market at $33.45, up 1.30% from Thursday's close.