NEW YORK (TheStreet) -- Shares of General Motors Co. are higher by 0.82% to $36.94 in pre-market trading on Monday morning, following reports that said one of the vehicle maker's joint ventures in China plans to spend $16.14 billion in new car development in the country between 2016 and 2020 in order to better compete for market share. "Our five-year business plan to 2020 will have 100 billion Yuan invested in new products and plants to make sure that we meet the China consumer's needs," said Shanghai GM's VP of sales service and marketing John Stadwick, according to the Wall Street Journal. Shanghai GM, a 50-50 joint venture between GM and SAIC Motor Corp. a Chinese state owned automotive manufacturing company, said the proceeds will be used to develop a minimum of 10 all-new or face lift models each year during the five years through 2016, the Journal noted. Separately, TheStreet Ratings team rates GENERAL MOTORS CO as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation: "We rate GENERAL MOTORS CO (GM) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its increase in net income, good cash flow from operations, increase in stock price during the past year, growth in earnings per share and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity." Highlights from the analysis by TheStreet Ratings Team goes as follows: The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Automobiles industry. The net income increased by 91.0% when compared to the same quarter one year prior, rising from $1,040.00 million to $1,987.00 million. Net operating cash flow has slightly increased to $3,164.00 million or 3.46% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -24.59%. The stock has risen over the past year as investors have generally rewarded the company for its earnings growth and other positive factors like the ones we have cited in this report. Looking ahead, the stock's rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry. We feel, however, that the other strengths this company displays justify these higher price levels. GENERAL MOTORS CO has improved earnings per share by 15.8% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, GENERAL MOTORS CO reported lower earnings of $1.64 versus $2.35 in the prior year. This year, the market expects an improvement in earnings ($4.62 versus $1.64). Regardless of the drop in revenue, the company managed to outperform against the industry average of 11.0%. Since the same quarter one year prior, revenues slightly dropped by 2.1%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share. You can view the full analysis from the report here: GM Ratings Report Must Read: Warren Buffett's Top 25 Stocks for 2015
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