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GM’s Driverless Uber Killer is Ahead of Schedule

By U.S. News & World Report

General Motors Co. (NYSE: GM) stock has surged nearly 21 percent in the past three months to new multi-year highs as Wall Street has recognized GM’s favorable position in the automated vehicle business. That’s one reason why its one of U.S. News’ top stocks to buy in October.

Deutsche Bank analyst Rod Lache says GM is the market leader in automated vehicle technology, and recent conversations with GM management suggest GM may soon be targeting Uber and Lyft’s market share.

Deutsche Bank first upgraded GM stock to “buy” on Sept. 25 based on its competitive advantages in the automated vehicle market. However, after speaking to GM management over the past week, Lache now says GM’s position is even better than Deutsche Bank originally estimated.

[See: 5 Automakers to Rev Up a Long-Term Investor’s Portfolio.]

“GM confirmed that their AVs are on track for a critical milestone … they will be safely driving passengers in complex urban environments without a human backup driver within the next few quarters, well ahead of competitors,” Lache says.

GM’s automated vehicle advantages have been flying mostly under-the-radar, with rival Tesla ( TSLA) and its Autopilot technology capturing most of the headlines. However, Lache says GM has a number of advantages over Tesla as a result of its massive scale. In addition, he says GM management has confirmed they expect to beat Tesla to the punch in the driverless vehicle market.

GM management expects target rollout of its commercial automated vehicle operations starting with the largest U.S. cities. Lache says GM will be extremely aggressive in its expansion and pricing to gain market share while there is no competition in the market.

Deutsche Bank estimates GM will be able to underprice services such as Uber and Lyft by offering transportation at less than $1 per mile. Uber and Lyft currently charge $1.53 per mile, according to Deutsche Bank.

[See: 9 of the Market’s Best Growth Stocks.]

While there is plenty of market share to gain from Uber and Lyft, Lache says the long-term goal is for GM’s driverless vehicles to replace private vehicle ownership in densely populated cities.

Deutsche Bank maintains a $51 price target for GM stock.

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GM’s Driverless Uber Killer is Ahead of Schedule originally appeared on usnews.com

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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