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Detroit-based General Motors Company (GM) designs, builds, and sells trucks, crossovers, cars, and automobile parts, and also provides software-enabled services and subscriptions. With a market cap of $50 billion, General Motors operates through GM North America, GM International, Cruise, and GM Financial segments.
The auto maker notably outperformed the broader market over the past year, but underperformed in 2025. GM stock has surged 21.1% over the past 52 weeks and dipped 1.4% in 2025, compared to the S&P 500 Index’s ($SPX) 14.5% gains over the past year and 6.1% returns on a YTD basis.
Narrowing the focus, GM has also outperformed the Consumer Discretionary Select Sector SPDR Fund’s (XLY) 18.2% gains over the past 52 weeks and a 3.7% drop in 2025.
General Motors’ stock prices plunged 8.1% following the release of its Q2 results on Jul. 22. While the company observed improvements in used vehicle and service revenues, and an increase in leased vehicle income and finance charges, its vehicle, parts, and accessories sales remained under pressure. This resulted in a 1.8% year-over-year drop in overall topline to $47.1 billion. However, this figure surpassed the Street's expectations by a notable margin. Meanwhile, its adjusted net income plunged 29.8% year-over-year to $2.5 billion, but adjusted EPS of $2.53 beat the consensus estimates by 5.9%. Following the initial drop, GM stock prices surged 8.7% in the subsequent trading session.
For the full fiscal 2025, ending in December, analysts expect GM to report an adjusted EPS of $9.41, down 11.2% year-over-year. On a positive note, the company has a solid earnings surprise history. It has surpassed the Street’s bottom-line estimates in each of the past four quarters.
The stock has a consensus “Moderate Buy” rating overall. Of the 28 analysts covering the stock, opinions include 11 “Strong Buys,” two “Moderate Buys,” 12 “Holds,” and three “Strong Sells.”
This configuration is slightly more bullish than a month ago, when only 10 analysts gave “Strong Buy” recommendations and one suggested a “Moderate Buy” rating.
On Jul. 22, Wedbush analyst Daniel Ives maintained an “Outperform” rating on GM and set a price target of $55.
GM’s mean price target of $55.73 suggests a 6.1% upside potential. Meanwhile, the Street-high target of $80 represents a staggering 52.3% premium to current price levels.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
