General Motors (NYSE:GM | GM Price Prediction) garnered a price target raise to $108 from $105 from Citi on April 29, which maintained a Buy rating after the automaker's Q1 2026 earnings beat.
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GM crushed Q1 earnings expectations and raised profit guidance as it navigated tariff and geopolitical headwinds. Adjusted earnings surged by 33% YoY vs. a -5% forecast, driven by cost efficiencies and strength across connected services. GM has undergone a structural transformation focused on software-driven services and EVs, backed by strong brand recognition.
General Motors (GM) delivered a strong earnings beat, aided by a $500 million tariff rebate and robust high-margin truck and SUV sales. I remain at Hold on GM, citing industry-wide headwinds, global market share erosion, and persistent risks in China despite GM's solid execution. GM's subscription revenue streams, including Super Cruise and OnStar, are growing, but retention rates and long-term sustainability warrant close monitoring.
GM anticipates paying $2.5 billion to $3.5 billion in tariff costs for 2026, the company said Tuesday, down from an original estimate of $3 billion to $4 billion.
General Motors Company (GM) Q1 2026 Earnings Call Transcript
Some 300,000 U.S. importers will receive $166 billion in refunds from the Trump administration, and that amount will be paid back with interest, Customs and Border Protection disclosed in a court filing. The amount each company receives will vary, but billion-dollar rebates are expected for Walmart ($10.2 billion), Target ($2.2 billion), Nike ($1 billion), while other retailers will likely receive less, like Gap ($400 million), Kohl's ($550 million) and Home Depot ($540 million), Citi analysts wrote earlier this month.
GM CEO Mary Barra said the Detroit automaker continues to monitor any change in customer spending, but so far, the company's vehicle mix has remained healthy. The automaker had a $52,000 average transaction price for vehicles during the first quarter, which was in line with last year and slightly more than the average across the industry.
General Motors Company (NYSE:GM) shares fell about 4% on Tuesday morning even after the automaker posted stronger-than-expected first-quarter earnings and raised its full-year profit outlook, helped in part by a favorable US Supreme Court ruling on tariffs. The Detroit-based automaker reported first-quarter revenue of $43.6 billion, slightly ahead of analysts' estimates of $43.38 billion, while adjusted earnings per share came in at $3.70, well above expectations of $2.61.
General Motors Co (NYSE:GM) stock is down 3.2% to trade at $75.44 at last glance, reversing premarket gains despite beating earnings expectations for the first quarter and hiking 2026 guidance, after revenue missed the mark.
It takes time for consumers' car-buying behaviors to change, but the appetite for EVs could grow in the event of a prolonged Iran conflict.
General Motors (GM) came out with quarterly earnings of $3.7 per share, beating the Zacks Consensus Estimate of $2.61 per share. This compares to earnings of $2.78 per share a year ago.