General Motors (GM) AI Stock Analysis

• Market Cap: $50.18B
• Dividend Yield: 1.14%
• Average Volume (3M): 9.73M
• Price to Earnings (P/E): 7.5
• Beta (1Y): 0.96
• Revenue Growth: 7.76%
• EPS Growth: -14.17%
• Country: US
• Employees: 162,000
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Auto - Manufacturers
• EPS (TTM): 2.78
• Shares Outstanding: 961,434,750
• 10 Day Avg. Volume: 8,599,075
• 30 Day Avg. Volume: 9,730,605
• PEG Ratio: 0.62
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -16.09
• Enterprise Value/Market Cap: 3.16
• Enterprise Value/Revenue: 0.22
• Enterprise Value/Gross Profit: 6.94
• Enterprise Value/Ebitda: 1.69
• 1Y Price Target: $53.43
• Price Target Upside: 0.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 22

• Rating: 73 Outperform
• Price Target: $54.00 ▲(1.60%Upside)

General Motors' overall score reflects solid financial performance and attractive valuation, offset by mixed technical indicators and challenges from tariff impacts. GM's strong market position and focus on EV growth are strengths, but effective management of debt and cost pressures is essential for future stability.

Positive Factors

Cash Flow

Since the beginning of 2022, GM has generated $31 billion of surplus cash and returned $25 billion to shareholders.

Profitability

Profits from the financial services sub are being distributed up to the parent, supporting the Buy rating on the stock.

Share Repurchase

GM announced a new $6 billion share repurchase authorization, which includes a $2 billion accelerated share repurchase program.

Negative Factors

Price Objective

Price Objective has been lowered to $65 from $75 due to updated estimates and the impact of tariffs.

Revenue and Volume Challenges

GM lowered its 2025 outlook, reflecting challenges in improving EV profitability and meeting volume targets.

Tariffs

Tariffs are a significant headwind for GM, impacting the company's 2025 outlook.

General Motors Business Overview & Revenue Model

Company Description

General Motors Company designs, builds, and sells trucks, crossovers, cars, and automobile parts and accessories in North America, the Asia Pacific, the Middle East, Africa, South America, the United States, and China. The company operates through GM North America, GM International, Cruise, and GM Financial segments. It markets its vehicles primarily under the Buick, Cadillac, Chevrolet, GMC, Holden, Baojun, and Wuling brand names. The company also sells trucks, crossovers, cars, and purpose-built vehicles to dealers for consumer retail sales, as well as to fleet customers, including daily rental car companies, commercial fleet customers, leasing companies, and governments. In addition, it offers safety and security services for retail and fleet customers, including automatic crash response, emergency services, roadside assistance, crisis assist, stolen vehicle assistance, and turn-by-turn navigation; and connected services comprising mobile applications for owners to remotely control their vehicles and electric vehicle owners to locate charging stations, on-demand vehicle diagnostics, smart driver, marketplace in-vehicle commerce, in-vehicle voice, voice assistant, navigation and app ecosystem, connected navigation, SiriusXM with 360L, and 4G LTE wireless connectivity, as well as develops and commercializes autonomous vehicle technology. Further, the company provides automotive financing and insurance services; and software-enabled services and subscriptions. General Motors Company was founded in 1908 and is headquartered in Detroit, Michigan.

How the Company Makes Money

General Motors makes money primarily through the production and sale of vehicles, which include a range of cars, trucks, and SUVs under its various brand names. The company generates revenue from the sale of new vehicles, parts, and accessories. Additionally, GM provides financial services through GM Financial, offering automotive financing solutions to both retail customers and dealerships. The company also invests in emerging technologies, such as electric vehicles (EVs) and autonomous driving systems, positioning itself for future growth in these sectors. Significant partnerships, like those with technology firms and battery suppliers, enhance GM's capabilities in the EV market, contributing to its revenue generation.

General Motors Financial Statement Overview

Summary

General Motors displays strong profitability and a stable balance sheet, with healthy margins. However, the company faces cash flow challenges due to high capital expenditures, and the debt level requires careful monitoring.

Income Statement

General Motors shows strong profitability with a consistent Gross Profit Margin of around 12% in TTM (Trailing-Twelve-Months), reflecting efficient cost management in a competitive industry. The Net Profit Margin slightly decreased to 3.08% in TTM, but EBIT and EBITDA margins remain healthy at 6.58% and 9.75% respectively. Despite a minor decline in revenue growth from the previous year, the company has shown resilience and maintained stable revenue streams.

Balance Sheet

GM's balance sheet is stable, with a Debt-to-Equity Ratio of 1.50, indicating moderate leverage typical for the industry. The Return on Equity (ROE) shows a slight decline to 9.03% in TTM, but the Equity Ratio remains steady at 22.81%, suggesting a balanced asset structure. The company manages its debt effectively, but higher debt levels pose potential risks in adverse economic conditions.

Cash Flow

Cash flow analysis reveals challenges with Free Cash Flow consistently negative, at -$1.065 billion in TTM. However, Operating Cash Flow remains robust at $23.037 billion, indicating strong operating performance. The Operating Cash Flow to Net Income Ratio is favorable at 3.96, but Free Cash Flow to Net Income Ratio is negative, reflecting high capital expenditures impacting free cash flow sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	188.45B	187.44B	171.84B	156.74B	127.00B	122.48B
Gross Profit	22.83B	23.41B	19.28B	20.98B	17.88B	13.67B
EBITDA	21.68B	20.82B	23.05B	23.86B	25.71B	21.87B
Net Income	5.81B	6.01B	10.13B	9.93B	10.02B	6.43B
Balance Sheet
Total Assets	282.10B	279.76B	273.06B	264.04B	244.72B	235.19B
Cash, Cash Equivalents and Short-Term Investments	27.49B	27.14B	26.47B	31.30B	28.68B	29.04B
Total Debt	132.68B	130.69B	122.65B	114.70B	109.38B	110.86B
Total Liabilities	215.68B	214.17B	204.76B	191.75B	178.90B	185.52B
Stockholders Equity	64.37B	63.07B	64.29B	67.79B	59.74B	45.03B
Cash Flow
Free Cash Flow	-2.88B	-5.98B	-3.68B	-5.14B	-6.92B	-3.86B
Operating Cash Flow	23.04B	20.13B	20.93B	16.04B	15.19B	16.67B
Investing Cash Flow	-21.09B	-20.52B	-14.66B	-17.88B	-16.36B	-21.83B
Financing Cash Flow	1.09B	1.94B	-6.35B	383.00M	1.74B	5.55B

General Motors Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 53.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GM, the sentiment is Positive. The current price of 53.15 is above the 20-day moving average (MA) of 50.13, above the 50-day MA of 48.84, and above the 200-day MA of 49.47, indicating a bullish trend. The MACD of 1.18 indicates Negative momentum. The RSI at 66.23 is Neutral, neither overbought nor oversold. The STOCH value of 77.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GM.

General Motors Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
F	77 Outperform	$46.45B	9.36	11.47%	5.07%	3.03%	28.54%
GM	73 Outperform	$50.18B	7.52	8.88%	1.14%	7.76%	-14.17%
LI	73 Outperform	$26.94B	25.76	12.22%	―	10.28%	-29.75%
HMC	72 Outperform	$47.37B	8.45	6.54%	3.59%	0.83%	-26.70%
TSLA	71 Outperform	$957.91B	162.71	9.16%	―	1.03%	-53.71%
TM	70 Outperform	$221.18B	7.22	13.36%	3.61%	1.06%	-7.05%
Sector *	56 Neutral	HK$24.56B	3.85	-2.03%	6.52%	-0.31%	-67.70%

General Motors Corporate Events

General Motors Shareholders Approve Key Amendments

On June 3, 2025, General Motors held its Annual Meeting of Shareholders, where several key decisions were made. Shareholders approved the amended Certificate of Incorporation to limit certain officer liabilities and ratified the selection of Ernst & Young LLP as the independent auditor for 2025. Additionally, executive compensation was approved, but a proposal regarding supply chain GHG emissions reduction strategies was not passed.

The most recent analyst rating on (GM) stock is a Buy with a $75.00 price target. To see the full list of analyst forecasts on General Motors stock, see the GM Stock Forecast page.

General Motors Closes $2 Billion Senior Notes Sale

On May 5, 2025, General Motors entered into an underwriting agreement to sell $2 billion in senior notes, which closed on May 7, 2025. The proceeds will be used for general corporate purposes, including refinancing existing debt and funding a loan to Ultium Cells LLC, a joint venture with LG Energy Solution, to prepay loans from the U.S. Department of Energy.

General Motors Revises 2025 Earnings Guidance Downward

On May 1, 2025, General Motors updated its full-year earnings guidance for 2025, reflecting a downward revision due to an estimated tariff-related impact of $4.0 billion to $5.0 billion. The updated financial outlook includes reduced expectations for net income, EBIT-adjusted, automotive operating cash flow, and adjusted automotive free cash flow. Despite these adjustments, the company plans to maintain its capital spending, including investments in battery cell manufacturing joint ventures, at $10.0 billion to $11.0 billion. This announcement may affect stakeholders’ perceptions of GM’s financial health and its ability to navigate regulatory and policy challenges.