General Motors (GM) Stock Forecast & Price Target

General Motors is supported by a combination of improving core auto profitability and underappreciated higher-margin growth engines, with ’26 Adj. EBIT guidance raised by $500M at the midpoint to $14-16B on better pricing, lower warranty costs, and a somewhat improved commodity outlook. Its leadership in the most profitable U.S. segments, including ~40% share of full-size pickups and a dominant position in full-size SUVs, should preserve pricing power, while 2025 U.S. share of 17.4% reflects the company’s regained market leadership and strong execution. Beyond autos, recurring businesses such as OnStar, GM Defense, GM Insurance, and the energy storage opportunity could materially expand margins and earnings, creating a credible path to a valuation re-rating alongside the potential completion of the $6B share repurchase program in late 2026 or early 2027.

General Motors is viewed negatively because its core auto business faces a structurally expensive operating environment, with $2.5-3.5B in gross tariff costs already embedded in full-year guidance and a deeply integrated North American supply chain that leaves it exposed to trade friction even as it onshores production. Although U.S. market share reached 17.4% in 2025, up 60 basis points from 2024, that share gain does not erase execution and profitability risks tied to China JV weakness, uncertainty around a potential U.S.-Mexico bilateral deal in 2027e, and a downside case that assumes 2026E Auto EPS is about 25% below the base case. Cruise’s retreat from driverless robotaxi services after the 2023 accident, combined with the need for investors to assign a lower multiple to GM Tech’s future earnings power, reinforces a cautious fundamental view despite GM’s sustainability commitments and stronger market position versus old GM.