General Motors Company
Automaker selling Chevrolet, GMC and Cadillac vehicles, mainly in North America, and financing customer purchases and leases through GM Financial.
- Rating
- Price
- $82.75
- Price target
- $118.00
- Implied return
- +43%
- Market value
- $72.6bn
- Next results
- Not on the calendar
Our view
Vishal Bhargava, CFA · updated Oct 20, 2026The market treats GM's 8–10% North America margin as a peak and prices in about 6.7% in perpetuity. We think it is structural because truck mix earns it: GMNA margin was 9.3% in 1H264 (source: GM 2Q26 earnings release (Form 8-K), 21 July 2026), and GM holds more than 42% of US full-size pickups1 (source: GM 2Q26 earnings call transcript, 21 July 2026). The EV charges are quantified and half paid, tariffs are a capped cost, and $10.6bn of FY25 adjusted automotive free cash flow funds buybacks without leverage3 (source: GM Form 10-K for FY2025)5 (source: GM FY2025 earnings release (Form 8-K), 27 January 2026). We are in line with the Street on earnings; the call is the multiple.
What could prove us wrong
- US industry sales falling to 15.0m units would cut FY27E EPS by $4.45 and take $56 a share off the target, to $62.
- Tariffs escalating above $4bn of gross cost would cut FY27E EPS by $2.00 and value by $19 a share, to $99.
- A GM Financial credit turn, with 2.5% charge-offs and $1.5bn of EBT, would take $10 a share off the target, to $108.
Ask the analyst about GM
Answers come from Penmark’s GM research and the company’s filings, with a source for each claim. Change an assumption and the assistant reruns the report’s valuation.