General Motors (8GM) AI Stock Analysis

Company Guidance

GM now expects 2026 EBIT adjusted of $14.5 billion-$15.5 billion, EPS diluted adjusted of $12.75-$13.75, capital expenditures at the lower half of the $10 billion-$12 billion range, and adjusted automotive free cash flow of $11.5 billion-$12.5 billion; it expects total SAAR in the mid 16-million unit range, approximately 16 million for the rest of the year, a year-over-year volume headwind of approximately 35,000 full-size pickups, a full-year pricing tailwind of 0.5% in North America, EV loss reduction of $1 billion-$1.5 billion, warranty improvement closer to the high end of $1 billion-$1.5 billion, emissions-related regulatory savings around $500 million year-to-date, gross tariff costs at the low end of $2.5 billion-$3.5 billion, a 20%-21% effective tax rate and a fourth-quarter tax rate in the 25%-27% range, commodity inflation, logistics, and DRAM costs around $2 billion, and onshoring, supply-chain, and software investments of approximately $1 billion-$1.5 billion; GM Financial remains on track for full-year EBT adjusted of $2.5 billion-$3 billion, while OnStar Digital and Super Cruise are on track for more than $3 billion in realized revenue for calendar year 2026 and to approach $7.5 billion in deferred revenue by year-end. For 2027, assuming market conditions in the tariff environment remain broadly similar to 2026 and recent commodity pressures moderate, GM continues to believe it can grow revenue, margins, and EBIT adjusted; annualizing recent incremental commodity inflation would mean an additional $1 billion-$1.5 billion of EBIT adjusted headwind and a total headwind of roughly $2 billion.