General Motors Company (GM) is a Detroit-based global automotive powerhouse founded in 1908, operating iconic brands including Chevrolet, GMC, Cadillac, and Buick across more than 100 countries. Far beyond its legacy as a truck and SUV manufacturer, GM is aggressively reinventing itself as a technology-driven mobility company.
In 2025, OnStar reached a record 12 million subscribers, including more than 620,000 Super Cruise users, reflecting nearly 80% year-over-year (YoY) growth, with OnStar Fleet subscriptions climbing to 2 million, double any competing service. With Super Cruise autonomous driving, a growing EV portfolio anchored by the Ultium platform, and a software and services business targeting $3.1 billion in 2026 revenue, GM is rapidly evolving from a cyclical manufacturer into a durable, software-enabled mobility enterprise.
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General Motors Stock Soars
GM stock has surged approximately 59% over the past 52 weeks, dramatically outpacing the S&P 500's ($SPX) 21% gain over the same period, driven by earnings beats, raised guidance, and aggressive capital returns, including a $6 billion buyback authorization. On a year-to-date (YTD) basis, however, GM is down approximately 2.5% in 2026, lagging the S&P 500's gains as EV strategy uncertainty and tariff headwinds weighed on near-term sentiment.
Against the S&P 500 Consumer Discretionary Index ($SRCD), GM's 52-week outperformance is compelling, though its YTD underperformance highlights the market's caution around near-term EV profitability and macroeconomic headwinds facing the broader auto sector.
www.barchart.com General Motors' Quarterly Results
General Motors reported Q1 2026 revenue of $43.62 billion, a 1.4% beat against analyst consensus of $43.03 billion, while adjusted EPS of $3.70 crushed the Street estimate of $2.62 by approximately 41%, one of the largest EPS beats in the company's recent history. EV market share increased to 13%. OnStar digital services recognized revenue exceeded $750 million in Q1, up more than 20% YoY, and the company repurchased $800 million in shares at an average price of approximately $75 per share.
Adjusted EBIT reached $4.3 billion despite a modest revenue decline YoY, while adjusted EBITDA came in at $6.38 billion. The company maintained $19 billion in cash reserves with $5.5 billion remaining on its buyback authorization, while free cash flow margin came in at 3.3%, down from 9.6% in the prior year period, reflecting elevated capital investment. GM also benefited from a $500 million tailwind following a U.S. Supreme Court decision to terminate and refund certain IEEPA tariffs, providing a meaningful boost to its raised full-year outlook.
Following the strong Q1 beat, GM raised its full-year 2026 adjusted EBIT guidance to $13.5–$15.5 billion and adjusted EPS guidance to $11.50–$13.50, while maintaining adjusted auto free cash flow guidance of $9–$11 billion, weighted toward the second half.
CEO Mary Barra emphasized GM's sustained leadership in full-size pickups and crossovers, while reaffirming commitment to expanding digital services revenue, with Super Cruise revenues projected at $400 million in 2026, up from $234 million in 2025, signaling a deliberate pivot toward higher-margin, recurring software income as the company's next structural growth engine.
General Motors Expands Into Energy Storage Market
General Motors announced a significant strategic expansion beyond its core electric vehicle business, unveiling a series of new initiatives through its GM Energy division targeting the rapidly growing energy storage market. The Detroit-based automaker is now positioning itself as a direct supplier of energy storage systems to utilities, commercial customers, and AI data center operators, entering a market driven by insatiable power demand from the global AI infrastructure buildout.
The move signals GM's ambition to monetize its battery and energy expertise well beyond the automotive sector, diversifying its revenue streams into one of the most capital-intensive and fastest-growing corners of the technology economy.
What To Do With GM Stock?
With GM Energy's bold expansion into AI data center energy storage, adding a compelling new revenue dimension beyond its core automotive business, General Motors is increasingly a multi-vertical growth story that the market may be underappreciating. Wall Street's consensus stands at "Moderate Buy" across 28 analyst ratings, comprising 17 "Strong Buy," three "Moderate Buy," six "Hold," and two "Strong Sell," with a mean price target of $94.04, implying approximately 18% upside from current levels.
For investors seeking a value-oriented, dividend-paying, and increasingly technology-driven large cap, GM presents a well-rounded opportunity at current levels.
www.barchart.com On the date of publication, Ruchi Gupta did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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