General Motors Keeping the story simple, with continued earnings execution

研报英文原文证据摘录

General Motors Keeping the story simple, with continued earnings execution

Equity Research

U.S. Autos & Mobility

22 July 2026

General Motors

Keeping the story simple, with

continued earnings execution

Key takes: 1. ’26 guide raised on stronger pricing, warranty GM OVERWEIGHT

benefit – we still see some conservatism; 2. 2H lower amidst Unchanged

higher costs, 4Q weakest with truck launch / onshoring costs; U.S. Autos & Mobility UnchangedNEUTRAL

3. ’27 guided to growth: could imply ~$16bn of EBIT; Price Target USD 110.00

buybacks to continue supporting EPS growth; Reit OW, PT to raised 5% from USD 105.00

$110 Price (21-Jul-26) USD 79.52 Potential Upside/Downside +38.3%

Source: Bloomberg, Barclays Research

GM's stock has been confusing YTD. Despite benefiting from a robust SAAR environment and

eased EV regulations, the stock has underperformed, trading down 2% vs SPX +10%. We’ve Market Cap (USD mn) 69774

heard a variety of views on why the stock has traded off YTD, ranging from concerns of earnings Shares Outstanding (mn) 877.45

sustainability to questions on USMCA risk. Yet to us, these explanations of underperformance Free Float (%) 99.83

aren’t particularly satisfying, especially when considering that GM’s earnings stream has 52 Wk Avg Daily Volume (mn) 8.4

continued to grind higher – all the more impressive when considering this has come in the face Dividend Yield (%) 0.91

of commodities headwinds. Return on Equity TTM (%) 2.91

Current BVPS (USD) 68.76

We believe 2Q was a reminder of GM’s ongoing earnings strength – not only for 2026, but with a Source: Bloomberg

solid set-up for 2027, as GM talked to '27 earnings growth driven by the new T1XX trucks,

incremental large SUV capacity, and warranty + EV cost benefits.