The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 89 | 37.4x | 20.8x | Top tier | |
Growth | 23 | -1.6% | 6.1% | Bottom tier | |
Quality | 41 | 1.4% | 6.6% | Around median | |
Safety | 55 | 1.2x | 0.7x | Around median | |
Capital Return | 75 | 0.80% | 2.02% | Top tier | |
Momentum | 68 | 65.0% | 4.1% | Top tier | |
Sentiment | 55 | 15 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
General Motors is a leading global automotive company that designs, manufactures, and sells trucks, crossovers, traditional vehicles, and parts worldwide. The company relies primarily on sales of internal combustion engine vehicles for its revenue, particularly high-margin full-size trucks and SUVs, alongside a growing portfolio of electric vehicles. Furthermore, the company is expanding its high-margin digital and software services, such as the OnStar platform and Super Cruise autonomous driving technology, which create recurring subscription revenue streams.
In the first quarter of 2026, the company delivered strong financial results, reporting total revenue of $39.3 billion and net income of $2.6 billion, translating to earnings per share of $2.82. The company achieved an adjusted EBIT margin of 10.1% in North America, which includes a 1.5% benefit from tariff settlements, bringing the net margin to 8.6%. Despite a slight year-over-year revenue decline of approximately $400 million due to lower electric vehicle wholesale volumes, the company maintained its leadership in the US market, capturing 42% of the full-size truck segment and increasing its US electric vehicle market share to 13%.
Digital services constitute an increasingly important growth engine for the company, with recognized revenue from the OnStar platform exceeding $750 million in the first quarter, an increase of over 20% year-over-year. Management also demonstrated significant discipline in capital allocation through $800 million in share repurchases, retiring approximately 11 million shares at an average price of $75.02 per share, while maintaining a strong cash position of $19 billion at the end of the quarter to support future operations.
General Motors stock currently trades at a significant discount compared to the average analyst price target of $95.60, with the highest estimates reaching $110 per share. The analyst consensus reflects a general buy recommendation, demonstrating market confidence in the company's ability to maintain strong profit margins between 8% and 10% in North America despite macro challenges. The robust balance sheet and ongoing share repurchases support this positive valuation, providing a margin of safety for investors against short-term volatility.
Figures in the text are as of 2026-07-18; the live price is shown at the top of the page.
General Motors' digital and software services segment is achieving accelerated growth and high profitability rates, with recognized revenue from the OnStar platform exceeding $750 million in the first quarter of 2026, an increase of over 20% year-over-year. The company expects revenue from this segment to reach $3.1 billion by the end of the calendar year, targeting 13 million subscribers. Deferred revenue also recorded a significant jump to reach $5.8 billion, providing stable and recurring cash flows that support the company's overall margins.
The conflict in Iran has directly impacted General Motors' international operations, prompting management to redirect approximately 7,500 large SUVs from the Middle East to the North American market. As a result of these geopolitical disruptions, the company raised its 2026 commodity and logistics cost inflation forecast to range between $1.5 billion and $2 billion. Management is closely monitoring oil prices and shipping costs, as this conflict represents the most prominent variable that could affect the company's future earnings guidance.
General Motors is facing a decline in demand for pure electric vehicles, which led to a 4.2% drop in its US sales during the second quarter of 2026. In response, the company transitioned the Orion assembly plant from producing electric vehicles to internal combustion engine vehicles, and recorded $1.1 billion in additional charges in the first quarter related to supplier contract cancellations. Concurrently, the company is injecting new investments, such as allocating $675 million in Brazil in June 2026, to boost hybrid vehicle production and keep pace with market shifts.
Automated analysis for informational purposes only — not investment advice.
General Motors adopts a robust strategy for returning capital to shareholders, primarily anchored by open-market share repurchases. During the first quarter of 2026, the company repurchased $800 million in stock, retiring approximately 11 million shares at an average price of $75.02 per share. Alongside a cash dividend distribution of $164 million in the same quarter, the company still holds a remaining authorization of $5.5 billion to repurchase additional shares, supported by a strong cash balance of $19 billion.
General Motors maintains its dominance in the US full-size pickup truck market with a 42% market share, supported by strong demand despite inventory shortages in the first quarter. The crossover segment is also witnessing notable growth, as its sales proportion increased from 40% to over 46% of total company sales since the lineup refresh began in 2023. Key models such as the Chevrolet Trax, Equinox, and GMC Terrain have contributed significantly to achieving an adjusted EBIT margin of 10.1% in North America.