General Motors CEO Mary Barra attends the annual Allen & Company Sun Valley Media & Technology Conference at Sun Valley Resort on July 8, 2025 in Sun Valley, Idaho.
David A. Grogan | CNBC
Detroit — general motors GM stock is poised to become the top publicly traded U.S. automaker stock in 2025, as the Detroit-based company has had its best year since emerging from bankruptcy in 2009.
GM stock was up more than 55% as of Friday’s close, hitting a record of more than $80 a share, outpacing the company’s annual gain of 48.3% last year. That included a nearly 13% rise through December, adding to five straight months of stock gains, according to FactSet.
Several factors are driving the increase in share. But GM CEO Mary Barra and other executives have long argued that the company’s stock is significantly undervalued given its consistent earnings history.
“Superior vehicles, innovative technology, rewarding customer experiences and strong financial results will continue to set GM apart in an increasingly competitive environment,” Barra said during the company’s last quarterly earnings call in October.
As the stock price soared, Barra significantly downgraded his position within the company. He has exercised options or sold about 1.8 million shares worth more than $73 million this year, according to public documents reviewed by GM.
As of his last public filing in September, Mr. Barra still owned more than 433,500 shares worth more than $35 million, and much of his annual compensation was in options and stock.
GM’s stock performance compares to a 17% annual gain. tesla Up 34% as of Friday’s close ford motor A 15% loss for Chrysler’s parent company. Stellantis. Other US trade automakers: honda motor industry and toyota motors Annual profits are small.
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GM’s latest quarterly results provided a major boost to Wall Street analysts’ bullish views, leading to ratings revisions and higher price targets for the company starting in the third quarter.
The company’s quarterly adjusted earnings per share have exceeded Wall Street expectations in each of the past five years except for the second quarter of 2022, according to average analyst estimates compiled by FactSet.
Wall Street analysts generally cited GM’s cash generation, earnings resilience and track record of shareholder returns, including share buybacks, as reasons for optimism. Automakers are also expected to benefit greatly from regulatory changes under the Trump administration, even as tariffs continue.
UBS recently raised its 12-month price target on GM stock by 14% to $97 per share, naming the company one of its top auto stocks heading into 2026. Morgan Stanley also upgraded GM stock to overweight earlier this month, with a price target of $90 per share.
“In our view, General Motors leads D3 in North America and the global market with steady unit sales growth. [average transaction price] Growth, disciplined incentive spending, and inventory management. This gave me better results [earnings before interest and taxes] “The company’s margin and return metrics are superior to its peers,” Morgan Stanley analyst Andrew Percoco said in a Dec. 7 note to investors.
GM stock has been in the black on a weekly basis since June. The largest weekly increase of 19.3% occurred when the company announced its third quarter results on October 21st. The results beat Wall Street expectations, and the company raised its full-year outlook, adding that it expects next year’s profits to be better than 2025.
GM stock also rose due to several external factors. The Trump administration loosened U.S. fuel economy and emissions standards, eliminated related penalties imposed under the Biden administration, and renegotiated a trade deal with South Korea, GM’s main manufacturing base. Meanwhile, the industry is seeing a slowdown in low-profit EV sales.
“GM is effectively a regional (NA) company.” [automaker] And we believe the company is well positioned to benefit from the US’s relaxed regulatory environment (emissions and fuel economy),” UBS analyst Joseph Spak said in a Dec. 15 note to investors, raising the price per share.
GM Chief Financial Officer Paul Jacobson said earlier this month that the company would continue with stock buybacks.
“As long as stocks are undervalued, the priority is to buy back shares, and you’ll continue to see that from us,” he said at a UBS investor conference.
GM is rated Overweight, with a price target of $80.86, according to an average of analysts compiled by FactSet.
—CNBC’s Michael Bloom contributed to this report.
Correction: Lucid’s stock price has fallen over the year. A previous version incorrectly stated that movement.
