Zacks Research Cuts Earnings Estimates for General Motors

General Motors (NYSE:GM) (TSE:GMM.U) – Research analysts at Zacks Research dropped their Q1 2026 earnings per share (EPS) estimates for shares of General Motors in a research note issued to investors on Thursday, May 15th. Zacks Research analyst R. Singhi now expects that the auto manufacturer will post earnings per share of $1.68 for the quarter, down from their prior forecast of $1.81. The consensus estimate for General Motors’ current full-year earnings is $11.44 per share. Zacks Research also issued estimates for General Motors’ Q2 2026 earnings at $1.92 EPS, Q3 2026 earnings at $2.02 EPS and Q4 2026 earnings at $1.90 EPS.

A number of other brokerages have also recently commented on GM. BNP Paribas raised General Motors to a “strong-buy” rating in a research note on Monday, May 5th. Deutsche Bank Aktiengesellschaft cut General Motors from a “buy” rating to a “hold” rating and set a $43.00 price objective for the company. in a research note on Monday, April 14th. The Goldman Sachs Group decreased their target price on General Motors from $73.00 to $63.00 and set a “buy” rating for the company in a research note on Thursday, April 10th. JPMorgan Chase & Co. decreased their target price on General Motors from $64.00 to $53.00 and set an “overweight” rating for the company in a research note on Thursday, March 27th. Finally, Royal Bank of Canada boosted their target price on General Motors from $55.00 to $57.00 and gave the company an “outperform” rating in a research note on Friday, May 2nd. Four investment analysts have rated the stock with a sell rating, ten have assigned a hold rating, nine have assigned a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $54.56.

General Motors Stock Up 0.5%

Shares of General Motors stock opened at $50.36 on Monday. The company has a quick ratio of 0.98, a current ratio of 1.13 and a debt-to-equity ratio of 1.38. General Motors has a 12 month low of $38.96 and a 12 month high of $61.24. The business has a fifty day simple moving average of $46.85 and a 200 day simple moving average of $50.00. The stock has a market cap of $48.42 billion, a PE ratio of 8.19, a price-to-earnings-growth ratio of 0.67 and a beta of 1.36.

General Motors (NYSE:GM) (TSE:GMM.U) last released its earnings results on Tuesday, April 29th. The auto manufacturer reported $2.78 earnings per share for the quarter, topping analysts’ consensus estimates of $2.63 by $0.15. The company had revenue of $44.02 billion during the quarter, compared to the consensus estimate of $42.64 billion. General Motors had a return on equity of 15.29% and a net margin of 3.21%. The firm’s quarterly revenue was up 2.3% on a year-over-year basis. During the same quarter in the previous year, the company posted $2.62 earnings per share.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of GM. Norges Bank bought a new position in shares of General Motors in the fourth quarter worth $592,321,000. AQR Capital Management LLC increased its holdings in shares of General Motors by 146.8% in the first quarter. AQR Capital Management LLC now owns 13,470,258 shares of the auto manufacturer’s stock worth $629,196,000 after purchasing an additional 8,012,743 shares during the period. Vanguard Group Inc. increased its holdings in shares of General Motors by 6.9% in the first quarter. Vanguard Group Inc. now owns 99,341,336 shares of the auto manufacturer’s stock worth $4,672,023,000 after purchasing an additional 6,395,375 shares during the period. Nuveen LLC bought a new position in shares of General Motors in the first quarter worth $175,889,000. Finally, Assenagon Asset Management S.A. increased its holdings in shares of General Motors by 305.6% in the first quarter. Assenagon Asset Management S.A. now owns 2,858,959 shares of the auto manufacturer’s stock worth $134,457,000 after purchasing an additional 2,154,037 shares during the period. 92.67% of the stock is currently owned by hedge funds and other institutional investors.

General Motors declared that its Board of Directors has initiated a stock repurchase program on Wednesday, February 26th that authorizes the company to repurchase $6.00 billion in shares. This repurchase authorization authorizes the auto manufacturer to purchase up to 12.5% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board believes its shares are undervalued.

General Motors Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, June 19th. Investors of record on Friday, June 6th will be paid a $0.15 dividend. This represents a $0.60 dividend on an annualized basis and a yield of 1.19%. This is a positive change from General Motors’s previous quarterly dividend of $0.12. The ex-dividend date is Friday, June 6th. General Motors’s payout ratio is currently 8.65%.

About General Motors

General Motors Company designs, builds, and sells trucks, crossovers, cars, and automobile parts; and provide software-enabled services and subscriptions worldwide. The company operates through GM North America, GM International, Cruise, and GM Financial segments. It markets its vehicles primarily under the Buick, Cadillac, Chevrolet, GMC, Baojun, and Wuling brand names.