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The GM logo is prominently displayed on the exterior of the General Motors headquarters in Detroit as of March 16, 2021.
DETROIT — On Tuesday, General Motors is scheduled to reveal its earnings for the fourth quarter.
Wall Street’s expectations, based on average estimates compiled by LSEG, include:
Earnings per share: $1.89 adjusted
Revenue: $43.93 billion
If these projections are met, they would reflect a 2.2% increase in revenue compared to the previous year and a notable 52.4% rise in adjusted earnings per share.
In the fourth quarter of 2023, GM reported revenue of $42.98 billion, a net income attributable to shareholders of $2.1 billion, and adjusted earnings before interest and taxes amounting to $1.76 billion.
As investors watch the quarterly earnings results, they will also be keenly interested in the company’s guidance for the year 2025. GM had previously indicated that it anticipated its adjusted earnings for 2025 would fall within a range similar to its forecasts for 2024.
However, these projections were formulated prior to GM’s announcement regarding the discontinuation of its Cruise autonomous vehicle division and amid growing regulatory uncertainties surrounding electric vehicle incentives and prospective tariffs under President Donald Trump.
The automaker had initially set a target for adjusted earnings before interest and taxes for 2024 between $13 billion and $15 billion, translating to earnings per share of $9.50 to $10.50. This is an increase from earlier estimates of between $12.5 billion and $14.5 billion, or $9 to $10 per share, provided earlier this year.
In 2024, GM emerged as a favorite among Wall Street analysts, witnessing a 48% surge in share prices. This positive sentiment appears to extend into 2025, as many analysts predict GM will exceed expectations. Despite this optimism, GM’s stock performance has remained relatively stagnant at the beginning of the year, even following a recent upgrade from Deutsche Bank to a buy rating from hold.
Investors will also be closely monitoring developments regarding GM’s restructuring efforts in China, the company’s partnership with Hyundai Motor, and any adjustments to GM’s electric vehicle strategy, which includes plans to produce and sell 200,000 EVs for the North American market in 2024.
This is developing news. Please check back for updates.
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