Key Stats for General Motors Stock
- Current Price: $77.21
- Target Price (Mid): ~$130
- Street Target: ~$101
- Potential Total Return: ~69%
- Annualized IRR: ~13% / year
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What Happened?
General Motors (GM) plans to sell autonomy where it sells the most vehicles. At its GM Forward event on October 21, the company said eyes-off highway driving will spread from the 2028 Cadillac Escalade IQ to its gas-powered full-size SUVs and light-duty pickups. It gave no timeline. On October 20, CEO Mary Barra told analysts that Super Cruise penetration in full-size trucks should grow 4 to 5 times next year.
The stock traded on costs instead. Shares fell 6.84% on October 20 after GM’s profit outlook landed below Wall Street’s estimates and it flagged rising commodity costs and about 35,000 fewer pickups in the fourth quarter. They closed at $77.21 on October 22.
The New Silverado Scales Super Cruise
GM has started building its next-generation Chevrolet Silverado and GMC Sierra light-duty pickups at Silao, with Fort Wayne following in the first quarter of 2027 and Orion in the second. Super Cruise, GM’s hands-free driver-assistance system, becomes standard on high-end trims and available on most others, so the jump reflects fitment as well as demand.
“We expect full-size truck Super Cruise penetration to grow 4 to 5x next year, reflecting strong customer demand and our ability to scale the technology across critical customer segments,” Barra said on the October 20 call. She expects the Super Cruise installed base to grow by close to 50% in 2027, and said nearly 70% of customers use it at least once a month.
The software line already pays. CFO Paul Jacobson said OnStar, digital, and Super Cruise recognized revenue topped $800 million in the third quarter, up 15% year over year. Barra said deferred software and services revenue is up 40% year over year and should approach $7.5 billion by year-end.
Tesla (TSLA), which sells its own supervised driver-assistance software, trades at an NTM P/E ratio of about 176 times, according to TIKR. GM trades under 6 times. Eyes-off driving has not earned GM a premium yet, and its first vehicle arrives in 2028. As of October 21, GM had not said what eyes-off driving will cost. Some industry executives have questioned whether enough buyers want it, Reuters reported.
TIKR tracks 24 analysts on General Motors. How many say “Buy”?
See the full breakdown of Buy, Hold, and Sell ratings on General Motors, along with Wall Street’s revenue and earnings estimates, all in one place. More than 500,000 investors use TIKR to research stocks like this one. See General Motors’ Analyst Ratings
What 2027 Needs Besides Software
Costs come first. GM expects about $2 billion of commodity, logistics, and memory chip inflation in 2026. Jacobson said that at recent prices, the 2027 headwind would total roughly $2 billion. His condition for growth: “we would need prices to come off of these levels a little bit to have the confidence to be able to grow at this point.” With truck volume roughly flat in 2027, he pointed to four drivers:
- a rich mix on the new trucks
- added SUV and crossover capacity
- growth in OnStar, Super Cruise, and defense
- savings on warranty, EVs, and fixed costs
Cash looks steadier. GM has paid $4.6 billion of $7.4 billion in EV-related cash charges, with about $1 billion due in the fourth quarter and the rest in 2027. Jacobson expects “a bullish year on cash generation overall” in 2027 as those payments fall, though he expects free cash flow itself to be about flat or slightly higher. The cash backs a new multiyear $20 billion buyback with no set timeline. Analysts still trimmed targets, including Barclays to $105 from $110, and the Street mean slipped to around $101 from around $104 at the end of September.
TIKR Advanced Model Analysis
- Current Price: $77.21
- Target Price (Mid): ~$130
- Potential Total Return: ~69%
- Annualized IRR: ~13% / year
The mid case values GM at around $130 by December 31, 2030, about 13% a year from $77.21. It needs no multiple expansion. Over its 2025 to 2035 forecast, the mid case assumes revenue growth of around 3% a year and a P/E that shrinks around 3% a year, so the return comes from rising earnings per share, helped by buybacks. Upside comes if Super Cruise subscriptions lift margins beyond the mid case. Downside comes if commodity costs stay high and slow both earnings and buybacks.
Conclusion
GM gives 2027 guidance in January. If it guides to EBIT growth with a roughly $2 billion 2027 commodity headwind still in place, trucks and software are carrying the business. If growth depends on steel and copper falling first, a multiple under 6 times probably stays put.
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
