General Motors Set to Report Q2 Earnings: What's in the Cards?

General Motors GM is slated to release second-quarter 2025 results on July 22, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings and revenues is pegged at $2.44 per share and $45.34 billion, respectively.

The consensus estimate for the to-be-reported quarter’s earnings has moved north by 10 cents over the past 30 days. The bottom-line projection indicates a year-over-year decline of 20.26%. The Zacks Consensus Estimate for quarterly revenues suggests a year-over-year decline of 5.48%.

In the trailing four quarters, this U.S. legacy automaker surpassed earnings estimates on all occasions, with the average earnings surprise being 10.16%.

General Motors Company Price and EPS Surprise

General Motors Company price-eps-surprise | General Motors Company Quote

Factors Shaping General Motors’ Q2 Results

In the second quarter of 2025, General Motors sold 746,588 units in the United States, up 7% year over year. It posted gains across its key brands — Chevrolet (up 6%), GMC (up 6%), Cadillac (up 15%), and Buick (up 19%). 

GM’s retail sales surged 10%, marking its best second quarter since 2016. Electric vehicle (EV) sales were up 111% to 46,280 units.

In the quarter to be reported, General Motors delivered 447,000 vehicles in China, up 20% year over year. Its new energy vehicle sales increased 50% year over year. The Wuling Hong Guang MINIEV continued to be GM’s best-selling NEV in China, with the new four-door version accounting for nearly 60% of its over 84,000 units second-quarter deliveries.

Our estimate for wholesale vehicle sales volumes of the General Motors North America (GMNA) segment is 832,000 units, suggesting a year-over-year decline of 7.9%. We project revenues from the GMNA segment to be $37.86 billion, implying a decline of 7%. Operating income from the unit is estimated at $3.65 billion, implying a decline of 17.6% year over year.

We expect wholesale volumes from the GMI unit (excluding China JV) to be down roughly 35% in the quarter to be reported to 91,000 units. Our projections call for a contraction of 24.7% in revenues year over year. However, we expect operating income of $57.7 million, up from $50 million in the year-ago period.

(Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

Q2 Earnings Whispers for GM Stock

Our proven model does not predict an earnings beat for General Motors this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

GM has an Earnings ESP of -4.05% and a Zacks Rank #3 at present.

Stocks With the Favorable Combination

Here are some players from the auto space that, per our model, have the correct ingredients to post an earnings beat this time around.

Lear Corporation LEA has an Earnings ESP of +8.89% and a Zacks Rank #3 at present. The company is set to release second-quarter 2025 results on July 25. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for LEA’s to-be-reported quarter’s earnings and revenues is pegged at $3.03 per share and $5.74 billion, respectively. Lear beat earnings estimates in each of the trailing four quarters, the average surprise being 12.98%.

BorgWarner Inc. BWA has an Earnings ESP of +11.2% and a Zacks Rank #3 at present. The company is set to release second-quarter 2025 results on July 31. 

The Zacks Consensus Estimate for BWA’s to-be-reported quarter’s earnings and revenues is pegged at $1.04 per share and $3.52 billion, respectively. BWA beat earnings estimates in each of the trailing four quarters, the average surprise being 15.74%.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research