General Motors (GM) ended the recent trading session at $81.32, demonstrating a -1.23% change from the preceding day's closing price. This change lagged the S&P 500's 0.74% loss on the day. Meanwhile, the Dow lost 0.63%, and the Nasdaq, a tech-heavy index, lost 0.76%.
Prior to today's trading, shares of the an automotive manufacturer had gained 11.77% outpaced the Auto-Tires-Trucks sector's gain of 4.56% and the S&P 500's gain of 0.79%.
Analysts and investors alike will be keeping a close eye on the performance of General Motors in its upcoming earnings disclosure. The company's earnings report is set to go public on January 27, 2026. In that report, analysts expect General Motors to post earnings of $2.21 per share. This would mark year-over-year growth of 15.1%. At the same time, our most recent consensus estimate is projecting a revenue of $44.67 billion, reflecting a 6.37% fall from the equivalent quarter last year.
GM's full-year Zacks Consensus Estimates are calling for earnings of $10.32 per share and revenue of $184.48 billion. These results would represent year-over-year changes of -2.64% and -1.58%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for General Motors. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1% higher. General Motors is currently sporting a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, General Motors is holding a Forward P/E ratio of 7.98. This expresses a discount compared to the average Forward P/E of 16.43 of its industry.
One should further note that GM currently holds a PEG ratio of 0.75. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. GM's industry had an average PEG ratio of 1.89 as of yesterday's close.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 64, which puts it in the top 26% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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General Motors Company (GM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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