Ford Vs GM: Which Auto Stock is the Better Investment After Revealing Q2 Sales?

Core Viewpoint - Ford and General Motors have outperformed Tesla in Q2 vehicle sales, with Tesla experiencing a 13% decline due to weaker demand and political issues surrounding Elon Musk [1] Q2 & H1 Auto Sales - Ford's Q2 vehicle sales increased by 14% year over year to 612,095 units, leading to a total of 1.113 million units sold in H1, a 6% increase from H1 2024 [3] - GM's Q2 vehicle sales rose by 7% to 746,588 units, with H1 sales totaling 1.4 million units, an 11% increase [4] EV Expansion - GM's EV sales surged by 111% to 46,280 units in Q2, making Chevrolet the best-selling EV brand during the quarter [5] - Ford's hybrid vehicle sales increased by 6% to 82,886 units, although pure EV sales dropped over 30% [6] Stock Performance & Valuation Comparison - Ford's stock rose by 18% in 2025, outperforming the S&P 500's 5% and the Zacks Automotive-Domestic Market's 2% [7] - GM's stock is down 1%, while Tesla has seen declines of over 20% [7] - Over the past three years, GM's stock gained over 60%, while Ford's stock only increased by 4% [8] - GM stock trades at 5X forward earnings, while Ford trades at 10X, below the industry average of 11X and the S&P 500's 23X [9] Dividend Comparison - Ford offers an annual dividend yield of 5.29%, while GM's yield is 1.15% [11] Bottom Line - Both Ford and GM have shown strong Q2 sales, leading to a Zacks Rank 3 (Hold) for both companies, indicating potential long-term value for shareholders [12][15]