General Motors lifts forecast as tariff outlook improves, shares surge 10%

Core Insights - General Motors has raised its financial outlook for the year, expecting adjusted core profit to be between $12.0 billion to $13.0 billion, up from a previous estimate of $10.0 billion to $12.5 billion [2] - The company has reduced its anticipated tariff impact to a range of $3.5 billion to $4.5 billion, down from $4 billion to $5 billion, as it awaits expected relief on tariffs in the U.S. [2][7] Financial Performance - GM's quarterly adjusted earnings per share were reported at $2.80, exceeding analysts' expectations of $2.31 [4] - Revenue for the quarter ended September slightly decreased to $48.6 billion compared to the previous year [6] Market Context - U.S. car sales increased by 6% in the third quarter, despite uncertainties surrounding tariffs [6] - Shares of GM rose approximately 10% in premarket trading, positively impacting peers such as Ford and Stellantis [3] Strategic Focus - CEO Mary Barra indicated that the company is focusing on electric vehicle (EV) investments to meet federal requirements, although she acknowledged that near-term EV adoption will be lower than planned due to changing regulations [5] - GM plans to mitigate 35% of its anticipated tariff impact, aided by new credits for U.S. auto production approved by the Trump administration [7][8]