Why General Motors Stock Skyrocketed Today
GMGM(US:GM) The Motley Fool·2025-10-21 21:55

Core Insights - General Motors (GM) reported strong Q3 earnings, leading to a significant stock price increase of 14.9% [1][3] - The company's adjusted earnings per share (EPS) of $2.80 exceeded Wall Street's expectations by $0.48, despite a slight year-over-year sales decline of 0.3% [3][4] - GM raised its full-year adjusted EPS guidance to a range of $9.75 to $10, up from the previous forecast of $8.25 to $10 [5] Financial Performance - Q3 non-GAAP adjusted EPS was $2.80 on sales of $48.59 billion [3] - The company achieved its best Q3 market-share performance since 2017, supported by strong margins and restructuring efforts in the China segment [4] Future Outlook - GM expects tariff-related costs to decrease to $4.5 billion from a prior estimate of $5 billion, with at least $1.2 billion of these costs potentially offset by relocating some truck production to domestic plants [6] - The reduction in tariff costs is contributing to a more positive outlook for earnings, enhancing investor sentiment towards GM [6]