Cars and Drivers

GM Shares Soar

GM SUV
2020 GMC Acadia AT4 front NYIAS 2019 by Kevauto / BY-SA 4.0 (https://creativecommons.org/licenses/by-sa/4.0/)

24/7 Wall St. Insights

  • General Motors Co. (NYSE: GM) stock has outperformed the broader markets this year
  • That may be because it looks better in several ways than rival Ford Motor Co. (NYSE: F).
  • Also: Discover the Next Nvidia.

General Motors Co. (NYSE: GM) stock is up 39% this year, compared to the S&P 500’s 19% gain. Among the reasons is its retreat from the hugely expensive financial losses from electric vehicles (EVs) and warranty write-offs, which are much lower than those of rival Ford Motor Co. (NYSE: F).

GM shares trade at $49, with a median analyst price target of $55. Ford’s trades at $11.19, and analysts have a consensus precise target of $12.98.

GM has held the unit sales lead over Ford for decades. Its position has strengthened as Ford’s has weakened. In 2023, GM’s U.S. market share was 16.89%, Toyota Motor Corp.’s (NYSE: TM) was 14.46%, and Ford’s was 13%.00.

GM also benefits from the fact that its cars are better built than those of Ford and Toyota. In the latest JD Power Initial Quality Survey, Chevy ranked number two, Buick number five, the Ford brand number nine, and Toyota number 16.

It is possible that Ford’s well-publicized number of car problems and high warranty costs simply make GM look better.

Ford (F) Price Prediction and Forecast 2025-2030

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