General Motors is on track to end 2025 as the top US-traded automaker stock, far outpacing American rivals like Ford, Tesla, and Stellantis.
Shares have soared more than 55 per cent to a record price above $80, setting GM up for its best year since exiting bankruptcy in 2009.
That includes a nearly 13 per cent jump in December, piling onto five consecutive months of gains.
Ford and Tesla shares rose 34 per cent and 17 per cent, respectively, over the same period.
Honda and Toyota saw far smaller gains while Stellantis, which owns Jeep, Ram, and Dodge, suffered a 15 per cent loss.
Wall Street analysts cite GM’s cash generation, earnings resilience, and strong shareholder returns through stock buybacks.
The Detroit automaker has beaten quarterly earnings estimates every quarter over the past five years except the second quarter of 2022.
The most recent quarterly results were a major catalyst. GM’s third-quarter earnings beat expectations, prompting the company to raise its annual guidance and predict 2026 earnings will top this year.
That sparked a 19.3 per cent weekly gain, the largest jump since the stock began its winning streak in June.
UBS recently increased its 12-month price target by 14 per cent to $97 per share, naming GM its top autos pick heading into 2026.
Morgan Stanley upgraded the stock to overweight with a $90 target.
Analysts point to GM’s steady unit sales growth, disciplined pricing, and tight inventory management as key strengths, delivering better margins than competitors.
External factors have also helped. The Trump administration loosened fuel economy and emissions standards, removed Biden-era penalties, and renegotiated the South Korea trade deal.
The slowdown in less profitable EV sales plays to GM’s strengths in traditional powertrains.
The automaker is well-positioned to benefit from the relaxed regulatory environment as a primarily North American operation.
CFO Paul Jacobson said the company will continue stock buybacks. As long as the stock remains as undervalued as it is, the priority is to buy back shares, he said during a UBS investor conference.
Amid the run-up, Barra has exercised options or sold roughly 1.8 million shares worth more than $73 million. She still owned more than 433,500 shares valued over $35 million as of September.
