General Motors (GM) Surges 15% on Strong Q3 Earnings and Raised Outlook
General Motors shares jumped 15% during Tuesday's trading session after the automaker reported better-than-expected third-quarter earnings. Adjusted EPS of $2.80 surpassed analyst estimates of $2.31, while revenue of $48.59 billion exceeded consensus forecasts despite a slight year-over-year decline.
The company significantly raised its full-year guidance, now projecting EBIT between $12 billion and $13 billion, up from previous estimates of $10 billion to $12.5 billion. GM also increased its adjusted automotive free cash FLOW forecast to $10-$11 billion and adjusted EPS guidance to $9.75-$10.50.
CEO Mary Barra credited the company's performance and expressed Optimism about GM's competitive position following recent tariff updates. The earnings beat comes despite a 57% year-over-year decline in net income, attributed primarily to special charges related to electric vehicle investments.
