General Motors faces an early test of its 2026 profit targets when it reports first‑quarter results before markets open on Tuesday — analysts polled by LSEG expect adjusted EPS of $2.62 and revenue of $43.68 billion, down about 6% and 1% respectively from a year earlier. Investors will watch for any update to GM's 2026 guidance and for signs that costs tied to its pullback on electric‑vehicle programmes are tapering.

What Wall Street expects General Motors is due to release first-quarter results before the market opens on Tuesday, with analysts polled by LSEG pencilling in adjusted EPS of $2.62 and revenue of $43.68 billion. Those consensus figures reflect modest declines from the same quarter of 2025: revenue down about 1% and adjusted earnings per share down roughly 5.8%. Those numbers set a clear benchmark. GM has to match or beat them to reassure investors that profitability is holding up despite headwinds from geopolitics, trade measures and the company’s own EV strategy changes. How the quarter compares with a year ago In the first quarter of 2025 GM reported $44.02 billion in revenue, net income attributable to stockholders of $2.78 billion, and adjusted earnings before interest and taxes of $3.49 billion. So the street’s forecast implies only a small revenue dip but a larger squeeze on margins, given the expected fall in adjusted EPS. That marginal deterioration mirrors what investors have been seeing across a number of large automakers this cycle — sales holding up while profitability faces pressure from input costs, mix shifts and one-off charges. Guidance and the longer view GM issued full-year 2026 targets that are, on paper, stronger than what it recorded in 2025. The company set a net income attributable to stockholders range of $10.3 billion to $11.7 billion, adjusted EBIT of $13 billion to $15 billion, and diluted EPS of $11 to $13 for the year. The quarter will be judged not only on whether it hits the LSEG consensus but on whether there are signs that GM can deliver against those annual ranges. Investors will be checking items such as margin trends, volume assumptions and any shift in capital spending plans that could affect execution over the next four quarters. Charges tied to EV strategy Last year GM took $7.6 billion in write‑downs related to its electric‑vehicle programmes after scaling back some EV investments. The company has said it expects additional charges in 2026 but at a lower level than in 2025. That phrasing matters: investors want to see whether those charges are tapering as promised, or whether further impairments and restructuring costs are still to come. Any larger‑than‑expected hits would weigh on adjusted results and market confidence in GM's EV roadmap. Geopolitics and tariffs — costs that can move quickly Analysts are also watching external pressures. The Iran war and tariff measures were flagged by market watchers as potential sources of added expense and supply disruption. Those aren't line‑item variables GM can control, but they do affect the cost base for raw materials and the flow of parts across borders. The quarter might therefore show operating performance that’s healthy on core metrics but still under pressure from rising freight or import duties, which would be passed along to margins unless offset by better pricing or lower overhead. What to look for in the print There are a few specific datapoints investors will parse closely when GM files its report: - Adjusted gross margin and adjusted EBIT: these reveal whether profitability is stabilising after the heavy EV‑related writedowns in 2025. - Any discrete charge or restructuring item disclosed for the quarter: a one‑off hit will change the headline EPS but, more important, it will indicate whether underlying operations remain resilient. - Management commentary on volumes and capital spending: investors will watch for any revisions that could affect the company’s ability to hit its 2026 targets.

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GM reports first‑quarter results before markets open on Tuesday; the print will be an early test of whether the company is on track to meet its 2026 EPS guidance of $11 to $13 per share.

This article was created with AI assistance.