Wedbush raises General Motors stock price target to $65 on growth momentum

Published 19/08/2025, 11:44

Investing.com - Wedbush has raised its price target on General Motors (NYSE:GM) stock to $65.00 from $55.00 while maintaining an Outperform rating. The stock currently trades at $56.23, with a notably low P/E ratio of 8.88, according to InvestingPro data.

The research firm cited "incremental momentum" with GM’s growth story extending into 2026, while noting the automaker is "impressively navigating the tariff headwinds."

Wedbush believes GM has developed multiple strategies to mitigate potential tariff impacts, including production relocation options and various cost and logistics planning operations for 2025 and beyond.

The firm expressed confidence in CEO Mary Barra’s preparedness for various scenarios, stating GM is "embarking down a major path of growth" with an improved electric vehicle market position compared to recent years. Management’s commitment to shareholder value is evident through aggressive share buybacks and a 25% dividend growth over the last year, as revealed in InvestingPro’s detailed analysis, which includes 8 additional key insights about GM’s performance.

Wedbush also highlighted GM’s upcoming product lineup, noting the automaker has "a myriad of new models coming out over the next 6-12 months that could catalyze consumer demand across its product line." Despite a relatively low gross profit margin of 10.97%, the company maintains strong market positioning in the automotive sector.

In other recent news, Cleveland-Cliffs (NYSE:CLF) Inc has secured multiyear fixed-price contracts with several U.S. automakers. These agreements, lasting two to three years, represent a shift from the company’s usual one-year contracts for supplying standard sheet steel to car manufacturers. General Motors is making headlines with its plan to import electric vehicle batteries from China’s largest battery producer, CATL. This move highlights GM’s ongoing efforts to strengthen its EV supply chain.

Additionally, General Motors and Hyundai Motor (OTC:HYMTF) have announced a collaboration to develop five vehicle models by 2028, targeting Central and South American markets. The planned models will include mid-size and compact pickups, a small car, and a compact SUV, featuring both internal combustion and hybrid electric powertrains. In analyst updates, Bernstein SocGen Group has raised its price target for General Motors to $41, citing improved clarity on tariff impacts, although concerns remain about GM’s North American operations.

Meanwhile, TD Cowen has lowered its price target for General Motors to $80, attributing the change to "noisier than expected" quarterly results. Despite this adjustment, TD Cowen continues to view GM as a "Top Pick" and suggests that the market’s reaction to the results was excessive. These developments reflect significant strategic moves and ongoing challenges for the involved companies.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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