- General Motors is set to report its first-quarter earnings, with Wall Street analysts expecting adjusted earnings per share of $2.74 and revenue of $43.05 billion. This represents a slight increase in revenue compared to the previous year, despite ongoing uncertainties related to auto tariffs imposed by the Trump administration. Analysts anticipate that consumer demand may have surged ahead of potential price increases due to these tariffs, which could positively impact GM's quarterly results.
- The automotive industry is currently facing significant challenges due to a 25% tariff on imported vehicles, leading to downgrades of GM's stock by several analysts. Despite these challenges, GM has a history of raising its annual guidance during first-quarter earnings reports. However, the company has not publicly announced any major changes to its manufacturing plans, which raises questions about its ability to manage increased costs stemming from the tariffs.
Why it matters
The upcoming earnings report is crucial for GM as it navigates tariff-related challenges and seeks to maintain investor confidence.