General Motors (GM): Assessing Valuation After Recent Double-Digit Share Price Gains

General Motors (GM) shares have seen some swings over the past week, leaving investors wondering what’s next. Despite a recent dip, GM stock has posted strong gains over the past month and is up 13%.

See our latest analysis for General Motors.

After a sharp rally in recent weeks, General Motors is still holding onto strong momentum, even after a modest pullback. The company’s one-month share price return stands at 13.45%, and its long-term track record remains impressive, with a five-year total shareholder return exceeding 81%.

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Despite a solid track record and recent double-digit gains, is General Motors trading below its true value, or are investors already factoring in all the expected growth? Is there still a buying opportunity here, or is the market pricing in future potential?

Most Popular Narrative: 5.3% Undervalued

With General Motors' most widely followed narrative estimating fair value at $72.04, shares at last close ($68.22) remain below this target. This gap raises questions about the forces supporting GM’s upside, and whether the current price truly reflects all its earnings and growth levers.

"Analysts point to greater visibility on tariff impacts and believe that risks are being successfully managed. Ongoing onshoring and supply chain initiatives could further protect margin performance through 2026."

Read the complete narrative.

What’s fueling this bullish price target? The recipe is packed with key drivers like future profit margins, relentless innovation, and aggressive revenue forecasts. The surprise? It’s not what most expect from a traditional automaker. Get the inside story and see why the numbers have sparked a valuation debate.

Result: Fair Value of $72.04 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent tariff headwinds and higher warranty expenses from EV quality issues remain key risks that could challenge GM’s positive outlook.

Find out about the key risks to this General Motors narrative.

Build Your Own General Motors Narrative

Do you want to dig deeper or approach things from your own angle? You can explore the data and shape your own view in just minutes, then Do it your way.

A great starting point for your General Motors research is our analysis highlighting 3 key rewards and 4 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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