Should I buy General Motors stock in 2025? NZ Expert Review
Is General Motors stock a buy right now?
General Motors (GM), trading on the NYSE, currently stands at approximately $48.59 per share, with a robust recent average daily trading volume of 14.4 million shares. As one of the largest automakers in the US and globally, GM has demonstrated resilient financial strength with its latest quarterly earnings surpassing analyst expectations. Notably, its year-over-year revenue increased by 9.1% in 2024, supported by a net profit of $6.0 billion, even after significant restructuring charges particularly related to its Chinese operations. Recent events such as the cessation of further funding in GM’s Cruise robotaxi segment and a focused push towards electrification offer clarity and strategic direction, addressing manageable short-term headwinds while freeing up capital. Investors view GM’s strong performance in electric vehicles—now #2 in the US market with nearly 90% year-on-year EV growth in Q1 2025—as a sign of adaptability and opportunity. The sector context remains favourable: as the automobile industry transitions toward electric and autonomous vehicles, GM’s legacy scale and innovation pipeline are well recognised. The stock’s low PER of 6.79 and dividend yield of 1.23% add to its appeal. Consensus among more than 29 prominent national and international banks points to a target price of $63, reflecting confidence in GM’s ability to capitalise on its strategic pivots while navigating sector volatility.
- ✅Strong EV sales momentum: 90% year-on-year growth in Q1 2025.
- ✅Low valuation: PER at 6.79 offers attractive entry for value investors.
- ✅Solid free cash flow generation and a stable dividend yield of 1.23%.
- ✅Clear US leadership in full-size trucks and diverse global brand portfolio.
- ✅Strategic $35B investment in electric and autonomous vehicles by 2025.
- ❌Ongoing restructuring in China may limit near-term profit growth.
- ❌Heavy investment in electrification poses margin pressure amidst sector competition.
- ✅Strong EV sales momentum: 90% year-on-year growth in Q1 2025.
- ✅Low valuation: PER at 6.79 offers attractive entry for value investors.
- ✅Solid free cash flow generation and a stable dividend yield of 1.23%.
- ✅Clear US leadership in full-size trucks and diverse global brand portfolio.
- ✅Strategic $35B investment in electric and autonomous vehicles by 2025.
Is General Motors stock a buy right now?
- ✅Strong EV sales momentum: 90% year-on-year growth in Q1 2025.
- ✅Low valuation: PER at 6.79 offers attractive entry for value investors.
- ✅Solid free cash flow generation and a stable dividend yield of 1.23%.
- ✅Clear US leadership in full-size trucks and diverse global brand portfolio.
- ✅Strategic $35B investment in electric and autonomous vehicles by 2025.
- ❌Ongoing restructuring in China may limit near-term profit growth.
- ❌Heavy investment in electrification poses margin pressure amidst sector competition.
- ✅Strong EV sales momentum: 90% year-on-year growth in Q1 2025.
- ✅Low valuation: PER at 6.79 offers attractive entry for value investors.
- ✅Solid free cash flow generation and a stable dividend yield of 1.23%.
- ✅Clear US leadership in full-size trucks and diverse global brand portfolio.
- ✅Strategic $35B investment in electric and autonomous vehicles by 2025.
- What is General Motors?
- How much is the General Motors stock?
- Our full analysis on General Motors stock
- How to buy General Motors stock in New Zealand?
- Our 7 tips for buying General Motors stock
- The latest news about General Motors
- FAQ
What is General Motors?
Indicator | Value | Analysis |
---|---|---|
🏳️ Nationality | United States | GM is a leading US automaker with a global presence in key markets. |
💼 Market | NYSE | Listed on the New York Stock Exchange, trading in USD. |
🏛️ ISIN code | US37045V1008 | Unique global identifier; required for international investment access. |
👤 CEO | Mary Barra | Barra leads GM's strategy on electrification and operational efficiency. |
🏢 Market cap | $46.72 billion USD | Reflects GM's strong market position, but lower than historical highs post-2023. |
📈 Revenue | $187.4 billion USD (2024) | 9.1% rise vs 2023 shows robust sales and recent outperformance of analyst expectations. |
💹 EBITDA | $14.9 billion USD (2024) | EBITDA signals healthy profit generation, supporting investments in EV and tech transitions. |
📊 P/E Ratio (Price/Earnings) | 6.79 | Attractive valuation, suggesting upside potential but also sector caution and cyclical risk. |
How much is the General Motors stock?
The price of General Motors stock is rising this week. Currently, GM shares are trading at $48.59 USD, with a 24-hour increase of $0.46 (+0.96%) and a weekly gain of 3.52%. The company’s market capitalisation stands at $46.72 billion, with a three-month average trading volume of 14.44 million shares. The price-to-earnings ratio is 6.79, the dividend yield is 1.23%, and the stock beta is measured at 1.36. For New Zealand investors, GM’s recent gains come with moderate volatility, making it a stock to watch for both stability and growth opportunities.
Check out New Zealand's best brokers!Compare brokersOur full analysis on General Motors stock
Having closely reviewed General Motors’ (GM) latest financial results and its stock performance over the past three years, our proprietary analysis—integrating financial indicators, technical patterns, and extensive peer comparisons—reveals significant shifts underway in the company’s growth trajectory. By harnessing market data, analyst opinion, and real-time technical signals, we continuously gauge GM’s positioning in a rapidly evolving automotive and technology landscape. So, why might General Motors stock once again become a strategic entry point into the US automotive and EV sector in 2025?
Recent Performance and Market Context
General Motors’ stock currently trades at $48.59 (30 May 2025), posting a robust +13.95% gain over the past year amid ongoing sector volatility. While the share price is down 12.59% over six months—a movement that reflects both sector headwinds and broader macro adjustments—the recent weekly uptick (+3.52%) suggests an encouraging inflection point. This short-term reversal follows Q1 earnings that decisively outperformed expectations, providing clear evidence that GM’s ongoing transformation initiatives are starting to deliver tangible results.
From a macro perspective, the North American automotive market remains a compelling investment environment, benefiting from higher consumer spending, moderate interest rates, and an accelerated transition to electric vehicles (EVs). In this landscape, GM’s established market leadership and rapid EV expansion are especially relevant, while US consumer cyclical names continue to attract capital amid a shifting global economic outlook. For New Zealand investors seeking diversified USD exposure through a globally recognised brand, GM offers a compelling blend of cyclical upside and structural transformation.
Technical Analysis
Recent technical readings for GM highlight a market entering a potentially favourable accumulation phase:
- Relative Strength Index (RSI, 14 days): 50.13, a neutral reading implying neither overbought nor oversold conditions and offering scope for upward movement.
- MACD (12,26): Positive at 0.72, signalling renewed bull momentum and a likely continuation of the recent rally.
- ADX (14): 16.75, suggesting the onset of a strengthening trend.
- Moving Averages:
- The 20-day MA at $48.41 provides a near-term technical pivot, slightly below the current price, while the 50-day MA at $47.81 is supportive, indicating bullish undercurrents. Although the 100- and 200-day MAs remain just above the current price, their downward slope is flattening, pointing to a potential reversal as buying interest builds.
- Support and Resistance: The $46.82–$48.20 region represents a robust base, validated by recent trading activity. The key resistance at $50.20 will be crucial; a breakout would likely trigger further buying interest.
Technically, the consolidation under major resistance, accompanied by improving momentum indicators and solid support, suggests that the stock is well-placed for a bullish breakout should positive news materialise.
Fundamental Analysis
GM’s fundamental strengths underpin its investment case, particularly as the automotive sector pivots towards electrification and advanced technologies:
- Revenue Growth: GM reported stellar annual sales growth in 2024 (+9.1% YoY, reaching $187.4 billion), a clear standout in a challenging market. Q1 2025 continued the trend with $44.0 billion in revenue and net profit of $2.8 billion—both above street estimates.
- Profitability: Full-year adjusted EBITDA came in at $14.9 billion, and adjusted earnings per share (EPS) hit $10.60 in 2024. Looking ahead, management’s 2025 guidance anticipates net profits of $11.2–$12.5 billion and diluted EPS of $11.00–$12.00—well above the current market-implied earnings multiple.
- Valuation: With a price-earnings ratio (trailing) of just 6.79, GM’s valuation remains highly attractive relative to both its US and global peers. The PEG and P/S ratios (notably under sector averages) suggest that the stock is trading at a substantial discount, particularly in light of its growth profile and EV exposure.
- Market Share and Strategic Expansion: GM maintains a dominant 10% share of the booming US EV market (ranking #2 nationally), underpinned by its $35 billion investment programme in EVs and autonomous driving through 2025. Its unmatched presence in full-size trucks and a globally renowned brand portfolio (Chevrolet, GMC, Cadillac, Buick) further strengthen its competitive position.
- Innovation: GM’s aggressive push into EVs, backed by vertical integration, innovative Ultium battery technology, and credible production targets (~200,000 EVs in 2025), positions it at the core of industry disruption. Meanwhile, the revised focus on profitability—such as restructuring Cruise and addressing China JV headwinds—demonstrates prudent capital discipline.
Volume and Liquidity
Consistently high trading volumes, averaging over 14.44 million shares daily, reflect deep market confidence and liquidity—vital characteristics for institutional and retail investors alike. This broad and actively traded float supports dynamic valuation re-rating potential, essential for capturing rapid upside on positive catalysts such as earnings surprises or strategic M&A.
Catalysts and Positive Outlook
Several imminent and structural catalysts suggest that GM could be entering a new phase of value creation:
- Electrification Acceleration: GM’s EV deliveries grew 90% YoY in Q1 2025—a remarkable feat given sector bottlenecks. Management’s target of 200,000 EVs in 2025 appears within reach, with margin improvements benefiting from greater scale and cost management.
- Autonomous Driving and Software: Despite pausing Cruise’s robotaxi roll-out, GM is leveraging acquired expertise to spur innovation across its mainstream vehicle lines. This pragmatic approach, focusing on profitability, may drive renewed investor confidence.
- Cost Efficiencies and Geographic Optimisation: Recent restructuring steps in China and within the robotaxi segment have freed up close to $4.5 billion, funds that are being redeployed towards higher-return core activities.
- Brand and Product Strength: The continued success of high-margin pickup and SUV lines ensures stable free cash flow. The electrification of Chevrolet and GMC’s most iconic models, alongside Buick’s dealer transition strategy, illustrates a flexible response to consumer trends.
- ESG Initiatives: GM’s investments in decarbonisation, US manufacturing, and battery recycling add a future-proofing dimension that should appeal to ESG-focused capital inflows.
- Sector Tailwinds: US regulatory support for EV infrastructure, a gradually recovering Chinese market, and improving consumer sentiment all provide fertile ground for GM’s ambitions.
Investment Strategies
With technical support consolidating and fundamental momentum accelerating, GM merits consideration across multiple investment horizons:
- Short-term: Ongoing positive momentum and the approach of the Q2 2025 earnings release (22 July) heighten the potential for a swift upside move. The confluence of support ($46.82–$48.20) and building volume signals an ideal tactical entry ahead of a possible breakout past $50.20.
- Medium-term: As scale efficiencies in EVs materialise and the company’s restructuring gains traction, the stock could re-rate towards analyst target prices ($53.82 consensus, up to $83.00 high), delivering double-digit returns with a favourable risk profile.
- Long-term: GM’s compelling valuation, the structural transformation underway, and its entrenched industry moat (trucks, EVs, global brand portfolio) provide a base for continued capital appreciation. Investors prioritising dividend income also benefit from a well-covered payout and robust cash generation.
Positioning at or just above current support, especially ahead of catalysts like earnings and further positive EV data, may optimise risk-reward for new capital deployment.
Is It the Right Time to Buy General Motors?
GM demonstrates a rare convergence of deep value, structural transformation, and accelerating operational momentum. The stock’s attractive valuation metrics—particularly a single-digit PE in a secular growth industry—underscore a compelling case for renewed interest. Surging EV sales, high brand equity, sound capital allocation, and robust underlying cashflows situate General Motors as a prime candidate for further upside as the market begins to more fully price in its rapid transition.
While sector headwinds and geographic risks persist, GM’s prudent management actions and growth catalysts collectively serve to reduce downside and expand pivot potential looking forward to 2025. For New Zealand investors seeking diversified exposure to both the US equity market and the future of mobility, General Motors stands poised at a technical and fundamental juncture that seems to represent an excellent opportunity.
In sum, the stock may be entering a new bullish phase—anchored by credible growth, robust profitability, and breakout technical signals—making it a name to seriously consider adding to the watchlist or portfolio as the next strategic move in global automotive innovation.
How to buy General Motors stock in New Zealand?
Buying General Motors (GM) shares online is now straightforward and highly secure when using a regulated broker in New Zealand. Retail investors have two main ways to access GM stock: direct “spot” share purchases, or trading Contracts for Difference (CFDs), which offer leveraged exposure and are suited for short-term strategies. Each method has unique features aligned with different investment objectives and risk profiles. A comprehensive comparison of top brokers and trading platforms can be found later on this page.
Cash buying
When you buy GM shares for cash, you acquire actual ownership in General Motors listed on the New York Stock Exchange. Shares are held in your brokerage account in your name. Most brokers serving New Zealand charge a fixed commission per order, typically between NZ$5 and NZ$15, plus minor currency conversion fees when you fund in NZD.
Example
Suppose the GM share price is US$48.59 (approx. NZ$80), and you wish to invest NZ$1,000. With a brokerage fee of NZ$5, you can buy around 12 shares (noting small variations based on FX rates and broker fees).
Gain Scenario: If the share price rises by 10%, your shares are now worth about NZ$1,100. Result: That’s a NZ$100 gross gain, or +10% on your initial investment.
Trading via CFD
CFD trading lets you speculate on GM’s share price movements without owning the actual stock. With CFDs, you can go long (buy) or short (sell), often using leverage, which amplifies both potential profits and risks. Instead of a fixed commission, brokers charge a spread (the difference between buy and sell price) plus overnight financing costs if leveraged positions are held overnight.
Example
You open a CFD position on GM with a NZ$1,000 margin and 5x leverage, giving you NZ$5,000 exposure. If GM’s share price rises by 8%, your position gains 8% × 5 = 40%.
Result: A NZ$400 gross gain on your NZ$1,000 outlay (excluding fees and interest).
Final advice
Before investing in General Motors, it is crucial to compare each broker’s fees, trading conditions, platform features, and customer support. The right choice depends on whether you prefer direct, long-term ownership of shares, or if you want to actively trade GM’s price with CFDs. For detailed broker comparisons and to find the right platform for your needs, please see our broker comparator further down the page.
Check out New Zealand's best brokers!Compare brokersOur 7 tips for buying General Motors stock
📊 Step | 📝 Specific tip for General Motors |
---|---|
Analyze the market | Review New York Stock Exchange trends and the global automotive sector, with a special focus on GM’s position as the #2 EV seller in the US and its push towards electrification. |
Choose the right trading platform | Select a New Zealand-friendly platform that provides access to US markets and supports USD trading, enabling you to buy General Motors shares easily and with competitive fees. |
Define your investment budget | Decide on an investment amount in NZD after considering currency conversion and fees, and ensure GM’s moderate volatility fits your risk tolerance and your broader portfolio strategy. |
Choose a strategy (short or long term) | Consider a long-term approach to benefit from GM’s expanding EV operations and increasing market share, or a shorter-term trade if you want to take advantage of current price targets and technical analysis. |
Monitor news and financial results | Stay up to date with GM’s quarterly earnings (next on 22 July 2025), key announcements about EV launches, and restructuring plans, as these can strongly impact US-listed stocks. |
Use risk management tools | Apply stop-loss orders and set clear profit targets to manage exposure, as GM can experience notable swings linked to the US auto market, sector cycles, and company news. |
Sell at the right time | Evaluate selling if GM approaches major resistance levels (like the $50.20 range) or if there are significant changes in outlook, always aligning decisions with your personal investment goals and planning for profit realisation or risk mitigation. |
The latest news about General Motors
General Motors stock has shown a strong weekly gain of 3.52% and remains up 13.95% year-over-year. As of 30 May 2025, GM shares closed at $48.59 with a trading range demonstrating stability over recent sessions, bolstered by a positive intraday move and robust one-year growth. This outperformance, combined with a price-to-earnings ratio of 6.79, sustains its appeal for value-focused New Zealand investors seeking exposure to major US equities via NZX-listed funds or direct US market access.
GM’s Q1 2025 earnings exceeded expectations, confirming continued operational strength and strong guidance for the full year. The company reported $44.0 billion in revenue and $2.8 billion in net income, both beating Wall Street estimates, and issued an optimistic outlook for 2025 with a projected net profit in the $11.2–12.5 billion range. These results underline GM’s resilient fundamentals despite sector volatility, highlighting strong cash flow—an important consideration for New Zealand institutional investors and pension funds looking for reliable large-cap US exposure.
Strategic progress in electric vehicle (EV) transition accelerates, with 90% year-over-year EV growth and investments approaching $35 billion by 2025. GM now ranks as the #2 EV seller in the US market and is targeting production of around 200,000 EVs this year. The company’s electrification strategy includes transitioning well-known brands like Buick to all-electric and leveraging global partnerships—signals that resonate with New Zealand’s ongoing policy focus on transportation decarbonisation, making this stock relevant for ESG-aligned local portfolios.
Technical indicators tilt positive, with global analyst consensus targeting further price upside and ‘Buy’ recommendations prevailing. Current technicals, including a MACD buy-signal and a 50-day moving average above the share price, reinforce a neutral-to-bullish trend. The average analyst price target stands at $53.82, representing a potential upside of more than 10%. New Zealand investors seeking stable, upward-trending blue-chip equities in global portfolios are thus well-positioned to benefit from GM’s generally positive technical and sentiment backdrop.
GM’s global footprint and strong North American dominance benefit New Zealand consumers via brand presence, advanced vehicle offerings, and competitive pricing. While GM does not operate manufacturing in New Zealand, brands such as Chevrolet and Cadillac are distributed locally through partnerships and independent importers, and the strategic push into EVs aligns with NZ government sustainability initiatives. In addition, GM’s ongoing transformation and leadership in the profitable truck and commercial segments continue to underpin its relevance for New Zealand’s vehicle market and for domestic investors tracking international consumer cycles and automotive innovation.
FAQ
What is the latest dividend for General Motors stock?
General Motors currently pays a dividend. The most recent annual dividend is $0.60 per share, with the next ex-dividend date set for 6 June 2025. This dividend corresponds to a yield of 1.23% based on the latest share price. Over recent years, GM has maintained a stable distribution policy, providing regular payouts as it continues investing in its electric vehicle strategy.
What is the forecast for General Motors stock in 2025, 2026, and 2027?
Based on current projections, the estimated share price for General Motors is $63.17 at the end of 2025, $72.89 at the end of 2026, and $97.18 at the end of 2027. These forecasts reflect continued sector momentum, with General Motors benefiting from its leadership in electric vehicles and efficiency improvements driving solid earnings outlooks according to recent analyst consensus.
Should I sell my General Motors shares?
Holding General Motors shares may be appropriate for investors looking at the automotive sector’s transformation. The company offers attractive valuation metrics and has demonstrated resilience through its balanced strategy between legacy vehicles and innovation in electrification. With robust fundamentals and a solid market position in North America, mid- to long-term growth potential appears favorable. As always, consider your personal investment goals before taking any action.
How are dividends and capital gains from General Motors shares taxed for NZ investors?
Dividends from General Motors shares are generally subject to a 15% US withholding tax before reaching New Zealand investors, and must also be declared in your NZ taxable income. Capital gains on overseas shares are assessed under the Foreign Investment Fund (FIF) rules if your total overseas shares exceed NZD $50,000 in cost. These rules affect both tax calculation methods and reporting obligations for NZ residents.
What is the latest dividend for General Motors stock?
General Motors currently pays a dividend. The most recent annual dividend is $0.60 per share, with the next ex-dividend date set for 6 June 2025. This dividend corresponds to a yield of 1.23% based on the latest share price. Over recent years, GM has maintained a stable distribution policy, providing regular payouts as it continues investing in its electric vehicle strategy.
What is the forecast for General Motors stock in 2025, 2026, and 2027?
Based on current projections, the estimated share price for General Motors is $63.17 at the end of 2025, $72.89 at the end of 2026, and $97.18 at the end of 2027. These forecasts reflect continued sector momentum, with General Motors benefiting from its leadership in electric vehicles and efficiency improvements driving solid earnings outlooks according to recent analyst consensus.
Should I sell my General Motors shares?
Holding General Motors shares may be appropriate for investors looking at the automotive sector’s transformation. The company offers attractive valuation metrics and has demonstrated resilience through its balanced strategy between legacy vehicles and innovation in electrification. With robust fundamentals and a solid market position in North America, mid- to long-term growth potential appears favorable. As always, consider your personal investment goals before taking any action.
How are dividends and capital gains from General Motors shares taxed for NZ investors?
Dividends from General Motors shares are generally subject to a 15% US withholding tax before reaching New Zealand investors, and must also be declared in your NZ taxable income. Capital gains on overseas shares are assessed under the Foreign Investment Fund (FIF) rules if your total overseas shares exceed NZD $50,000 in cost. These rules affect both tax calculation methods and reporting obligations for NZ residents.