According to Jacobson, the demand for the company’s electric cars remains “firm,” and the company intends to ramp up the production through this year in order to keep up. General Motors intends to produce 50,000 units in the first two quarters of 2023, meaning that the full-year production should come to 150,000 units if everything goes as planned. 

The company also revealed that it intends to halt the production of some of its popular EV models Chevrolet Bolt by the end of the year. Despite being GM’s best-seller in the EV department due to its affordable price, Bolt will be axed because of outdated battery cells. Equinox EV model, which is slated to roll out in the fall, is expected to take its place.

General Motors’ first-quarter earnings report on Tuesday beat the analysts’ estimates. The company had revenue of $39.98 billion versus an estimated $39.24 billion, while its diluted earnings per share came at $2.21 compared to the expected mark of $1.72 per share.

GM stock dropped to $32.91 per share on Tuesday compared to the close price of $34.28 the day prior. The company’s shares are 2.69% down year-to-date.

The post General Motors Plans to Double Its EV Production in the Second Half of 2023 appeared first on theprimarymarket.com.

Revenue for the quarter was $43.1 billion compared to an expected $40 billion, while adjusted earnings per share were $2.12, outpacing the estimated $1.69.

“GM led the U.S. industry in total sales and delivered the largest year-over-year increase in market share of any OEM, thanks to strong demand for our products and improved supply chain conditions,” CEO Mary Barra said in her shareholder letter.

The company’s electric vehicle business excelled during the fourth quarter, with the Chevrolet Bolt EV and Bolt EUV hitting record sales figures. GM also proved to be a leader in the truck market, selling 1.1 million full-size pickups, mid-size pickups, and full-size SUVs.

For 2023, General Motors has forecasted earnings before interest and taxes of $10.5 billion to $12.5 billion, while it expects adjusted earnings per tax of $6.00 to $7.00.

The post GM Shares Surge Following Strong Quarterly Earnings appeared first on theprimarymarket.com.

Hummel based his evaluation on the bleak outlook for the car sector in 2023. According to the analyst, demand destruction is “inevitable,” and the carmakers will soon face bloated inventory and an inability to meet the sales quotas. 

“We think it will only take 3-6 months for the auto industry to end up in oversupply, which will put an abrupt end to a 3-year phase of unprecedented OEM [original equipment manufacturer] pricing power and margins,” Hummel explained in a note sent out to clients.

Adjusting Ford’s previous rating of Neutral to Sell, Hummel set a price target of $10 per share, which represents 23% less than his previous estimate. Ford’s stock is sitting at $11.33 on Tuesday, being down close to 50% year to date.

GM stock also had its Neutral rating changed to Sell but received less favorable treatment. Hummel had a $38 per share price target on General Motor shares compared to the current price of $32.01. GM stock is 47.7% down year-to-date.

The post Ford and GM Stocks Dip After UBS Downgrade appeared first on theprimarymarket.com.

According to Jacobson, the demand for the company’s electric cars remains “firm,” and the company intends to ramp up the production through this year in order to keep up. General Motors intends to produce 50,000 units in the first two quarters of 2023, meaning that the full-year production should come to 150,000 units if everything goes as planned. 

The company also revealed that it intends to halt the production of some of its popular EV models Chevrolet Bolt by the end of the year. Despite being GM’s best-seller in the EV department due to its affordable price, Bolt will be axed because of outdated battery cells. Equinox EV model, which is slated to roll out in the fall, is expected to take its place.

General Motors’ first-quarter earnings report on Tuesday beat the analysts’ estimates. The company had revenue of $39.98 billion versus an estimated $39.24 billion, while its diluted earnings per share came at $2.21 compared to the expected mark of $1.72 per share.

GM stock dropped to $32.91 per share on Tuesday compared to the close price of $34.28 the day prior. The company’s shares are 2.69% down year-to-date.

The post General Motors Plans to Double Its EV Production in the Second Half of 2023 appeared first on theprimarymarket.com.

Revenue for the quarter was $43.1 billion compared to an expected $40 billion, while adjusted earnings per share were $2.12, outpacing the estimated $1.69.

“GM led the U.S. industry in total sales and delivered the largest year-over-year increase in market share of any OEM, thanks to strong demand for our products and improved supply chain conditions,” CEO Mary Barra said in her shareholder letter.

The company’s electric vehicle business excelled during the fourth quarter, with the Chevrolet Bolt EV and Bolt EUV hitting record sales figures. GM also proved to be a leader in the truck market, selling 1.1 million full-size pickups, mid-size pickups, and full-size SUVs.

For 2023, General Motors has forecasted earnings before interest and taxes of $10.5 billion to $12.5 billion, while it expects adjusted earnings per tax of $6.00 to $7.00.

The post GM Shares Surge Following Strong Quarterly Earnings appeared first on theprimarymarket.com.

Hummel based his evaluation on the bleak outlook for the car sector in 2023. According to the analyst, demand destruction is “inevitable,” and the carmakers will soon face bloated inventory and an inability to meet the sales quotas. 

“We think it will only take 3-6 months for the auto industry to end up in oversupply, which will put an abrupt end to a 3-year phase of unprecedented OEM [original equipment manufacturer] pricing power and margins,” Hummel explained in a note sent out to clients.

Adjusting Ford’s previous rating of Neutral to Sell, Hummel set a price target of $10 per share, which represents 23% less than his previous estimate. Ford’s stock is sitting at $11.33 on Tuesday, being down close to 50% year to date.

GM stock also had its Neutral rating changed to Sell but received less favorable treatment. Hummel had a $38 per share price target on General Motor shares compared to the current price of $32.01. GM stock is 47.7% down year-to-date.

The post Ford and GM Stocks Dip After UBS Downgrade appeared first on theprimarymarket.com.