Buying a stock isn't just about reading a ticker on a screen. It's about figuring out if the company actually knows what it’s doing with your money. Honestly, looking at the stock quote for gm today, you might think everything is just fine. The price is hovering around $83.23, which is pretty close to its 52-week high of $85.18. But if you look under the hood, there’s a massive strategy shift happening that has some investors cheering and others biting their nails.
General Motors just dropped a bombshell. They’re taking a massive $7.1 billion hit to their earnings. Why? Because they’re basically admitting that the aggressive push into electric vehicles (EVs) isn't paying off like they thought it would. This isn't just a small correction; it's a full-on pivot back to the gas-guzzling trucks and SUVs that actually pay the bills.
The Reality Behind the Current GM Stock Quote
The stock market is a weird place. Usually, when a company says they’re losing $7 billion, the stock price tanks. Instead, GM is sitting near all-time highs. It’s kinda wild. On January 13, 2026, the stock closed up slightly at **$83.23**. Investors seem to be rewarding Mary Barra for being realistic. The company is devaluing its EV manufacturing assets by about $1.8 billion and spending another $4.2 billion just to get out of battery supply contracts.
Basically, they overextended. They built factories for cars that people aren't buying fast enough. By pulling back, they're freeing up cash to build more Silverado and Sierra pickups. Those trucks are the profit engines of Detroit. Wall Street loves margins, and right now, internal combustion engines (ICE) have the margins that EVs lack.
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What the Numbers are Screaming
If you’re staring at the stock quote for gm on your phone, you’ll see a P/E ratio that looks incredibly cheap. It’s trading at roughly 7.3x forward earnings. Compare that to the rest of the industry, which often sits closer to 14x. It looks like a steal, right? But that low valuation is there for a reason. There’s a lot of "policy whiplash" risk. With US emissions regulations becoming less stringent and federal tax incentives disappearing, the roadmap for 2026 and 2027 is suddenly very blurry.
Why the EV Retreat Matters to Your Portfolio
The big news this week was the idling of the Ultium Cells plants. These were supposed to be the crown jewels of GM’s future. Instead, the plants in Ohio and Tennessee are going quiet for six months. About 1,500 workers are being laid off. This is a massive "oops" moment for the 2035 all-electric goal.
Does this mean GM is giving up on EVs? Not exactly. They still have the Bolt, the Lyriq, and the Hummer EV. But they’re moving from a "volume" strategy to a "portfolio" strategy. They’ll keep the models on the showroom floor, but they won't be pumping them out of the factories like crazy until the demand actually shows up.
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The China Problem
It’s not just the US causing headaches. GM is also restructuring its joint venture in China, SAIC General Motors. That accounted for about $1.1 billion of that recent charge. For years, China was GM’s golden goose. Now, local brands like BYD are eating everyone's lunch. If GM can't fix its international footprint, the domestic profits from trucks will have to carry the entire weight of the company.
Dividend and Buyback Updates for 2026
If you’re a "buy and hold" investor, you’re probably looking for that dividend. Right now, GM pays about $0.15 per share every quarter. That gives it a yield of roughly 0.72%. It’s not a huge payout—honestly, it’s pretty tiny compared to some of the old-school blue-chip stocks. But the payout ratio is only about 17%. That means they have plenty of room to keep paying it, even with the multibillion-dollar writedowns.
- Quarterly Dividend: $0.15
- Annual Payout: $0.60
- Next Earnings Date: January 27, 2026
- 52-Week Range: $41.60 – $85.18
Analysts are still mostly bullish. Out of about 17 major Wall Street analysts, 11 have a "Strong Buy" rating on the stock. They see the pivot back to trucks as a move that protects the dividend and allows for more share buybacks down the line. Goldman Sachs and Morgan Stanley have price targets in the $90 to $93 range.
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Is GM Still a Value Play?
The "bears" will tell you that GM is a legacy dinosaur that’s going to get crushed by the tech transition. The "bulls" say GM is the only legacy maker with the guts to admit when a plan isn't working and fix it.
The fact that the stock quote for gm stayed strong after a $7 billion warning tells you that the market was already expecting a mess. Now that the mess is out in the open, the "uncertainty" discount is starting to lift. But don't expect a smooth ride. GM warned that more charges could be coming later in 2026 as they continue to negotiate with suppliers.
Actionable Insights for Investors
If you're holding GM or thinking about jumping in, here's the reality:
- Watch the January 27 Earnings Call: This is where management will provide the full 2026 guidance. Look for specifics on how many gas-powered trucks they plan to add to the production line to offset the EV losses.
- Monitor the "Zacks Rank": Currently, GM holds a #1 (Strong Buy) rank due to positive earnings revisions. If this slips to a #3 or lower, it means the analysts are losing confidence in the "truck pivot."
- Check the 10-Year Treasury: Auto stocks are sensitive to interest rates. If rates stay high, car loans stay expensive, and even the most popular Silverado won't sell if the monthly payment is $1,000.
- Set a Stop-Loss: The 52-week low is miles away at $41.60. If the stock breaks below its 50-day moving average (around $78), it might be time to take profits.
The bottom line is that GM is betting its future on its past. It’s a gamble that they can make enough money on gasoline vehicles today to survive the slow transition to whatever comes tomorrow.