General Motors shares rise 4.6% after 8.1% drop in prior session

General Motors shares rise 4.6% after 8.1% drop in prior session

General Motors Co. (NYSE: GM) saw a significant bounce in its share price on July 2, 2025, following an 8.1% drop in the previous session. The stock gained 4.6% to close at $75.23 per share, driven by positive earnings reports and market sentiment.

The company reported strong underlying operating performance for the first half of 2025, with total company revenue reaching $91 billion, a notable increase from the previous year [2]. North America revenue alone amounted to nearly $77 billion, marking a record high [2]. The adjusted EBIT for Q2 2025 was $3 billion, with the company's U.S. market share increasing to 17.3% [2].

Despite the positive earnings, GM faced several challenges. The company experienced a $1.1 billion net tariff impact in Q2, with only 30% of the full-year impact expected to be mitigated [2]. Additionally, higher warranty expenses and slower growth in the EV market posed further headwinds [2].

However, GM is positioning itself for a profitable long-term future. The company is making significant investments in US manufacturing, including a $4 billion investment to expand capacity for high-margin vehicles [2]. GM's Super Cruise technology is also growing, with more than 600,000 customers expected by year-end [2].

The recent stock performance reflects investor confidence in GM's ability to navigate these challenges and capitalize on growth opportunities. The company's strategic focus on expanding its EV portfolio, improving battery technology, and increasing US production capacity is likely to be key drivers for future growth.

References:
[1] https://www.morningstar.com/stocks/xnys/gm/quote
[2] https://finance.yahoo.com/news/general-motors-co-gm-q2-070817872.html
[3] https://www.detroitnews.com/story/business/autos/general-motors/2025/07/22/gm-reports-3-billion-in-profits-between-april-and-june/85319263007/