GM

Tesla TSLA reported third-quarter 2026 adjusted earnings of 48 cents per share, beating the Zacks Consensus Estimate of 45 cents by 6.67%. However, earnings declined 4% from 50 cents in the year-ago quarter, reflecting higher operating expenses. Revenues totaled $28.05 billion, down marginally from $28.1 billion a year ago. Revenues surpassed the Zacks Consensus Estimate of $27.78 billion by 0.96%. Growing Full Self-Driving (FSD) adoption and strength in services supported results. Tesla, Inc. price-consensus-eps-surprise-chart | Tesla, Inc. Quote Tesla produced 464,391 vehicles during the quarter, up 4% year over year. Model 3/Y production increased 5% to 457,387 units, while production of other models declined 40% to 7,004 units. Vehicle deliveries declined 2% year over year to 486,532 units. Model 3/Y deliveries slipped 1% to 478,237 units, while other model deliveries plunged 48% to 8,295 units. Global vehicle inventory was 11 days of supply compared with 10 days a year earlier. Management highlighted record quarterly deliveries across several markets, including Canada, Australia, Japan and Taiwan. Tesla exited the quarter with its highest passenger vehicle order backlog in four years. Deliveries were primarily constrained by production, with battery availability remaining a key bottleneck in increasing vehicle output. Automotive revenues declined 3% year over year to $20.56 billion. Automotive sales contributed $20.09 billion, while regulatory credit revenues dropped to $113 million from $417 million. Automotive leasing revenues totaled $353 million compared with $429 million a year ago. Despite lower revenues, automotive gross margin improved to 18.5% from 17% in the year-ago period. Excluding regulatory credits, automotive gross margin expanded sequentially to 18.1% from 16.3%. Management attributed the sequential improvement to a favorable regional delivery mix, particularly increased deliveries in Asia Pacific. However, lower vehicle average selling prices and reduced regulatory credit revenues remained headwinds. Energy generation and storage revenues decreased 16% year over year to $2.88 billion from $3.42 billion partly due to tariff-related customer refunds. Energy storage deployments reached 13.7 gigawatt-hours, up 10% year over year. Energy gross margin improved sequentially to 33.1% from 20.4%, primarily benefiting from tariff refunds and warranty-related adjustments. The company commenced production at Megafactory Texas, which has planned annual capacity of 50 GWh. Management highlighted record energy storage orders and backlog, supported by growing demand from data centers. Tesla also shipped its first Megapacks incorporating domestically manufactured lithium iron phosphate battery cells. Services and other revenues surged 33% year over year to $4.61 billion. Segment gross profit reached a record $734 million, increasing $86 million sequentially, while gross margin improved to 15.9% from 14.1%. Growth was supported by charging, insurance and parts sales. Meanwhile, active paid FSD customers climbed 67% year over year to 1.74 million. More than 75% of new vehicle deliveries in North America included paid FSD subscriptions at delivery. Tesla also expanded its autonomous transportation operations by introducing Cybercab rides in Austin. Cumulative unsupervised Robotaxi miles increased eightfold sequentially, approaching 2 million miles by quarter-end. Total gross profit increased 9% year over year to $5.49 billion, while gross margin expanded 160 basis points to 19.6%. However, operating expenses surged 39% to $4.78 billion, driven by higher research and development spending, stock-based compensation and administrative costs. Consequently, operating income declined 56% to $718 million, with operating margin contracting to 2.6% from 5.8%. Adjusted EBITDA declined 8% to $3.90 billion. Its corresponding margin contracted to 13.9% from 15%, underscoring continued profitability pressure from investments in artificial intelligence, robotics and manufacturing expansion. Tesla generated operating cash flow of $6.26 billion, broadly flat year over year. Capital expenditures increased to $4.73 billion from $2.25 billion, while free cash flow declined 62% to $1.53 billion. Cash, cash equivalents and short-term investments totaled $45.45 billion as of Sept. 30, 2026, up from $43.52 billion at the end of June. Management trimmed its 2026 capital expenditure outlook to approximately $20 billion from $25 billion guided earlier. Spending priorities include Robotaxi fleet expansion, Optimus production, semiconductor manufacturing, solar capacity and additional computing infrastructure. Tesla is targeting annual vehicle production capacity of approximately 5 million units by 2030. Management also expects Optimus deliveries to external customers toward the end of 2027, while Robotaxi operations are projected to make a more meaningful contribution to revenues and profitability during the second half of next year. TSLA currently carries a Zacks Rank #4 (Sell). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Genuine Parts Company GPC reported third-quarter 2026 adjusted earnings of $2.07 per share, missing the Zacks Consensus Estimate of $2.09. The bottom line increased 4.5% from $1.98 in the year-ago quarter. Revenues rose 4.2% year over year to $6.52 billion and surpassed the consensus estimate of $6.5 billion. Comparable sales increased 2.9%, led by strong Industrial demand. Genuine Parts ended September with $2.4 billion of liquidity, including $763 million in cash. General Motors GM delivered strong third-quarter 2026 results yesterday. Its earnings per share grew 32.2% year over year to $3.70 and topped the Zacks Consensus Estimate of $3.55. Revenues of $50.02 billion increased 3% year over year and outpaced the consensus mark of $48.21 billion.On a further encouraging note, General Motors raised its adjusted automotive free cash flow forecast to $11.5-$12.5 billion from $9.5-$11.5 billion and authorized a $20-billion multi-year share repurchase program. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Tesla, Inc. (TSLA) : Free Stock Analysis Report Genuine Parts Company (GPC) : Free Stock Analysis Report General Motors Company (GM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

General Motors topped analysts' third-quarter top- and bottom-line estimates, but that didn't stop the post-earnings selloff that has seen the stock drop 7.2% over the last two sessions, including a 1.15% decline on Wednesday, Oct. 21. The firm tightened its EBIT guidance slightly to between $14.5 billion and $15.5 billion, down from its previous range of $14 billion to $16 billion. It also tightened its earnings per share guidance to between $12.75 and $13.75 per share, down from its previous view of $12 to $14 per share. And that was enough to send the stock reeling. However, analysts at Deutsche Bank say that while the market has priced in the headwinds facing GM, it is overlooking the execution the company has demonstrated this year. Deutsche Bank analyst Edison Yu says the firm is one of the "dip buyers" on yesterday's pullback in a note published Oct. 21. ¨The stock reacted negatively to softer 2027 outlook which is understandable,¨ Yu said. ¨However, GM has repeatedly shown it can absorb a variety of headwinds and deliver upside to expectations. Moreover, the new $20 billion buyback authorization represents 30% of market cap and will further shrink the share count and support EPS growth (even in a flattish EBIT environment).¨ Related: GM shares are on sale for investors willing to buy into weakness, analyst says The firm reiterated its buy rating, though it did lower its price target to $98 from $101. GM shares were trading at about $76 per share at the close on Oct. 21. DB analysts focused on the good news from the just-concluded quarter rather than the more conservative outlook, noting that the car maker reported its third consecutive quarter of ¨strong results with EBIT higher than our consensus estimates.¨ The earnings and revenue beats were driven by GM's North American operations, which benefited from $600 million in cost improvements and $ 400 million in volume contributions. Deutsche Bank analysts noted that GM narrowed its guidance this time around and that ¨investor expectations for the year were biased towards the upper end of the range coming into the quarter.¨ They also say the tightened future guidance is a reflection of the strong present the company is experiencing. ¨The $500 million narrowing at both the high and low ends is driven by better-than-anticipated volumes, offset by higher-than-expected costs, most of which will flow through in 4Q.,¨ Yu said. More auto news: - Car owners delay repairs amid affordability challenges - Tesla price target lowered by analysts worried about runaway $25 billion spending - GM stock will see major benefit from latest redesign While the firm is bullish on GM's future, it says growth hinges on whether the company can find additional ways to cut costs. But it expects Q1 2027 to be its weakest quarter next year as the company's changeover to its next-generation full-size pickups will lead to plant downtime and slower line rates. But the firm believes in General Motors' plan to reduce costs. ¨To offset the cost pressure, management plans to pursue structural cost-reduction programs, a lever it has used before,¨Yu said. ¨Overall, we see 2027 as a year where truck-driven price/mix and cost actions must work harder just to absorb commodity inflation, which limits visibility of meaningful EBIT growth.¨ Still, the firm expects free cash flow from automotive operations to increase again in 2027 as it has this year. ¨Meanwhile, GM has completed its $6 billion buyback announced in January and authorized a new $20 billion program, signaling confidence in its FCF outlook and its view that the stock is undervalued. Related: GM wants drivers to be able to text and drive This story was originally published by TheStreet on Oct 22, 2026, where it first appeared in the Investing section. Add TheStreet as a Preferred Source by clicking here.

- Price change for General Motors stock: -7% - $GM Stock Price as of Oct. 20: $77 - 52-Week High: $92 - $GM Stock Price Target: $104 __Now Live: Discover how much upside your favorite stocks could have using TIKR's new Valuation Model (It's free)__>>> General Motors (GM:NYSE) shares fell nearly 7% on Tuesday, even though the company beat Wall Street's Q3 expectations. - Adjusted earnings came in at $3.70 per share, above the $3.63 analysts expected. - Revenue hit a record $50.02 billion, versus $48.76 billion expected. North America did the heavy lifting and delivered $3.6 billion of GM's $4.1 billion in adjusted EBIT. Its margin was 8.7%, up 2.5 points from a year ago, and net income was $3.3 billion, up roughly $2 billion from last year. GM also announced a new multiyear buyback of $20 billion, following a $6 billion repurchase program the company just completed. It also raised its free cash flow outlook to $11.5 billion to $12.5 billion, up from $9.5 billion to $11.5 billion. So why is General Motors stock down? The new earnings guidance fell short of expectations. GM now sees adjusted EPS of $12.75 to $13.75, which puts the midpoint at $13.25, lower than what analysts were looking for: $13.41. Higher costs are the main worry. GM expects about $2 billion in headwinds this year from commodities, logistics, and memory chip costs. Copper prices are at record levels, and steel prices are at 4-year highs. GM also said its Q4 will be down from the third. See analysts' growth forecasts and price targets for General Motors stock (It's free) >>> Investors are focused on what comes next, not the quarter that just ended. Analysts said the results were solid. But they questioned whether higher costs and pricing pressure could limit earnings growth next year. GM's CFO said vehicle pricing is fairly flat while costs keep rising, and the company says 2027 can still be better than 2026. But that depends on strong demand and easing cost pressures. A new truck launch is also underway, and GM expects roughly the same truck volume next year. The buyback shows management believes the shares are undervalued. Still, General Motors stock is trading on the cost outlook for now. Investors will watch whether commodity prices cool before GM gives full 2027 guidance. *__Estimate a company's fair value instantly (Free with TIKR) >>>__* TIKR lets you forecast the future price of any stock in less than a minute. Just enter a few assumptions into TIKR's valuation model and see what GM stock could be worth. Start from Wall Street consensus estimates, or adjust the inputs to reflect your own view of the business. It's free to use. Value General Motors for free→

General Motors Company GM raised its 2026 cash flow outlook while warning that recent commodity inflation could complicate earnings growth in 2027. Its 2027 plans hinge on a smooth pickup launch and cost reductions. The company's adjusted earnings of $3.70 per share beat the Zacks Consensus Estimate of $3.55. Revenues of $50.02 billion surpassed the consensus mark of $48.21 billion. General Motors Company price-consensus-eps-surprise-chart | General Motors Company Quote CFO Paul Jacobson raised 2026 adjusted automotive free cash flow guidance to $11.5 billion-$12.5 billion compared with $9.5 billion-$11.5 billion previously. Capital spending should land in the lower half of its $10 billion-$12 billion range. Adjusted EBIT guidance narrowed to $14.5 billion-$15.5 billion from $14 billion-$16 billion. Adjusted earnings guidance tightened to $12.75-$13.75 per share from $12-$14. A TD Cowen analyst questioned cash flow sustainability. Jacobson credited lower capital spending and tariff refunds, later clarifying that the refund benefit would not recur in 2027. Jacobson pegged 2026 commodity, logistics and memory cost headwinds at roughly $2 billion, including $700 million of third-quarter year-over-year pressure, primarily from commodities. Sustained commodity prices could add $1 billion-$1.5 billion in incremental 2027 EBIT pressure, bringing total headwinds to roughly $2 billion. Jacobson said earnings growth assumes some moderation. Goldman Sachs and Wolfe Research analysts questioned those assumptions. Jacobson said costs must ease from recent levels before management could confidently project growth. Barra emphasized AI-enabled efficiencies and fixed-cost reductions, with formal 2027 guidance due in January. Chair and CEO Mary Barra expects redesigned Silverado and Sierra pickups to lift sales mix and technology adoption. Production began at Silao, with Fort Wayne and Orion launches to follow in 2027. Jacobson expects a fourth-quarter year-over-year shortfall of about 35,000 full-size pickups due to changeover downtime. GM anticipates roughly flat pickup production in 2027 before added capacity supports growth in 2028. A BofA Securities analyst questioned pricing upside. Jacobson cautioned against historical comparisons because outgoing trucks already command strong pricing. Jacobson expects EV losses to decline $1 billion-$1.5 billion this year as GM aligns capacity with softer demand. He anticipated additional, smaller improvements in 2027, followed by battery-related gains in 2028 and 2029. Warranty expense improved $600 million year over year in the third quarter. Management now expects 2026 savings toward the high end of its $1 billion-$1.5 billion target. North America's adjusted margin reached 8.7%. A UBS analyst pressed for EV break-even volume in 2029. Jacobson declined to specify one, citing evolving demand and next-generation batteries. Barra said deferred software and services revenue rose 40% year over year, with GM approaching $7.5 billion by year-end. She expects the installed base of Super Cruise-equipped vehicles to grow close to 50% in 2027. Jacobson reported third-quarter OnStar Digital and Super Cruise revenues above $800 million, up 15%, and projected double-digit growth in 2027. Barra highlighted GM Defense contracts supporting annual revenue growth of more than 30% and double-digit margins, including U.S. military vehicle programs and component deliveries to Lockheed Martin. Barra emphasized that the new $20 billion multiyear share repurchase authorization reflects the board's belief that GM shares remain undervalued. The prior $6 billion program is complete. Jacobson cited $2.5 billion of third-quarter repurchases and another $1 billion in October. Shares outstanding fell to 849 million as of September-end from 904 million as of 2025-end. Pressed by Morgan Stanley and Citigroup analysts, executives declined to specify repurchase timing, reaffirming investment and balance-sheet priorities. Barra framed 2027 as an opportunity to improve earnings through product launches, digital services and operating efficiencies, provided demand holds up and recent cost inflation moderates. Barra balanced confidence in GM's product pipeline with caution over commodity prices and truck-launch execution. GM carries a Zacks Rank #3 (Hold). Its Value Score of A and Growth Score of B indicate relatively favorable valuation and growth characteristics. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. The company's Momentum Score of F points to weak momentum characteristics, while its VGM Score of A reflects a strong combined style profile. These grades complement rather than override the Hold rank. The Zacks Rank can change as analysts revise estimates following the latest results. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report General Motors Company (GM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

- Ford (F) yields nearly 5% versus GM's (GM) sub-1%, making Ford the clear winner for investors who need cash income today. - GM's dividend is covered 18 times by free cash flow versus Ford's 2.6 times, making GM's payout far safer for long-term holders. - GM's stock gained 187% over ten years versus Ford's 62%, and a 37% share count reduction since 2023 makes it the stronger compounder. - Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor) Between Ford Motor Company (NYSE:F) and General Motors (NYSE:GM), which dividend is better for retirement savers? GM reported third-quarter adjusted EPS of $3.70 today, beating the $3.63 estimate, and announced a $20B buyback. Even so, the stock fell 7.84% in the session after management signaled rising cost pressures. Ford trades at $12.10 and is down 4.62% year to date. Ford pays $0.15 per share each quarter, or $0.60 a year. At the current price, that's a yield of about 4.96%. That regular amount is the reliable base for income planning. The larger payments of $0.33 in February 2024 and $0.30 in February 2025 were one-time extras, and the February 2026 payment came in at the regular quarterly rate. GM raised its quarterly dividend to $0.18 from $0.15, bringing the annual total to $0.72. On a $76.27 share price, that yields roughly 0.94%. Winner: Ford. If you've saved over $1,000,000, this guide is for you. The last thing you want in retirement is to run out of money, you want your money to generate lasting income while you enjoy your life. Now you can learn the strategies wealthy retirees use to fund their retirement with The Definitive Guide to Retirement Income from Fisher Investments. Download the guide today! (sponsor) Ford's dividend costs about $2.35 billion a year. The company expects $6 billion to $7 billion of adjusted free cash flow in 2026, so even the low end covers the payout about 2.6 times. Ford also holds $22.3 billion in cash. The weak spots sit on the balance sheet. Debt-to-equity stands at 4.66 and interest coverage at just 2.02. Ford posted a second-quarter GAAP net loss of $1.33B after $4.2B in special charges, and it expects Model e losses of about $4 billion this year. GM's dividend costs only about $632 million a year. Its raised adjusted automotive free cash flow guidance of $11.5–$12.5B covers that roughly 18 times at the low end. GM is profitable on a GAAP basis, with debt-to-equity of 2.13 and interest coverage of 4.00. Winner: GM. Over five years, GM's adjusted share price rose 37.96% while Ford's slipped 2.29%. Over ten years, the gap widened: GM gained 187.08% while Ford gained 62.16%. Ford is also the bumpier ride, with a beta of 1.939 compared with GM's 1.4. GM's chief executive said the company has "reduced our fully diluted shares by 37%" since 2023. As the share count shrinks, each remaining share claims a bigger piece of earnings and dividends. Winner: GM. For income investors who need cash today, Ford offers the better dividend. At a yield near 4.96%, covered more than twice over by free cash flow guidance, it pays real bills in a way GM's sub-1% yield cannot. Ford also raised its 2026 adjusted EBIT guidance to $10.0–$11.0B, and management said, "We remain committed to our investment grade rating in returning capital to shareholders." Ford's leverage is the risk to watch. Its next earnings report will show whether free cash flow stays on track as EV losses narrow. GM wins for retirement savers who are still years away from drawing income. A 20% dividend raise, heavy buybacks, and a stronger balance sheet make it the better compounder. GM also warned of a bumpy 2027, and today's selloff shows investors took that warning seriously. On dividend income alone, Ford holds the edge. If you've saved over $1,000,000, this guide is for you. The last thing you want in retirement is to run out of money, you want your money to generate lasting income while you enjoy your life. Now you can learn the strategies wealthy retirees use to fund their retirement with The Definitive Guide to Retirement Income from Fisher Investments. Download the guide today! (sponsor) Contact [email protected] for any questions or corrections.

General Motors Company (NYSE:GM) does not need a profitable robotaxi fleet to improve its investment case. Better vehicle economics and paid driver-assistance services already offer a route to stronger earnings. At roughly six times forward earnings, the question is whether investors get an attractive price for those improvements or just a low multiple on profits that stay exposed to the automotive cycle. See how GM's driver-assistance strategy fits among the 10 Best Autonomous Vehicle Stocks to Buy Now. Autonomous-driving investment can take years to produce dependable revenue. Selling a useful assistance feature to existing vehicle buyers offers a different route. Customers pay for added convenience, and the manufacturer builds on its installed base. General Motors Company (NYSE:GM)'s July shareholder letter reported its best quarter and first half for new Super Cruise-equipped vehicles. That supports adoption, though it does not prove the service is profitable. Investors should also see Super Cruise as driver assistance, not an unrestricted driverless taxi business. They should judge its financial contribution by customer uptake, continued use, and recurring revenue. General Motors Company (NYSE:GM)'s second-quarter results show stronger underlying operations. Revenue rose 1.9% to $48.0 billion, and adjusted earnings before interest and taxes rose about 30% to $3.94 billion. GM pursues paid assistance before robotaxi profits. Compare commercialization strategies in our self-driving car stocks list. North American adjusted operating margin improved from 6.1% to 8.6%. That means GM kept a larger share of revenue as adjusted operating profit, despite fairly modest sales growth. Management credited lower warranty costs, smaller electric-vehicle losses, and greater efficiency. Those gains make a more concrete near-term earnings argument than assuming future autonomy profits. The counterargument is that automotive margins stay exposed to prices, customer demand, tariffs, and production costs. One better quarter does not remove the need to keep factories and product spending in line with demand. Quarterly adjusted automotive free cash flow reached $5.03 billion, against $2.83 billion a year earlier. This company-defined measure adds another view of cash generation, but it does not replace the reported cash flow statement. Compare GM's margin recovery with manufacturers facing the same demand cycle in our auto manufacturer stocks list. GM also raised its 2026 adjusted automotive free cash flow outlook to $9.5 billion to $11.5 billion. That supports the argument that its operating changes can produce resources for investment and shareholder returns. But reported net income fell 31% to $1.31 billion. The earnings reconciliation shows $2.28 billion of EV strategic-realignment adjustments in Q2. Stronger adjusted operations therefore do not mean every reported profit measure has recovered. The real question is whether the spending reset leads to lasting improvement, or to repeated charges and weak cash returns. General Motors Company (NYSE:GM) trades at 37.40 times trailing earnings and 5.59 times forward earnings. The forward figure means investors pay about $6 for each $1 of annual earnings analysts expect. A stronger forecast earnings base supports the lower forward multiple. Better vehicle margins, smaller EV losses, and capital discipline give operating reasons for recovery. But investors should not read the size of the gap as a forecast of equal growth in ordinary operating profit. GM's reported and adjusted results differ a lot. Its 2026 guidance separates reported EPS of $8.98 to $10.98 from adjusted EPS of $12 to $14. The forward multiple sits below the 6.86 it showed on December 31, 2025, but slightly above the 5.37 on June 30, 2025. GM looks cheap against the sector, but it does not trade at an unprecedented historical discount. GM's EV reset carries both costs and opportunities. Compare other manufacturers navigating the transition in our promising EV stocks list. The consumer-discretionary-sector median is 15.40 times forward adjusted earnings, and GM's multiple sits much lower. Cyclical demand and expensive product transitions explain why some discount remains reasonable. General Motors Company (NYSE:GM) makes an attractive buying case if its margin and cash flow gains last. The low forward multiple does not need a large robotaxi profit to support a reasonable investment argument. It does need the stronger vehicle economics to survive weaker demand and the ongoing EV transition. Sustained cash generation would strengthen the case. Repeated realignment charges or renewed margin deterioration would weaken it. At the end of Q2 2026, 75 hedge funds held GM, down from 77 in Q1. Their combined stakes totaled $4.87 billion, down from $6.08 billion. These filings do not show current trading. Compare GM's approach with the 10 Best Autonomous Vehicle Stocks to Buy Now. While we acknowledge the risk and potential of GM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than GM and that has 10,000% upside potential, check out our report about this cheapest AI stock. Read next: 12 Best Autonomous Driving Stocks to Buy Right Now and 9 Best Auto and Truck Dealership Stocks to Buy Now. Disclosure: None. Follow Insider Monkey on Google News.

US legacy automaker General Motors GM delivered strong third-quarter 2026 results yesterday. Its earnings per share grew 32.2% year over year to $3.70 and topped the Zacks Consensus Estimate of $3.55. Revenues of $50.02 billion increased 3% year over year and outpaced the consensus mark of $48.21 billion. On a further encouraging note, the company raised its adjusted automotive free cash flow forecast to $11.5-$12.5 billion from $9.5-$11.5 billion, and authorized a $20-billion multi-year share repurchase program. Despite all that, shares of General Motors declined 6.84% yesterday following the results. The reaction puts the spotlight on other major US automakers, with Tesla TSLA set to report its third-quarter results tonight and Ford F following on Oct. 28. So, what is behind GM's dip and does the pullback represent a buying opportunity now? Let us dig deeper. General Motors Company price-consensus-eps-surprise-chart | General Motors Company Quote Despite the strong quarter, several headwinds help explain why investors reacted cautiously. The most immediate is cost pressure. Higher prices for copper, steel, fuel and DRAM memory, partly driven by geopolitical tensions in the Middle East, are weighing on margins. GM expects commodity inflation, logistics and DRAM expenses to create a $2-billion headwind in 2026, with $1.3 billion already incurred through the third quarter, including $700 million in the quarter itself. If these pressures persist, management sees an additional $1-$1.5 billion EBIT-adjusted headwind in 2027. Tariffs and transition spending add to the burden. Gross tariff costs are expected near the low end of $2.5-$3.5 billion range this year, while GM anticipates $1-$1.5 billion of 2026 expenses tied to onshoring production, supply-chain improvements and software investments. Operational disruptions are other concerns. New full-size pickup launches are expected to reduce fourth-quarter 2026 output by about 35,000 units. With transitions underway across three assembly plants and three engine plants, more downtime is expected in 2027, leaving full-size pickup production broadly flat year over year. The electric vehicle business also remains a drag. EV sales have declined as GM trimmed production following the expiration of federal purchase incentives. Although lower capacity should narrow operating losses, the restructuring has been costly, with $11.2 billion in EV-related charges recorded since the second half of 2025, including $7.4 billion in cash costs. Roughly $1 billion in additional payments is expected in the fourth quarter, with the rest due in 2027. Image Source: General Motors Beyond the near-term noise, GM's long-term growth drivers remain firmly in place. The launch of next-generation Chevrolet Silverado and GMC Sierra trucks, featuring improved engines, advanced technology and premium trims, should support stronger pricing and a richer sales mix. Although production is expected to stay broadly flat in 2027, additional capacity in 2028 could help GM gain market share and lift profitability. The company's software and subscription business offers a promising way to diversify revenues beyond vehicle sales. OnStar's deferred revenues reached $6.8 billion in the third quarter, up roughly 40% year over year, while recognized revenues topped $800 million. GM expects realized digital revenues to surpass $3 billion in 2026, driven by OnStar subscriptions and Super Cruise adoption, and anticipates Super Cruise penetration in full-size pickups to rise fourfold to fivefold in 2027. Growing recurring revenues should improve visibility and support profitability over time. China also continues to contribute despite intense competition. Restructuring efforts delivered $32 million in equity income in the third quarter, marking the eighth consecutive profitable quarter, and management expects another profitable quarter ahead. Shareholder returns provide further support. GM repurchased $5.3 billion in shares through the third quarter and another $1 billion in October, fully using its prior authorization, and the board has approved a multi-year $20-billion buyback program. Image Source: General Motors Finally, GM is expanding beyond traditional manufacturing. GM Energy is building charging and energy storage offerings, while GM Defense has secured additional multi-year contracts and expects annual revenue growth above 30% with double-digit margins. GM's quarter was strong, but the stock's sharp drop reflects a market looking past the beat to the cost and execution risks ahead. Rising input costs, tariffs, truck-launch disruptions and a drawn-out EV reset are likely to dent profits, while flat 2027 pickup output limits near-term volume upside. The buyback and long-term growth drivers are meaningful, but they play out over time rather than justify rushing in. With cost pressures still to be worked through, the risk-reward looks balanced for now. While existing investors can stay put, new investors should wait for clearer margin visibility. GM currently carries a Zacks Rank #3 (Hold).You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report General Motors Company (GM) : Free Stock Analysis Report Ford Motor Company (F) : Free Stock Analysis Report Tesla, Inc. (TSLA) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). 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- GM beat Q3 earnings and launched a $20B buyback, yet shares sank 8% because full-year guidance midpoints stayed flat despite the tighter range. - Ford slipped just 2% on the same news while Tesla barely moved, confirming the 8% selloff is entirely GM-specific. - GM's international profit cratered 87% and commodity costs are hitting the top of prior ranges, clouding an otherwise strong North American quarter. - Just released. Our analysts combed the entire stock market and named the ten best stocks to buy right now, and Tesla didn't make the cut. Enter your email to see the names that beat TSLA. The report is free. Enter your email and see if any of your stocks made the cut. General Motors (NYSE:GM) coupled a Q3 2026 earnings beat with a fresh buyback, yet its full-year outlook is drawing sellers. In morning trading, General Motors shares are down 6% to $77.87. Guidance ranges that tightened around unchanged midpoints sit at the center of the selloff. Meanwhile, Ford Motor (NYSE:F) stock is down 2% to $11.94, a softer slide. Tesla (NASDAQ:TSLA) shares are down 0.3% to $366.95, holding close to even by comparison. For a sector-level check, the Consumer Discretionary Select Sector SPDR ETF (NYSEARCA:XLY) is down 0.1% to $114.40. At the same time, the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is down 0.2% to $764.77, noting the General Motors stock selloff as company-specific. General Motors reported Q3 adjusted earnings per share (EPS) of $3.70, exceeding the $3.63 consensus. On the top line, General Motors revenue reached $50.02 billion against a $48.76 billion estimate. Alongside the results, the General Motors board approved a new $20 billion multiyear share repurchase authorization with no end date. That authorization follows completion of a prior $6 billion program, and directors also declared a quarterly dividend of $0.18 per share. ------ Free Report, Just Released Why Didn't TSLA Make The Top 10 List? 24/7 Wall St has helped investors make money for over two decades, and our top analysts just finished ranking the definitive Top 10 Stocks To Buy Now. Not the ten biggest companies. Not the ten everyone is arguing about. The ten best stocks to buy right now. And TSLA didn't make the cut! The report is free, and you can see why we think each stock is a top investment today. Enter Your Email and See the Ten → ------ Management narrowed the full-year 2026 adjusted operating profit range at General Motors to $14.5 billion to $15.5 billion, from $14 billion to $16 billion. Unchanged midpoints meant the outlook delivered no upgrade to coupled with the beat and the buyback. Guidance for adjusted EPS at General Motors moved in step, tightening to $12.75 to $13.75 from $12 to $14. Its full-year profit forecast also missed Wall Street estimates, a gap now reflected in the slide in General Motors shares. General Motors raised its adjusted automotive free cash flow forecast to $11.5 billion to $12.5 billion, up from $9.5 billion to $11.5 billion. That stronger cash generation gives the new buyback a firmer funding base. Costs are moving the other way at General Motors. Leadership now expects commodity inflation, including memory chip costs, to land at the top of its prior range. Chief executive Mary Barra stated that the company is working to continue its momentum despite growing inflationary pressures. Outside North America, General Motors showed clear strain in Q3. Its international segment posted adjusted operating profit of $28 million, down 87.7%, while China equity income fell 60.3% to $32 million. Earlier this month, General Motors reported lower Q3 U.S. sales as a steep drop in electric vehicle sales offset pickup gains. Electric vehicle strategy also weighed on the quarter, which carried $238 million in strategic realignment charges. General Motors and Ford earn much of their profit from gas-powered pickups and SUVs. Ford shares are posting a far smaller decline despite that shared profit base. Tesla sells only electric vehicles. Notably, Tesla stock is barely moving this morning. As of June 30, Tesla stock made up 19.6% of the XLY consumer discretionary fund's net assets. In contrast, General Motors stock accounted for 1.7% of that fund. North America remains the engine for General Motors, with adjusted operating profit in that region up 43.4% to $3.59 billion in Q3. That strength, the raised cash flow forecast and the new buyback form the main argument for owning the shares. Unchanged guidance midpoints, a sharp international slowdown and rising input costs weigh on the outlook. Investors' General Motors share positions should stay moderate until commodity costs settle. If you have cash sitting in your account right now, give this two minutes. After more than two decades of helping investors beat the market, our top analysts at 24/7 Wall St. put together a definitive report on the Top 10 Stocks To Buy Today. And TSLA wasn't one of them. They combed the entire market. It's not 10 ideas, not 10 stocks everyone is talking about, it's what their research points to as the 10 best stocks to buy right now, and it's free. Read more here and see which stocks made the list -->> Contact [email protected] for any questions or corrections.

Image source: The Motley Fool. Tuesday, Oct. 20, 2026 - Vice President of Investor Relations - Ashish Kohli - Chair and Chief Executive Officer - Mary Barra - Executive Vice President and Chief Financial Officer - Paul Jacobson - President and Chief Executive Officer of GM Financial - Susan Sheffield Operator: Good morning, and welcome to the General Motors Company third quarter 2026 earnings conference call. During the opening remarks, all participants will be in a listen-only mode. After the opening remarks, we will conduct a question-and-answer session. We are asking analysts to limit their questions to one and a brief follow-up. To ask a question, press star then one on your telephone keypad to join the queue. To withdraw your question, press star then two. As a reminder, this conference call is being recorded Tuesday, October 20, 2026. I would now like to turn the conference over to Ashish Kohli, GM's Vice President of Investor Relations. Ashish Kohli: Thanks, Amanda, and good morning, everyone. We appreciate you joining us as we review GM's financial results for the third quarter of 2026. Our conference call materials were issued this morning and are available on GM's investor relations website. We are also broadcasting this call via webcast. Joining us today are Mary Barra, GM's Chair and CEO, along with Paul Jacobson, GM's Executive Vice President and CFO. Susan Sheffield, President and CEO of GM Financial, will also be joining us for the Q&A portion. On today's call, management will make forward-looking statements about our expectations. These statements are subject to risks and uncertainties that could cause our actual results to differ materially. These risks and uncertainties include the factors identified in our filings with the SEC. Please review the safe harbor statement on the first page of our presentation, as the content of our call will be governed by this language. With that, I'm delighted to turn the call over to Mary. Mary Barra: Thanks, Ashish, and good morning, everyone. I want to begin by recognizing our employees, dealers, and suppliers. It takes commitment, focus, and resilience to deliver solid results quarter after quarter and year after year in this industry. The agility, teamwork, and commitment have been exceptional, and I'm very appreciative. This year, through the third quarter, we have delivered $12.3 billion in EBIT adjusted, $12.2 billion in adjusted automotive free cash flow, and $10.97 in EPS diluted adjusted, which is up more than 35% year-over-year. During the third quarter, our margins in North America were 8.7%, up 2.5 points year-over-year. The compelling products, technology, and services we're delivering for customers around the world makes us confident in the consistent long-term growth of our earnings and cash generation, as well as our ability to return capital to shareholders. Our track record of improved cash flow generation began five years ago, and we have responded by increasing our investment in the business and continually strengthen our balance sheet. Then, in 2023, we began using surplus cash to repurchase shares, given our low valuation. Since that time, we have reduced our fully diluted shares by 37%. The new $20 billion multi-year authorization we announced today further demonstrates our board's commitment. As this quarter's results and our revised guidance show, our business is performing well, even with a major launch underway and the inflationary pressures we're experiencing in areas like logistics, commodities, and memory. That's because we've spent years making the business more resilient by strengthening our vehicle portfolio, developing new high-margin revenue streams, and operating with strong discipline around production, pricing, and incentives. Looking ahead, there are clear external headwinds, and in some cases, they are intensifying. While the path forward is more challenging, we continue to believe that 2027 will be another strong year and better than 2026, assuming customer demand remains strong and commodity, logistics, and other recent cost pressures moderate. On the plus side, we expect incremental benefits from warranty expense improvements, lower EV losses, growth in software and services revenue, and the launches of our next-generation Chevrolet Silverado and GMC Sierra light-duty pickups. The performance of today's Silverado and Sierra has been consistently strong because of their design, capability, technology, and innovative features. We have now achieved 19 consecutive quarters of sales leadership in the U.S. and grown our market share by 10 full points since the current generation went on sale in 2018. And now, in their final year of production, we're seeing robust sales, share, and financial results. This speaks directly to the value we offer customers. Our new trucks build on this foundation. Their interior and exterior designs are high watermarks for refinement and precision. Our trim series strategy allows us to meet customers at different price points while creating a clearer path to the higher value configurations. For example, High Country, Chevrolet's premium sub-brand, has become more premium, modern, and athletic, with materials, features, and technology closer to a luxury SUV experience. Sierra Denali remains the core premium capable truck, and the Denali Ultimate is moving further into halo territory. We've also made powertrain choice a critical part of the value ladder and a mix lever. We will offer the TurboMax four-cylinder with best-in-class standard torque, our segment-exclusive Duramax inline six turbo diesel, and all new 5.7 L and 6.6 L V8s. Each engine is tuned to distinct performance and lifestyle needs, and we will focus on the things truck customers desire most: usable torque, smooth and predictable power delivery, fuel economy under real-world use, trailering confidence, durability under load, and refinement. To ensure quality and durability, we have put our new V8s through more than 100,000 hours of dynamometer testing, and we have completed more than 1.6 million miles of real-world on-road validation before the truck reaches customers. Production has begun at Silao, and customers should see the first trucks arrive in dealerships later in the year. Fort Wayne will follow in Q1, and we will launch the trucks at Orion in Q2. We expect to build roughly the same number of trucks in 2027 as in 2026, and then in 2028, we will have incremental capacity to support segment and market share growth. Trucks will also be a big driver of incremental Super Cruise adoption and digital revenue as we make the technology standard on high-end Silverado and Sierra LD trims, and offer on most others. We expect full-size truck Super Cruise penetration to grow four to five times next year, reflecting strong customer demand and our ability to scale the technology across critical customer segments. The base is already strong and growing rapidly. Year-over-year, deferred revenue from software and services is up 40%. For the full year, we are on pace to approach $7.5 billion in deferred revenue, driven by one million new OnStar subscriptions and a one million-strong Super Cruise-equipped car park. The quality of the Super Cruise driving experience and frequent customer engagement with the technology underscores why it is so successful with customers. Our Super Cruise-equipped vehicles travel well over a cumulative million miles hands-free each day. Nearly 70% of our customers use it at least once a month, and I am confident we can grow our Super Cruise installed base by close to 50% next year. I will close by recognizing the tremendous progress GM Defense has made since our last call, including several new multi-year contract awards that will help us drive annual top-line growth of more than 30% with double-digit margins. During the quarter, the Pentagon announced increased production volumes for the ISV, including a contract for the ISV utility variant. These are part of a more than $1 billion potential ISV award based on the US Army's procurement objectives, subject to congressional appropriation. The Army has contracted with us to deliver Silverado HD-derived tactical vehicle prototypes for its ISV heavy competition. We have signed contracts with four customers since June for our factory-armored Suburban Shield VIP transport. Our Epic mobile energy system is now certified and ready for sale to customers, and we delivered our first component set to Lockheed Martin for the Patriot PAC-3 less than a month after we signed a formal contract. As Lockheed said at the time, our ability to deliver components that can traditionally take months to years to produce underscores the effectiveness of defense and commercial partnerships, and our own capabilities. These are all very positive developments for our country, our partners, taxpayers, and our business. Thank you, and I will now turn the call over to Paul. Paul Jacobson: Thank you, Mary, and good morning, everyone. Thank you for joining us. I want to begin by recognizing the entire GM team. Their hard work and consistent execution are showing up in both our operating performance and consistently in our financial results. Revenue for the quarter was a record $50 billion, up 3% year-over-year. EBIT adjusted was $4.1 billion, up 22% year-over-year, and EPS diluted adjusted was up more than 30% year-over-year to $3.70. The industry backdrop remains healthy, with a total industry SAAR in the upper 16 million-unit range in the third quarter, with resilient demand across trucks, SUVs, and fleet. Our U.S. sales totaled more than 670,000 vehicles in the quarter. ICE sales of 645,000 were up slightly year-over-year, despite the impact of discontinued models. Our light-duty full-size pickups continue to perform exceptionally well in the final year of their product cycle, with sales up 9% year-over-year. This leaves us on track to lead the industry in full-size pickup sales in 2026 for the seventh consecutive year. With deliveries of our all-new light-duty trucks expected to begin in the late fourth quarter, we plan to carry this momentum into 2027. In terms of the changeover, we have already completed four down weeks at Silao Assembly ahead of starting production of the new truck last week. To ensure a high-quality launch, production will start at measured pace and ramp up over the coming months and quarters to more normalized levels. At Fort Wayne, we are planning four down weeks beginning in mid-December, with production scheduled to restart in January. In preparation for the downtime, the sell-down of the existing truck is on track, with inventories at planned levels and incentives as a percentage of MSRP that are several hundred basis points lower than prior truck changeovers. This is part of the broader discipline with which GM has been operating over the past five years. With that in mind, we expect to finish the year with overall inventory in our 50-60-day target range. On the cash side, continued strong cash generation supports both our growth-focused investments and ongoing share repurchases, which combine nicely to drive continued EPS growth. In the third quarter, we repurchased $2.5 billion worth of shares. That reduced our diluted share count by approximately 27 million shares to around 866 million, or 9% below the third quarter 2025 level. So far in October, we have already repurchased another $1 billion. That brings our year-to-date buybacks to $6.3 billion and completes the prior board authorization. This morning, we announced a new $20 billion multi-year share repurchase authorization, representing more than 25% of our current market capitalization. The size and duration of this authorization are a meaningful statement of the board's confidence that our cash generation is sufficient to continue investing in the future of the company and returning capital to shareholders. Now let's turn to more details on our third quarter performance. Total company revenue of $50 billion was up $1.4 billion year-over-year. ICE volumes were up 8% year-over-year, while EV volumes declined as we lapped the expiration of the consumer purchase incentive in the third quarter of 2025 and aligned EV production with demand. EBIT adjusted was $4.1 billion, up $700 million year-over-year. The improvement was driven by core business performance, including a higher mix of full-size pickups and lower warranty expense, partially offset by higher commodity and onshoring costs. Adjusted automotive free cash flow was $5.9 billion, up $1.7 billion year-over-year. The improvement was driven by higher earnings and tariff timing. Regarding EV charges, as I mentioned last quarter, we moved quickly with our suppliers and partners and have substantially completed the material cash charges we expect to incur as we align our EV capacity and manufacturing footprint with changes in regulatory policy. We incurred an additional $0.2 billion of cash charges in the third quarter, bringing total cash charges incurred since the end of the first half of 2025 to $7.4 billion. To date, $4.6 billion of this has been paid, of which $4.2 billion was paid in 2026 to date. We expect to pay another roughly $1 billion in the fourth quarter and the remainder in calendar year 2027. As a result, free cash flow available to be returned to shareholders next year should benefit from a significant year-over-year step down in supplier EV settlement payments. Now let's move to our regional results for the third quarter. North America continued its strong performance, delivering EBIT adjusted of $3.6 billion, up $1.1 billion, or 43% year-over-year. Margin was 8.7%, an improvement of 2.5 points from a year ago when tariffs were first put into place. Having worked through much of that pressure, we are solidly back within our 8%-10% margin target, a clear marker of the progress the team has made. The improvement was broad based but included a higher mix of full-size pickups, lower EV losses from rightsizing our capacity, and continued warranty expense reductions. These gains were partially offset by commodity inflation, including logistics and higher DRAM costs, along with higher manufacturing costs related to onshoring production to the U.S. OnStar Digital and Super Cruise delivered recognized revenue of over $800 million in the third quarter, up 15% year-over-year. We are on track for more than $3 billion in realized revenue for calendar year 2026 and expect to approach $7.5 billion in deferred revenue by year-end. Looking forward to 2027, we anticipate another year of double-digit growth in realized revenue. GM International EBIT adjusted excluding China equity income was breakeven in the third quarter, down $200 million year-over-year, driven by a -$100 million mark-to-market adjustment for an investment in Momenta, along with higher manufacturing and logistics costs, partially offset by higher volume in South America and foreign exchange. China equity income was $32 million, recording its eighth consecutive quarter of profitability, a trend we expect to continue in the fourth quarter. New energy vehicles accounted for more than 60% of GM China's third-quarter sales, and the team remains focused on execution, cost efficiencies, and mix optimization to deliver ongoing profitability. GM Financial delivered EBT adjusted of $700 million and paid $250 million in dividends to GM in the quarter. Consumer credit performance remained resilient and consistent with our expectations. The business remains on track with its full-year EBT adjusted guidance range of $2.5 billion-$3 billion, and to pay full-year dividends to GM at a level similar to last year, reinforcing its strategic value within the enterprise. Let's turn now to our calendar year 2026 guidance. Following another strong quarter, we're updating our full-year outlook as follows. We now expect EBIT adjusted of $14.5 billion-$15.5 billion, compared with our previous range of $14 billion-$16 billion. EPS diluted adjusted narrowed to a range of $12.75-$13.75 from $12-$14, reflecting the benefit of our share buybacks to date. Capital expenditures at the lower half of the $10 billion-$12 billion range, and adjusted automotive free cash flow in the $11.5 billion-$12.5 billion range, up from $9.5 billion-$11.5 billion. This improvement is being driven by operational excellence, lower than projected capital expenditures, and tariff timing. Now let me update you on a few key assumptions underlying our updated guidance. Let's start with the industry backdrop. The U.S. market remains resilient. We expect total SAAR to be in the mid 16-million unit range for the full year, which implies approximately 16 million for the rest of the year, consistent with what we are seeing in October. In North America, we expect fourth quarter ICE volumes to be lower than usual, primarily due to the launch of our new full-size trucks. We anticipate a year-over-year volume headwind of approximately 35,000 full-size pickups. Headwinds from lower truck volumes in the fourth quarter are expected to be largely offset by tailwinds from price in North America, including benefits from the new truck launch. Year-to-date, North American pricing is up $400 million. We continue to expect a full-year pricing tailwind of 0.5% in North America, with the remainder of the benefit expected to be realized in the fourth quarter. Turning to EVs, we remain on track to reduce losses by $1 billion-$1.5 billion for the full year, driven by rightsizing our EV capacity and significantly lower volumes. We expect modest additional loss reduction in the fourth quarter as we lap the expiration of the consumer purchase incentive last year. On warranty, following our $600 million third-quarter performance, our year-to-date improvement is approximately $1.1 billion on a year-over-year basis. For the full year, we now expect warranty to be closer to the high end of our $1 billion-$1.5 billion in full-year improvement. Emissions-related regulatory savings are around $500 million year-to-date, and we expect a minimal benefit in the fourth quarter as we lap savings from last year. With respect to tariffs, we have incurred approximately $1.8 billion of tariff costs year-to-date, net of IEEPA reversal benefits. We now expect gross tariff costs to come in at the low end of our $2.5 billion-$3.5 billion range for the full year. Finally, on the tax line, we continue to expect a 20%-21% effective tax rate for the full year. This includes a higher tax rate in the fourth quarter, which is expected to be in the 25%-27% range, driven by a mix of one-time discrete items affecting timing. Now let's turn to the headwinds. As the conflict in the Middle East has continued, commodity and logistics costs have intensified since our second quarter earnings update. Copper prices are at record levels, while HRC steel prices are at four-year highs. Spot prices for HRC steel and copper are each up 10%-15% since July and approximately 50% versus last year's average. Collectively, inflation is adding approximately $400 million in incremental costs for the calendar year, with the majority of that impacting the fourth quarter. As a result, we now expect a headwind from commodity inflation, logistics, and DRAM costs to be around $2 billion for the full year. In the third quarter, we incurred approximately $700 million, primarily related to commodity costs year-over-year, bringing the calendar year-to-date headwind to approximately $1.3 billion. Separately, we are investing approximately $1 billion-$1.5 billion this year to onshore production to the U.S., strengthen our supply chain, and expand our software capabilities. We expect these costs to continue to ramp in the fourth quarter ahead of additional U.S. capacity additions in 2027. Finally, turning to our international operations, we expect continued ongoing softness in GM International, reflecting headwinds from the dynamic environment in the Middle East. Let's turn next to 2027. Assuming market conditions in the tariff environment remain broadly similar to 2026 and recent commodity pressures moderate, we continue to believe we can grow revenue, margins, and EBIT adjusted next year. It's too early to try to predict where commodity prices will land in 2027. However, if we were to simply annualize the recent incremental commodity inflation since July, it would translate into an additional $1 billion-$1.5 billion of EBIT adjusted headwind for 2027, which would result in a total headwind for 2027 of roughly $2 billion. Our growth plan is supported by our product cycle and the ongoing operational discipline that investors have come to expect from General Motors. The opportunity is centered on four key GM-specific drivers. First, launching our new truck flawlessly and capturing a rich mix in its first year. Second, unlocking additional capacity in full-size SUVs and high-volume crossovers. Third, growing our adjacencies in OnStar, Super Cruise, and Defense. Fourth, managing costs across warranty, EVs, fixed costs, and onshoring. The bottom line is that we have demonstrated time and again our ability to roll up our sleeves and execute. We have set a high bar for ourselves, and the team is working to deliver another year of growth for our shareholders. We have a great product portfolio that is only going to get better in 2027 and beyond. Thank you. Now we'll move to the Q&A portion of the call. Operator: Thank you. As a reminder to analysts, we are asking that you limit your questions to one and a brief follow-up so that we may get to everyone on the call. To ask a question, press star then one on your telephone keypad to join the queue. To withdraw your question, press star then two. Our first question comes from Mark Delaney with Goldman Sachs. Your line is open. Mark Delaney: Yes. Good morning, and thank you very much for taking the question. I understand the change in the cost environment that GM is seeing heading into 2027. I'm hoping you can talk a little bit more on some of the tools GM may have at its disposal in order to try and manage that, and to what extent GM could potentially utilize net pricing to help offset with the higher cost environment, especially given your expectation for a measured ramp of the full-size pickup trucks. Mary Barra: Mark, when you look at the increases, as Paul mentioned, we saw it happen in just the last couple of months, so we really haven't had time as a team to go work to find the offsets. We do have significant tailwinds next year when we look at continued warranty improvement. We're seeing it this year. We believe we'll continue it into next year. As we've said, although volume will remain roughly flat from a new truck perspective, we do think there is some price and mix opportunity there. We also see growth opportunities in OnStar and Super Cruise. We see continued improvements in EV profitability. Then we are going to continue to work at fixed costs. There's a lot of opportunity, we believe, especially as we continue to implement and leverage AI to improve the business and make it more efficient. This team always does, because this has happened so recently, we're going to go to work, and we'll have more to say when we give full year 2027 guidance at the end of the fourth quarter. But we obviously have work to do and we plan to do it. Mark Delaney: That makes sense. My follow-up is just a clarification on what GM is currently assuming. You said the assumption that 2027 is a better year than 2026 does assume that cost pressures tied to commodities, logistics, and memory moderate. When you talk about moderation, do you mean that the spot prices just need to level off from current levels, or would you actually need to see spot prices decline? Thank you. Paul Jacobson: Yeah. Hey, Mark. It's a little bit too early to call commodity prices in 2027. What we're really trying to do here, as we said in July where we highlighted the tailwinds, and we said assuming the environment remains consistent, we have seen a significant amount of inflation as I called out in the prepared remarks, really just in the last call it eight to 10 weeks. Should we see prices at this level, it makes that more challenging heading into next year. So we're really looking for a little bit of moderation from the most recent increase that we've seen. But as Mary said, we're continuing to work through our budget process, so we won't give any definitive guidance on the year and where it's going to come out. But obviously, it's gotten a little bit more challenging with this additional inflation that we've seen since that disclosure. I don't think anything has changed. The tailwinds are the tailwinds. We have a lot of mixed benefits coming in with the first year of the truck. But we'll continue to watch it and hopefully become what we're known for. But the goal remains to grow next year, as it does every year. Mark Delaney: Understood. Thank you. Operator: Thank you. Our next question comes from Itay Michaeli with TD Cowen. Your line is open. Itay Michaeli: Great. Thanks. Good morning, everybody. Maybe first question just on the higher free cash flow guidance for the year. Paul, maybe talk a little bit more about what kind of the drivers there. I think you mentioned maybe kind of lower end of the CapEx outlook as well, and how much of the strength that you're seeing this year may be sustainable into next year? Paul Jacobson: Yeah. Good morning, Itay. Thanks for the question. A couple of things. One, we are coming in probably at the lower end of our capital. We're certainly seeing a little bit of a reduction in capital spend as everything comes online in that $10 billion-$12 billion range. That unlocks some free cash flow. Also, if you recall, earlier this year when we talked about the IEEPA refunds, we brought the EBIT guidance up, but we didn't bring the cash flow guide up because we were uncertain. We've seen some success in getting IEEPA refunds, both in terms of our own as well as the second order from our supply base that's contributed to some of that benefit. As we look forward into 2027, should we have a year where we can grow earnings, we would expect that free cash flow would be pretty consistent, if not a little bit higher. But remember, our GAAP cash flow, so our actual sort of cash available for investment should be significantly higher as we lap the bulk of the cash restructuring work that we did on the EV side. So we're looking for a bullish year on cash generation overall in 2027, irrespective of what we've seen with commodity inflation recently. Itay Michaeli: That's really helpful. Thank you. As a quick follow-up, as we lap the EV restructuring and as you have a number of updates coming in 2028, curious if you could kind of share how we should think about kind of GM's break even EV volume, let's say, in the 2029 timeframe, and kind of latest thoughts on the path to EV profitability would be helpful. Thank you. Paul Jacobson: Yeah, I think it's a little bit too soon to tell. As we've said, we've had a good year of EV profitability improvement, primarily from lower volumes as we've adjusted and also the fixed costs coming out of the system as we restructure. So that's a big benefit in 2026. We've said that 2027 will be a year of probably lower benefit, but still maybe improvement versus 2026. Then 2028 and 2029, as we get into LMR and the next generation battery cells and packs, we should see another step function improvement in profitability. We're going to continue to watch volumes. We think with these oil prices and these fuel prices, that EV penetration may continue to go up, and we want to make sure we're ready for that. We're the number two producer of EVs in the U.S., and we've got a strong portfolio and one in which we're committed to improving the profitability of it. Itay Michaeli: That's very helpful. Thank you. Paul Jacobson: Thanks, Itay. Operator: Thank you. Our next question comes from Dan Levy with Barclays. Your line is open. Dan Levy: Hi. Good morning. Thanks for taking the question. One of the points in your commentary on 2027 is it talks about customer demand remaining strong, and I know this has been a constant debate in the industry. I think people just amazed by how resilient the auto industry has been. But we're getting the latest round of questions of health to the quality of consumer with rising rates. Can you just talk about, given the latest backdrop, what your view is on the ability of the market to absorb these continued very high trim products and potentially incremental volume on your trucks as you expand capacity? Maybe just help disaggregate what we're seeing from the consumer as a whole versus the average consumer of your products. Paul Jacobson: Yeah. Hey, Dan, I'll give it a shot, and Mary can help if I miss anything here. I think as we've said now for a number of years, when you look at a lot of the consumer sentiment surveys, they really have become disaggregated from consumer behavior on the ground, and that's evident in our average transaction price. It's evident in our trim mix. It's even evident in what we see in GMF, where noticeable shifts in delinquencies, defaults, et cetera. I think the consumer has held up remarkably well. That being said, we know from that sentiment, and historically, we should continue to watch it. It's not necessarily pessimism, it's really more an abundance of caution, of making sure that we're setting expectations against that backdrop, that we're basing that forward projection on consumer stability. We think that's going to continue to be the case, because we haven't seen anything that indicates any weakness right now. Dan Levy: Okay, great. Thank you. Second question is about the dynamic in China, and obviously, we've seen this sharp rise in exports from China. Maybe you can just talk about the extent to which you are participating in this sharp rise of exports. Is there any benefit to you on the cost side? Then, I know you're talking about GMI ex-China moderating. How much of that is sort of the pressure of competition from Chinese OEMs in some of these other regions? What's your ability to offset that? Mary Barra: Well, I think when we look at some of the markets where China is working, specifically from a South America perspective, we are still holding share, and there are some of our product portfolio we are exporting from China. Once a market has allowed the Chinese competition to come in, we are well-positioned to participate with that with Chevrolet products that are true to the Chevrolet brand but have that price point. So we are holding our own in South America. Actually, remain strong based on the portfolio. In South America, Chevrolet is considered a premium brand. So, I think that is an opportunity for us in some other markets as well. Again, from a China perspective, I would say in country, we are really not seeing that much benefit. From our China business, we are very proud of the fact that we got to the restructuring early in China, and our business is profitable even in the depressed economy that they are seeing from an overall industry perspective. So there may be a little bit of benefit because of the opportunity from an export perspective. But bottom line, we are seeing that market tougher because of the challenges, but we are participating in the export market and maintaining share through the strength of our product portfolio. Dan Levy: Okay, thank you. Operator: Thank you. Our next question comes from Joe Spak with UBS. Your line is open. Joe Spak: Thanks, everyone. Good morning. Paul, I just want to go back to one of your answers, I think earlier, maybe to Itay's question. I think you said when you were talking about 2027, I know it's early and there's still a lot to be determined, but I think you said that if there's a year where you grow earnings, you'd expect free cash flow to be consistent, if not higher. I guess I'm just a little bit curious. I know distributable free cash should be higher because of EV payments, but is there something else we're not considering in sort of the free cash flow factors? If earnings would grow, why wouldn't the free cash flow also be higher? Paul Jacobson: Yeah. Hey, Joe. So, yeah, sorry if my answer was confusing. There's a couple of reasons why. Number one, if we go into 2027 with the same CapEx guided range of $10 billion-$12 billion, but we come in at the high end versus the low end, obviously that's going to be a case where EBIT growth and free cash flow would become a little bit disconnected based on timing. Second, we do have the added benefit this year of the IEEPA tariff refunds that have come in. That's not expected to repeat. So, in a like for like basis on tariff flows, there's some upside that we got in 2026 that wouldn't repeat in 2027. Generally, you see some small working capital nuances from year-to-year. But other than that, it should be fairly linear as cash flow from earnings is. The connection between cash flow and earnings is pretty constant. Joe Spak: Okay. Thank you for that. Second question is just, Mary, I think in the past you've said you would study hybrids and plug-ins, and I think earlier this month Mike Anderson said you'll listen to customers and they're part of the plan. I know you don't give sort of product announcements away on these calls for competitive reasons, but can you let us know if some of that investment and spending is already occurring? Does that require an additional investment? I know you have a lot of these technologies internationally, so maybe you could just tell us how you're sort of thinking about leveraging that and bringing it to scale in the U.S. Mary Barra: Sure. From a hybrid perspective, we will have hybrids in our portfolio in multiple segments, the key segments that we participate. If you look at right now, a lot of where the hybrid activity is, it is in compact car, midsize car, and minivans, which are three segments we are not a part of right now. You have to look, and that is why I think our sales continue to be so strong. In many cases, we are building everything we can. For the Equinox compact SUV, it is fully maxed out even without a hybrid. I think we are still taking advantage, as Paul said earlier, we are well-positioned from an EV perspective as this continues. We will have hybrids. They have already been added. It is not going to be additional CapEx and engineering, and we will talk more about them as we get closer to the launch. Joe Spak: Thank you. Operator: Thank you. Our next question comes from James Picariello with BNP Paribas. Your line is open. James Picariello: Hi, good morning, everybody. Just on the Q1 pickup volumes, the expectation is for the volumes to trend flat next year. Is the expected downtime impact slated for the first quarter at the similar 35,000 unit reduction to the fourth quarter? Can you share any dimensioning of what the targeted incremental full-size SUV capacity might look like for 2027? Thanks. Mary Barra: Well, as we said, if you look at the full-size truck, we have three assembly plants. We also have three engine plants that we're launching, and we're focused on a flawless launch. It's on track right now. As we've said, we'll have the first trucks rolling out of the first plant yet this year at the very end of the year. Then we do have some downtime. We haven't specified it to the exact number of units, but we do have some downtime coming as we get the other two plants going. That's why we're saying really the volume is going to be flat from 2026 truck volumes to 2027 because we're in the middle of that launch of these six plants. As we get into 2028, that's where there's an opportunity for plus side. We won't have any of the changeover downtime, and we'll also have the benefit of the Orion plant. So 2028 is an opportunity for growing market share in the truck, not only in the U.S., but globally. James Picariello: Got it. Then as a follow-up for GMI, excluding China, what's the embedded expectation for the fourth quarter regarding the Middle East challenges? Should we anticipate another quarter of EBIT loss? I know it's early, but how should we be thinking about this business for next year with respect to the puts and takes? Thank you. Paul Jacobson: Yeah, James. What I would say with respect to the Middle East, it's largely a wash at the enterprise level because we're selling a lot of vehicles there that with the right notice and with the right preparation, we can actually redirect many of those vehicles into the U.S., which we have. The team's done a really good job of managing that, so we're not losing volume at the enterprise level. As long as that persists in the Middle East with that tension, I would expect that you'll see a little bit more of a lean to North America than you will international, particularly the Middle East. Then I think we're continuing to work with the team to try to mitigate as much of the international competition and deliver value in the pockets where we can and where we're really competitive. The team's doing a good job everywhere else in the world being able to do that. Keep in mind that our international results were also impacted this quarter by about $100 million negative mark-to-market adjustment on Momenta. If you actually look at the underlying business, it performed marginally better than what the results indicated. Mary Barra: James, just to be clear, we're building the trucks in the first plant right now. They'll be in showrooms by the end of the year. James Picariello: That's-: Operator: Does that conclude your question? James Picariello: Yes. Thanks. Operator: Thank you. Our next question comes from Andrew Percoco with Morgan Stanley. Your line is open. Andrew Percoco: Great. Thanks so much for taking the question. I do want to come back to the 2027 bridge, and obviously, mix and pricing are clearly working in your favor with the new truck. Is there a way to also think about corporate or fixed cost savings as we get into 2027? I think this is an area where you guys have obviously been very focused. I am just curious to the extent we could get more clarity in terms of what that could look like into next year. I think, Paul, you have talked about AI integration within the organization, and just curious if some of those investments could start bearing some fruit on the cost side. Mary Barra: Andrew, absolutely. Like I said, with the increase that we saw just in the last eight to 10 weeks, we are even doubling down. There is active work going on across the company to really not only make sure everybody is using AI efficiently to be able to make their job more efficient and make our design processes more efficient, our manufacturing more efficient, which really every single function is leveraging AI. It is how do we harness that savings from a fixed cost perspective. I am not going to quantify it right now. We can do that when we get to the end of fourth quarter and when we officially announce guidance for 2027. Trust that there will be significant work in the fixed cost arena as we move forward. It is happening today. Andrew Percoco: Okay. That's super helpful color. I guess, just on the buyback announcement, curious if there's anything you can provide in terms of how we should be thinking about the cadence there. Obviously, you guys have talked about the lack of supplier payments that you have to make next year. Is that a reasonable way to think about potentially the step-up in buyback cadence in 2027 relative to 2026? Paul Jacobson: Yeah. Hey, Andrew, it's Paul. First of all, you're going to make me lose a bet because I thought for sure you were going to ask about digital revenues. I'll take the question. On the buyback side, we don't give any forward commentary on what we're going to do on buyback for obvious reasons. As we've talked about, we expect the actual cash flow, the GAAP cash flow, to be significantly bigger year-over-year. I think, hopefully, you look at, and the market sees what we did this year, because I know there was a lot of skepticism on our ability to return capital back to shareholders given the EV restructuring, and we completed that authorization ahead of all expectations. The board has demonstrated a commitment to continuing to drive shareholder value this way. We continue to believe that with a double-digit free cash flow yield, we're compounding the EPS growth of the company. That's no shortage of commitment as what you've seen for the last several years and expect that to continue going forward as long as the valuation remains depressed. Andrew Percoco: Okay. That makes a ton of sense, and I'll take that digital services question offline. Appreciate it. Paul Jacobson: Okay. Operator: Thank you. Our next question comes from Emmanuel Rosner with Wolfe Research. Your line is open. Emmanuel Rosner: Great. Thank you so much. I appreciate all the color on the commodities and some of the assumptions. I think you said, around current prices, if things stay at the current level, it would probably be a $2 billion additional headwind into 2027. In order for your expectation to grow EBIT in 2027 to be realized, are you assuming this $2 billion, or should it be less than that? I understand it's early to identify the offsets that are in your control to sort of offset some of these increased commodities. But in the past, you've built a very strong track record around, call it a downturn playbook, right? The discretionary spending cuts things that are in your control, restructuring, et cetera. Can you maybe just remind us historically, what are those things that you could have as levers, and to what extent this could be applicable in the current environment? Paul Jacobson: Yeah. Emmanuel, thanks for the question. On the commodities, as we clearly stated, we would need prices to come off of these levels a little bit to have the confidence to be able to grow at this point. But we're in the middle of the budgeting process, and we'll continue to work through that. Nothing specific on the headwinds or tailwinds because we don't want to get ahead of expectations and where the market is as we continue to develop that. As we've talked publicly, we approve our budget with the board in December, and we give guidance in January, and that's going to continue to be the case for 2027. If you look at past years, I think we've proven adept at getting costs out. These things take time. Some of them can pivot quickly, but other larger initiatives, like, for example, several years ago, we did a $2 billion fixed cost reduction program that was very successful over that time period, too. We're continuing to go to work. We're looking at those plans, and as we've said repeatedly, we're committed to grow earnings every year. That's what we're going to be working towards the best we can. Emmanuel Rosner: Okay, that's helpful. Then one quick follow-up on the improvement in this year's free cash flow guidance. I appreciate the buckets that make this up. Any way to quantify for us the piece around the IEEPA refund that's now assuming in the full year free cash flow? Paul Jacobson: We announced there's a $500 million credit that we took to earnings. We've gotten probably about 60% of that back to date. Then I would say roughly a similar amount from the supply base that we expect to get before the end of the year as well. Call it $600 million-$800 million this year. That'll continue to come in as we go through the remainder of this year. Emmanuel Rosner: Got it. Thank you. Operator: Thank you. Our next question comes from Michael Ward with Citigroup. Your line is open. Michael Ward: Thanks very much. Good morning, everyone. Just to follow up on the $20 billion share repurchase. It looks like that is what you have spent the last three years, $20 billion in share repurchase. Is that number more of a timing or just an opportunistic to give you the flexibility to be more optimistic? I mean, at current trading levels and those sorts of things. Mary Barra: Mike, we are going to follow our capital allocation framework of reinvesting in the business to generate a 20% return on invested capital, maintaining an investment-grade balance sheet. As we have done now for several years, return the rest to our owners, our shareholders. I think what we are really trying to signal is we believe the company is undervalued. We think this is the best way to provide value for our shareholders because of it. As Paul already indicated, we are not going to put a specific timeline on it. We will be opportunistic as we have been over the last several years. I think a signal you should take from the size of it is that it reflects our board's commitment to return cash to shareholders when we believe the shares are undervalued. Michael Ward: Okay. On the financing front, you have stepped back leasing over the last few years. Is that a lever you are looking to pull, or is it subsidized interest rates? What are some of the things that you can pull on GM Financial as far as trying to make vehicles a little more affordable if that is something that is needed in the marketplace? Will you push back leasing more, or what are your long-term goals with GM Financial and what they can do? Paul Jacobson: Yeah. Hey, Mike, and Susan's on the line too. I can start, turn it over to her, but we've obviously seen over the last few years, a lot of EV leasing, and there was a lot of investment made there to help socialize that, help drive demand, and also it was structurally superior with the consumer tax credits in a lot of cases. I think the organization is pivoting. We're still very much committed to GMF. When you look at loyalty, when you look at availability for financing options for the customer, it's a great way to serve that. As we continue to look for ways to grow GMF with GM Insurance, there's really interesting ties that we can do with the GM Rewards program. It's obviously a big lever in terms of helping to create value for consumers in different ways than just producing vehicles. Susan, I'm happy to let you add. Susan Sheffield: Yeah. I think you addressed it. We're here to support GM in moving vehicles, and it's about discipline on incentive spend. Really don't have anything else to add. Thanks. Michael Ward: Okay. Is it a concerted effort to scale back leasing, or is that something, a lever you can pull as you go forward? Paul Jacobson: I would say, Mike, it's a balance between, it certainly is a lever, and I would like to see us probably do more leasing, but it's also a lever against the incentive environment that we're in and how do we use our incentive dollars. I think our go-to-market strategy has evolved over the last several years, and it's clearly been a competitive advantage for us. We've got to use those dollars where we can, and sometimes that changes from time to time as consumer needs change, and we'll be responsive to where the customer is. Michael Ward: Perfect. Thank you very much. Operator: Thank you. Our next question comes from Alex Perry with Bank of America. Your line is open. Alex Perry: Hi. Thanks for taking my questions here. I just wanted to follow up on price. I guess how should we think about the potential pricing benefit next year, compared to the last major redesign of the full-size trucks? I think in 2019 you saw a very strong price realization. What are the puts and takes of sort of using that as a case study for thinking about some of the pricing benefits next year? Thanks. Paul Jacobson: Yeah. Hey, Alex Perry. Thanks for the call. We've been cautious to make sure that we're not using historical heuristic models on pricing for this generation of trucks. The main difference is the current generation, the model year 26s, are performing better than any trucks, really any vehicle program has in its last year of production. The historical step function improvements that you've seen aren't going to be there as pronounced. That being said, we should benefit from a mix benefit, as we tend to produce a bit of a rich mix out of the gate, as we're scaling up. That should ultimately average out over time. Just caution you against using some of the 2018, 2019 data because the current pricing environment is very different than what it was back then. Alex Perry: Really helpful. My follow-up question was just on input costs. As we think about the impact of higher fuel prices, what specific impact is higher diesel having on the supply chain with some of the fuel surcharges we've been hearing about? Also on end customer demand, for some of your heavy-duty platforms. Thanks. Mary Barra: Yeah, I would say, it's early with the spike that's just happened in diesel, and we'll see what happens to it. But throughout the year, our diesels are so efficient that, even with the higher prices before this last spike, they were more fuel efficient, so cost of ownership was lower than buying a hybrid truck. I think, we've seen demand. We're watching it closely. I think a lot's going to happen of how long people perceive that the prices are going to be there. I think I'm excited about the new engines that we have coming because not only are they going to improve performance across the board, they also are going to drive efficiency. Again, it's too soon to tell if the diesel prices remain at this high level, but up until a month or two ago, we weren't really seeing an impact and we were still seeing strong demand. Paul Jacobson: Alex, on the logistics front, it comes in pretty quickly, as you've seen maybe a two-to-four-week lag, but we see it hit pretty quickly. That's been a sizable component of the $400 million of pressure that we called out in the prepared remarks. Alex Perry: That's incredibly helpful. Best of luck going forward. Paul Jacobson: Thank you. Mary Barra: Thank you. Operator: Thank you. Our next question comes from Tom Narayan with RBC Capital Markets. Your line is open. Tom Narayan: Hey. Yes, thanks for taking the questions. The first one's on the competitive pressures into 2027 and the potential impacts on volume and pricing. You have a Detroit Three peer with elevated dealer inventories, especially at its pickup truck. We're seeing incentives pick up there. We saw Japanese OEMs taking up share, especially with hybrids. I know you just said that's not really where you play, but you also have European OEMs getting squeezed out in Europe and China because of competition from Chinese OEMs, and they're talking about coming into the U.S. aggressively at their investor events. Is this all just kind of par for the course or something you're concerned about? Mary Barra: Well, if you think about when we saw the semiconductor shortage a few years back, and everyone was limited of how many vehicles they could build because of the allocations of semiconductors, we saw everybody pushing that limited supply to the United States because of the profitability of this market. I don't think it's anything new. I think we're well-positioned because of the overall strength of our portfolio and the fact that we've got a new truck coming out that takes performance across all aspects to the next level. Right now, in most of the products we build, we're capacity constrained. We're building as many as we can from a truck, SUV. I mentioned earlier the Equinox, we can't build enough of them. We'll be relieving that as we launch the opportunity to build that in the United States. But I think that kind of competition is going to be here to stay. Specifically from a truck perspective, we've seen one of our competitors tend to have higher incentives for quite some time now. It goes up and down, but it's been years. We grew share with this truck, and we think we have a huge opportunity to, as we get past the launch, continue to grow share based on the strength of our product. When we do that, it also gives us the opportunity to continue to grow the OnStar and Super Cruise revenue. Again, I think you're accurate in what you're seeing. I think we're well-positioned because of the strength of our portfolio, and we've seen it before, and have the proof points that we continue to do well. Tom Narayan: Got it. It's a good segue on the Super Cruise to my next question. You guys are confident on Level 3 for 2028. There's a couple of German OEMs who tried Level 3, and it kind of didn't go as well. I think they had some limited consumer demand. Part of that was just their ODDs were limited. I suspect you guys are different. Just curious to hear kind of how you're able to just get a better service than maybe what they have had on their Level 3, and what makes you more confident in achieving the consumer demand there? Mary Barra: Well, I think when we get to 2028, when we launch the Escalade IQ, it will be the first, and we'll talk more about that tomorrow in the GM Forward event that we have. Our highway autonomous driving will be for highways, and it won't have limited ODDs. It will also carry with it the same focus we have on safety that I think everyone and customers have seen and trust, and therefore use from a Super Cruise perspective. So I think they will see a very capable product. I was just in the vehicle within the last month, and from a couple of months ago when I was in, it was dramatic how confident the vehicle is on highway speeds, et cetera. So I feel very good about the product that we're going to be launching. We'll have more to talk about it tomorrow. I think customers will use it and want to pay for it because it will definitely improve their lives and the amount that they're going to be able to use it. Tom Narayan: Got it. Thank you. Operator: Thank you. At this time, I would like to turn the call back to Mary Barra for her closing comments. Mary Barra: Great. Well, thank you. Thanks everybody for your questions. As we discussed today, GM is performing very well. That hasn't changed. While inflation continues to be uncertain, we are working hard to continue our momentum and generate significant cash returns for our shareholders. We are making the core business stronger with strategic investments in new products, new technologies, and through improved quality and operating efficiency. We have raised our full year guidance twice this year while offsetting higher commodity, logistics, and other costs outside of our control. As we move forward over the next several years, our product portfolio will only get stronger as we complete the launches of the Silverado and Sierra light duty pickups, then follow them with our next generation heavy duty pickups and our next generation full-size SUVs, all new Cadillac sedans and crossovers, and more. I think you can see we've got a lot coming. At the same time, we will be expanding our capabilities in autonomous technology for highway, starting with the Cadillac Escalade IQ in 2028, as I just discussed, developing cutting edge battery technology like LMR that will help improve our EV profitability, and building even stronger relationships with customers through our digital experience. We think this is a proven strategy for creating even greater shareholder value as we move forward, and we look forward to delivering. Thank you for joining us today, and I hope everyone has a great day. Operator: That concludes the conference call for today. Thank you for joining. Before you buy stock in General Motors, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and General Motors wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool recommends General Motors. The Motley Fool has a disclosure policy. GM (GM) Q3 2026 Earnings Call Transcript was originally published by The Motley Fool