If the economy is strong, the auto industry is strong. That’s generally the case at any rate. Many economists believe that overall economic growth will be slow with a less than robust job market in 2026. The financial media also just refuses to let go of all the recession fearmongering that may help to keep their media ratings high. Wall Street believes that General Motors Co. (NYSE: GM) top-performer status in 2025 is likely to see more upside ahead for 2026.
Forget about just one analyst call. It almost feels like every key analyst on Wall Street has juiced up their 2026 expectations for General Motors, even for those without “Buy” ratings. And Wall Street is already forecasting double-digit gains for the S&P 500 in 2026.
Oggonomics has tracked a fresh analyst price target hike from UBS on GM. The firm’s price target was moved up to $97 from $85 in Monday’s upgrade. GM had closed at $80.89 on Friday and was up more than 50% year-to-date, but the 52-week range of $41.60 to $81.84 shows the stock has nearly doubled from all those tariff worries which have since mellowed.
Investors should always consider that analyst reports alone should never be the sole basis for buying or selling a stock. That said, what stands out above and beyond the UBS analyst target hike on GM is the number of total price target hikes since GM’s last earnings report. These are now the basis for GM having more upside (according to analysts) for 2026.
UBS IS STRONG, BUT…
UBS’ analyst report is highlighted by it being a top pick for 2026. It sees North American margins recovering as soon as early in 2026 and sees its earnings (per share) easily beating conservative consensus estimates in 2026 and into 2027.
Potential tariff relief and a relaxed regulatory environment in the U.S. (fuel emissions for starters) should all help GM’s stock continue its run in 2026. UBS also cited strong cash generation and an attractive current valuation (even after the 53% gain this year) should allow for additional share buybacks even the potential for dividend hikes.
GM’s stock gain of 50% YTD dwarfs that of Ford’s 39% YTD gain and Tesla’s 20% YTD gain. Then again, that is just this year alone and GM does have the whole implosion history during the Global Financial Crisis.
OTHER FIRMS ARE STRONG TOO…
Again, it’s the slew of additional analyst calls since GM’s earnings report that make GM standout as a potential winner for 2026. It is hard to ignore than the stock has risen over 50% in 2025 alone, but even then investors are getting GM for not even 10-times earnings.
While Wells Fargo has maintained its very cautious Underweight rating, the firm did lift its price target to $48 from $46 on December 9. Wells Fargo has remained one of the much more cautious firms covering GM. But elsewhere…
Goldman Sachs issued a price target hike on December 9. The firm reiterated its Buy rating and raised its price target up to $93 from $81.
General Motors was also upgraded to Overweight from Equal-Weight at Morgan Stanley on December 8. The firm also massively hiked its price target after having been much more conservative — up to $90 from $54 in that upgrade.
Back on November 24, Evercore ISI reiterated its Outperform rating and raised its price target to $74 from $68 when the shares had previously closed at $70.19.
WHAT ABOUT VALUATIONS & POST-2026?
General Motors was last seen trading up 0.5% at $81.30 on Monday, and the stock’s 52-week high of $81.60 was also a post-IPO high for GM since its government bailout. Even after shares have risen 53%, GM’s valuation at consensus estimates is still just 8-times this year EPS estimates and only 7-times next year’s earnings expectations.
GM’s incredible stock rise also happened without it being as strong on share buybacks since the tariffs. GM had spent about $25 billion in just three years buying back its own stock as of mid-2025. What will happen now that GM gave the all-clear sign for its outlook with its Q3/2025 earnings report?
One issue which will help GM, even if Marry Barra still sees the EV market as the “North Star” for the company, is that new mandates under the Trump administration favor oil over EVs. This allows GM to not have to retool its factory production on cars that cost more and which all the tax credits have now expired. While the goal is to remain objective on this EV matter, this criticism piece refers to Mary Barra as “badly advised” and then gets worse from there.
One additional note in is that in 2026, investors will be looking toward a new CEO of GM in the future. Mary Barra is soon to be turning 64 years old and GM has had a 65-year age retirement for its executives. There can always be exceptions to this as an absolute (Corporate America make may such exceptions, among other policy exceptions), but it likely means that GM will get new leadership after 2026.
IN THE END…
The analyst opinions and price targets noted in this reporting are from the firms mentioned by name. Oggonomics has no price targets or formal ratings on GM or its competitors. Be advised that analyst sometimes get their thesis wrong and company (or economic) fundamentals can change in an instant. No analyst reports ever come with assurances and they never include money-back guarantees if investors lose money.
With GM shares having risen above $80 and doubling from its lows, many investors may be hoping for a pullback to add to or start positions in GM. And it would not be a shock to see year-end profit taking or profit-taking right after the start of 2026 in a new tax year. Does that mean a pullback or better entry point has to happen? No, of course not.
And does any of this mean that GM’s stock can only keep endlessly surging ahead? No, of course not.
