GM Approves $20 Billion Buyback as Earnings Outlook Misses Estimates

General Motors approved a new $20 billion share buyback on 20 October, but its full-year earnings outlook disappointed Wall Street despite stronger quarterly results.

Third-quarter revenue rose 2.9% to $50 billion. Adjusted earnings before interest and tax increased 22% to $4.1 billion, while net income attributable to stockholders reached $3.3 billion.

Demand for large pickups helped profitability, Reuters reported. Adjusted earnings per share came in at $3.70, above the $3.63 forecast in LSEG data.

However, GM narrowed its 2026 adjusted earnings-per-share forecast to $12.75–$13.75. The $13.25 midpoint was below analysts' $13.41 estimate, according to Reuters. Shares fell in premarket trading.

GM also narrowed its full-year adjusted operating earnings range to $14.5 billion–$15.5 billion, keeping the midpoint unchanged. It raised its adjusted automotive free-cash-flow forecast to $11.5 billion–$12.5 billion from $9.5 billion–$11.5 billion.

The automaker said higher logistics, energy and tariff costs remained challenges. Its new buyback authorization runs over multiple years, has no expiry date and may be suspended or discontinued. Approval does not mean the full amount has already been spent.

Sources: Reuters via AOL — GM earnings and outlook, updated 20 October 2026; General Motors earnings release via PR Newswire/StockTitan, 20 October 2026.

Archival photo: Renaissance Center, Detroit, 2022. w_lemay / Wikimedia Commons, CC BY-SA 2.0. Cropped to 16:9 by Morval Universal; cropped image shared under the same licence.