General Motors reports third-quarter results on Tuesday, October 20, before the market opens, and the headline question is simple: can the company keep beating forecasts while it sells fewer cars? According to Benzinga’s preview, GM has topped Wall Street’s profit estimate in each of the last 12 quarters. It also reported on October 1 that U.S. sales fell 6 percent in the quarter. Those two facts don’t fit together easily, and the earnings call is where GM has to explain how they do.
This preview of the GM earnings report covers what analysts expect, what the company said in July, and five things that will tell you whether the beat streak survives.
What analysts expect from GM earnings
Estimates vary by source, so treat any single number with care. Kiplinger’s earnings calendar, which labels its dates tentative, lists $3.69 a share. Benzinga says analysts expect adjusted earnings of $3.60 on revenue of about $48.6 billion, against $2.80 a share a year earlier. A Yahoo Finance preview published on September 30 carried a lower figure of $3.41. Estimates tend to drift as analysts update their models, so the later numbers are the better guide.
Revenue is the more telling line. Benzinga says the $48.6 billion estimate is roughly flat with the $48.59 billion GM posted a year ago. That means analysts expect a profit jump on no sales growth, which is only possible if margins are widening. The call starts at 8:30 a.m. Eastern.
What GM said last quarter
GM’s second-quarter report, covered by TTNews, showed the same pattern. Adjusted earnings came in at $3.57 a share and revenue at $48.03 billion, both above analyst estimates. Net income fell to about $1.3 billion from $1.9 billion a year earlier, because GM added $2.3 billion in EV-related charges. Those write-downs now total about $11 billion.
Even so, the company raised its full-year outlook. It now expects adjusted EBIT, which is earnings before interest and taxes with one-time items removed, of $14 billion to $16 billion, up $500 million from the prior range. It lifted its adjusted earnings guidance to $12 to $14 a share. Net income guidance, though, came down by at least $1.5 billion to a range of $9.9 billion to $11.4 billion, again because of the EV charges.
The article credits higher margins on large vehicles, low inventory and prices that stayed firm on GM’s most profitable models. Lower tariff costs also helped, though no figure was given. Buybacks were $2 billion.
Five things to watch in the GM earnings report
First, the streak itself. Twelve quarters in a row is a long run, and it has raised the bar. Benzinga notes that the one revenue miss in that stretch came in the fourth quarter of 2025. So a profit beat has been routine, while a sales beat has been less certain.
Second, guidance. In July GM lifted its 2026 forecast, and last year’s third quarter set a precedent. After that report the shares jumped 14 percent on a raised outlook, Reuters reported. Another raise would help. A reaffirmation might read as a disappointment.
Third is U.S. demand. GM sold 670,974 vehicles in the quarter, down 6 percent. It has protected profit with pricing and tight inventory. That can only go so far if buyers keep stepping back. Listen for comments on incentives, and on how long big trucks can hold their prices. Fuel costs matter here too, and our report on gas prices near $4.33 shows why.
Fourth, EVs. GM has taken roughly $11 billion in EV-related charges, per the same preview. Will more come? And what happens to the electric lineup? A new charge wouldn’t shock anyone. A large one, though, could drown out a good quarter.
Fifth, the smaller lines. Deferred revenue hit $6.3 billion, driven by OnStar and Super Cruise subscriptions. China equity income was $83 million in the second quarter, down from $165 million in the first. None of this moves the stock alone. It does show where growth is, and where it isn’t.
How to read GM earnings if you’re not an investor
You don’t need a brokerage account to find these numbers useful. GM is one of the country’s biggest employers and buyers of parts, so its results say something about the car market. Adjusted EPS is profit per share with one-time items stripped out, and EBIT is profit before interest and taxes. A beat means the number came in above analysts’ average guess, not that the company had a great quarter. Companies also guide cautiously on purpose, which is one reason beats are common. So the more useful question about GM earnings is usually what changed in the forecast, not whether a number cleared a bar.
Where Wall Street stands
Most analysts like the stock. Of the 21 that Benzinga tracks, 18 say Buy or Strong Buy, one says Hold and two say Sell. The average target is near $97, and shares were about $85 when the preview ran. Not everyone agrees, though. Wells Fargo’s Colin Langan rates it Underweight with a $61 target. Recent target changes point both ways: JPMorgan’s Rajat Gupta cut to $110 from $120 on October 12, while Goldman Sachs’ Mark Delaney raised to $112 from $103.
Why does that matter? The stock has already run. Yahoo Finance’s preview puts GM’s 52-week gain near 26 percent, and when shares have climbed like that, a good quarter is just the entry fee. This is general information, not investment advice, and estimates can change before the report.
What to watch after the GM earnings
Netflix reports the same day; our earlier piece on the Netflix layoffs and earnings covers it. For GM, watch the commentary on 2027, any tariff-cost update, and whether the full-year ranges move. If margins hold while sales slip, the questions will turn to pricing power.
Editor’s take
Skip the beat-or-miss headline on GM earnings and look at two lines instead: revenue and full-year guidance. Revenue should be flat while profit jumps. That works as long as big trucks keep their prices and inventory stays lean. If GM raises its outlook again, the margin story holds. If it only holds steady while sales keep sliding, the 12-quarter streak is running on pricing alone.
