GM Q2 profit likely higher; margin strength, vehicle demand on focus

General Motors (GM) is expected to report higher second-quarter profit on Tuesday before the opening bell. 

Wall Street expects the Detroit automaker to earn $3.18 per share, up 25.7% from a year earlier, on revenue of $47.09B, roughly flat from last year, according to consensus estimates.

The earnings follow a stronger-than-expected first quarter, when GM expanded adjusted EBIT margin to 9.7%, grew earnings per share 33%, and raised its full-year 2026 adjusted EBIT and EPS guidance. The company expects mid-point adjusted EBIT growth of 14% and adjusted EPS growth of 18% this year.Whether the company's profitability can remain resilient despite sluggish industry demand will be in focus.

GM earlier this month reported second-quarter U.S. vehicle sales of 714,896 units, down 4% from a year earlier, an improvement from the 10% decline recorded in the first quarter. The company also gained market share in full-size pickup trucks and electric vehicles, with its U.S. EV market share rising to about 13.75% year-to-date.

Over the last 2 years, GM has beaten EPS estimates 100% of the time and has beaten revenue estimates 88% of the time. Over the last 3 months, EPS estimates have seen 7 upward revisions and 9 downward. Revenue estimates have seen 3 upward revisions and 8 downward.