Morgan Stanley reiterated General Motors as its top auto sector pick with an overweight rating. The firm highlighted the stock's attractive valuation ahead of the company's first-quarter earnings report. Deutsche Bank upgraded GM to buy from hold, expecting strong pricing to offset volume and mix challenges.
Analysts still acknowledge significant headwinds, including anticipated tariff expenses for the quarter. GM shares fell 4% this week following reports of a major strategic pivot. The automaker is delaying its next-generation all-electric truck program to prioritize gasoline and hybrid engine development.