Breaking: General Motors (GM) reports strong results, Q4 2020 beats expectations but lowers outlook

Update: GM is giving a lower than expected full-year guidance according to CNBC on Wednesday. GM is blaming ongoing global semiconductor shortages. Shares in GM have turned lower, trading at $55.83, down 0.4%.

General Motors (GM) announced strong results on Wednesday. Earnings per share (EPS) of $1.93 versus $1.64 expected. Profit margin was 9.9% as demand for high-end vehicles grew.

GM also said it will invest $7 billion in the electric and autonomous vehicle space in 2021. This is on top of the $27 billion commitment GM has already made to the EV sector by 2025 according to CNBC.

Guidance will be given on the conference call later on Wednesday. 

Market Reaction

Shares in GM are trading at $57.29 at the time of writing on Wednesday during pre-market trading. A gain of over 2%.

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