From Nasdaq: 2025-05-05 08:47:00

A new wave of auto tariffs is targeting imported parts, impacting nearly every vehicle produced in the U.S. General Motors (GM) faces uncertainty, lowering its full-year guidance due to the tariffs. Despite challenges, GM continues to excel in EV sales and cost-cutting efforts, making it a strong long-term investment option.

On the other hand, Tesla is struggling with falling sales, shrinking profits, and distractions from its CEO. While Tesla’s energy segment shows growth, its core EV business is under pressure. Financially strong, Tesla is focusing on self-driving technology and ambitious new projects, but faces execution risks.

Comparing GM and Tesla, GM appears undervalued with a strong balance sheet and stable operations. Tesla, while innovative, is facing challenges and distractions. Investors seeking balanced exposure to the auto sector may find GM a more reliable choice for now. GM is ranked #3 (Hold) while Tesla is ranked #5 (Strong Sell) by Zacks Research.



Read more at Nasdaq: GM vs. TSLA: Which Auto Giant is a Better Investment Option Now?