General Motors (GM) adjusts production strategy due to changing regulatory environment, shifting from electric vehicles back to internal combustion engines. This transition resulted in a $1.6 billion special charge in the third quarter, mainly due to noncash impairments. GM expects to reduce EV-related losses by 2026 with swift adjustments.

GM’s stock has outperformed the Automotive-Domestic industry and peers Ford and Tesla in 2021. The company appears undervalued compared to the industry based on its price/sales ratio. Analysts have raised EPS estimates for GM for 2025 and 2026.

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Read more at Nasdaq: What Does the Orion Assembly Pivot Mean for General Motors’ EV Plans?