General Motors (GM) Q4 2022 results

DETROIT — General Motors is expected to release its fourth quarter results before the bell on Tuesday. Here’s what Wall Street expects, according to consensus estimates from Refinitiv:

• Adjusted earnings per share: $1.69
• Returned: $40.65 billion

In November, GM tightened its projected range for 2022 adjusted profit to between $13.5 billion and $14.5 billion, down from earlier guidance of between $13 billion and $15 billion. He also increased his cash flow forecast between $10 billion and $11 billion, rising from $7 billion to $9 billion.

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As investors will watch fourth-quarter results for signs of waning consumer demand or earnings dilution, the automaker’s forecast for 2023 should be in the spotlight.

Goldman Sachs said it expects GM’s forecast to come in below consensus, “due to price and mix as well as lower financials earnings.” The automaker is expected to be heading for a roughly 20% drop in adjusted earnings per share for the full year of 2023, according to Refinitiv estimates.

Automakers have posted record results in recent years amid a shortage of new vehicles and resilient consumer demand. They have been counting on sustained pent-up demand as inventory levels stabilize, hoping to avoid steep discounts or incentives to sell vehicles.

But that scenario is slowly normalizing, leaving new vehicle prices and profits to fluctuate.

During the fourth quarter of 2021, GM reported adjusted EPS of $1.35 and revenue of $33.58 billion, beating Wall Street’s EPS estimate of $1.19 per share, but below the $34.01 billion revenue estimate, according to Refinitiv.

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