Key facts: NYSE:GM $500M Tariff Relief; Mary Barra at Xi Dinner

General Motors (GM) reported a 31.1% drop in net income to $1.3B, but adjusted EBIT rose 29.8% to $3.94B. GM raised 2026 guidance, including adjusted EBIT to $14-16B and adjusted EPS to $12-14. The company is expanding into defense, supplying missile components to Lockheed Martin (LMT) under a Pentagon contract. GM's defense segment is projected to generate $700M in revenue this year. Analysts give GM a 'Moderate Buy' rating with an average price target of $100.07, implying 18% upside.

General Motors (GM) is introducing new V-8 engines for its trucks despite the hybrid sales boom. GM's strategy aims to optimize profits from full-size trucks to offset costs from tariffs and EV write-downs. The company plans to add plug-in hybrids next year. GM's approach is seen as a calculated move, not a mistake, according to industry analysts.

The Department of War increased its contract with GM Defense by $697.7 million for engineering changes to Infantry Squad Vehicles (ISV) and winch kits, bringing the total to $915.6 million. GM will build 10,000 ISVs based on the Chevrolet Colorado frame. The vehicles will include added features like windshields, heaters, and crew enclosures. The contract, mentioned by GM CEO Mary Barra, is expected to be completed by June 2028.

Lockheed Martin (LMT) and GM Defence partnered to boost PAC-3 missile production, aiming to increase annual output from 600 to 2,000 missiles. Lockheed will invest $8bn-$9bn to expand facilities. GM Defence delivered initial components 22 days after the agreement. The deal leverages commercial manufacturing for defence needs, with a focus on scaling production rapidly.

GM Defense LLC received a $697.7 million contract modification from the U.S. Army for Infantry Squad Vehicle Utility and related kits. The total contract value now stands at $915.6 million. The Warren, Michigan-based company was the sole bidder, with work expected to continue until June 2028.

General Motors (GM) is supplying components for Lockheed Martin's (LMT) Patriot missile defense system under a new agreement. GM's defense unit expects $700M in 2026 revenue and aims for double-digit profit margins. The companies are discussing further collaboration. GM may also secure a $1B contract for military vehicles.