GM Wants You to Take Your Eyes Off the Road in Its SUVs—and Just Bet $108 Million on a New Battery

Ford, GM, and Stellantis shares declined during the week ending Oct. 23. GM's drop coincided with its earnings report and a $20 billion buyback announcement. The decline may reflect market reaction to earnings and broader sector trends.

General Motors (GM) shares are down 10% this week, on track for the worst weekly performance since March 2023. Despite this, analysts like StoneX's Mickey Legg and RBC's Tom Narayan maintain buy ratings, citing long-term potential. GM's stock decline follows adjusted profit guidance and CEO Mary Barra's warning about external headwinds. Other automotive stocks, including Gentex and Autoliv, are also down after earnings reports.

GM has partnered with Peak Energy to develop sodium-ion battery cells for grid-scale energy storage, not EVs. GM will develop the cells and retain manufacturing rights, while Peak integrates them. The companies aim to reduce energy storage costs by 20% and cut energy waste. GM Ventures led Peak's $108M Series B funding round, with plans to expand US manufacturing and fulfill $1B in orders.

General Motors (GM) terminated a supply agreement with e-VAC Magnetics, a unit of VAC acquired by Energy Fuels for $1.9B. The deal's price may be adjusted based on arbitration. GM's EV sales dropped 43% YoY in Q4 2025, and the $7,500 EV tax credit was removed. The outcome may impact Energy Fuels' shares (UUUU) and the Western rare earth magnet market.

General Motors (GM) will close its Brownstown Battery Assembly plant in Detroit by next summer, as its lease expires. The facility produced battery packs for the Cadillac Celestiq and Corvette E-Ray, as well as hydrogen fuel cells in a joint venture with Honda. GM is shifting production to other facilities and has incurred $11.2 billion in EV-related charges. The plant's closure is part of GM's adjusted EV strategy, responding to softer demand and regulatory changes.

GM shares fell 10% this week after narrowing its full-year profit outlook, citing external headwinds. Analysts like BNP Paribas and RBC Capital Markets recommend buying, citing discounted valuation and strong execution. GM shares are down 7% YTD, underperforming the S&P 500's 12% gain.