General Motors Enters Missile Manufacturing Business Amid Strong Q2 Earnings
General Motors (GM) has entered the missile manufacturing business as part of a broader diversification strategy under CEO Mary Barra. This move adds an unexpected new revenue stream to GM's portfolio, which includes automotive sales and digital subscription services like OnStar. The company recently reported strong second-quarter earnings with adjusted diluted EPS beating estimates by 8.5%, despite GAAP profits declining due to restructuring costs related to its electric vehicle transition. GM shares have pulled back slightly from record highs but remain above their 52-week low, trading in the $85–$88 range as of late September 2026. The stock has outperformed a weak S&P 500 Consumer Discretionary sector this year, reflecting investor confidence in GM's pricing discipline and margin expansion efforts. The company raised its full-year adjusted EBIT guidance to $14–$16 billion and lifted free cash flow projections as well. However, management has warned that the EV transition may hit a 'flat spot' in 2027.
Tickers: $GM
Topics: CEO strategy defense manufacturing General Motors stock performance