Dhirendra Tripathi
Investing.com – General Motors (NYSE:GM) stock was 3% higher in Friday’s premarket trading on a bullish call by Wedbush analyst Daniel Ives.
The analyst sees the stock at $85, an upside of almost 52% from its closing of $56.06 on Thursday.
Ives said he believes 2021 to be an inflection point for the legacy automaker as it pivots to electric vehicles. His bullish estimates don’t rule out the company’s market cap doubling by the end of 2022.
GM has lined up at least 20 new electric vehicle launches in two years.
“The laser focus on electric vehicles has given new energy and strategic focus to GM which the Street has clearly started to take notice,” Ives wrote in his note.
GM plans to sell more than 1 million electric vehicles every year by 2025. The new spending is a 26% increase from plans announced late last year.
GM expects its first-half adjusted EBIT between $8.5 billion and $9.5 billion due to continued strong demand, better-than-expected results at GM Financial, and an improved near-term production outlook.