Shares of General Motors Co. (GM) took a 2.5% dive in midday trading on Wednesday, despite the automaker's impressive sales performance in 2023. GM announced that it sold a total of 2.6 million vehicles in the U.S. last year, representing a 14% increase from the previous year and making it the industry leader in terms of total sales.
Market Share Growth and Electric Vehicle Sales Surge
GM also highlighted its market share growth, which saw an increase of 0.3 percentage points in 2023. The company further revealed that sales of electric vehicles (EVs) experienced a remarkable surge, jumping by 93% to reach a total of 75,883 EV units sold.
Mixed Performance Across GM's Brands
Although all of GM's brands witnessed sales growth in 2023, the fourth quarter was not as robust. Chevrolet sales saw a slight decrease of less than 1%, Cadillac sales declined by 7%, GMC sales were down by less than 7%, and Envolve sales slumped significantly by 31%. However, Buick bucked the trend with an impressive sales increase of 57%.
Stock Retreats After Strong End to 2023
After an impressive rally in the last two months of 2023, where GM's stock soared by 27.4%, the stock experienced a pullback. Nevertheless, it still ended the year with a gain of 6.8%. In comparison, rival Ford Motor Co. (F) saw its shares rise by 4.8% in 2023, while the S&P 500 index (SPX) advanced by 24.2%.
Despite the temporary setback in GM's stock price, the company's strong sales growth and increasing market share demonstrate its robust performance in the highly competitive automotive industry.
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