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GM vs HMC
Which Stock Would AI Choose? General Motors (GM) vs. Honda Motor (HMC) Stock Comparison
Key Takeaways
- General Motors (GM) has delivered consecutive earnings beats in recent quarters, driven by North America pricing discipline, digital services growth, and a favorable tariff adjustment.
- Honda Motor (HMC) posted a full-year operating loss tied to large electric-vehicle (EV) charges, while its motorcycle segment reached record profitability.
- GM is actively returning capital through buybacks and dividends, while Honda is navigating a strategic reset toward hybrids and away from its prior all-EV target.
- GM trades at a low earnings multiple with stronger profit momentum, whereas Honda trades at a depressed price-to-sales ratio and a higher dividend yield.
- Relative performance diverged in recent market activity, with GM showing steadier upward trend consistency and Honda facing more pronounced uncertainty.
Introduction
General Motors and Honda Motor are two of the world's most recognized automakers, yet they currently present investors with contrasting profiles. This stock comparison is relevant for traders and investors evaluating relative performance, market positioning, and sector exposure within the automotive industry. GM is a Detroit-based leader in full-size pickups and SUVs with a growing software and services business, while Honda is a diversified Japanese manufacturer spanning automobiles, motorcycles, and power products. Because the two companies are navigating the EV transition, tariff pressures, and shifting consumer demand differently, examining them side by side helps clarify which characteristics currently drive sentiment and momentum in each stock.
GM Overview and Recent Performance
GM (General Motors) has shown resilient fundamentals in recent weeks, supported by its dominant position in high-margin trucks and SUVs and a disciplined approach to pricing and incentives. In recent quarterly results, the company reported adjusted earnings that rose significantly year over year, while revenue declined modestly. Management raised full-year guidance for adjusted earnings per share (EPS) and adjusted earnings before interest and taxes (EBIT), citing a favorable adjustment of roughly $500 million related to a U.S. Supreme Court ruling on certain tariffs.
Sentiment has been shaped by several factors: a strong North American franchise, tight dealer inventories that limit discounting, and momentum in digital services such as OnStar and Super Cruise. The company has also continued returning capital to shareholders through buybacks and a quarterly dividend. At the same time, tariff costs, EV restructuring charges, and commodity inflation tied to geopolitical tensions remain watchpoints. Analysts have responded with mixed-to-positive ratings, with several firms lifting price targets into the high double digits and beyond.
HMC Overview and Recent Performance
HMC (Honda Motor) has been navigating a more turbulent period. The company reported a full-year operating loss driven primarily by EV-related impairment and provision charges, which overshadowed otherwise steady underlying performance. On an adjusted basis, operating profit remained positive, led by a record year in the motorcycle segment, which reached record unit sales and operating profit.
In response, Honda announced a broad reset of its electrification strategy, canceling several North American EV models and withdrawing its previous target of 100% EV and fuel-cell sales by 2040. The company is instead shifting resources toward hybrids, with plans to launch multiple next-generation hybrid models globally. Recent quarterly revenue has grown year over year, and the stock offers a comparatively higher dividend yield. However, negative net margins, ongoing EV losses, tariff exposure, and competitive pressure in China and Southeast Asia continue to weigh on sentiment, leaving the stock's momentum weaker than that of many peers.
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Head-to-Head Comparison
The two automakers diverge sharply across several dimensions. In terms of business model, GM leans heavily on North American light trucks and a fast-growing software and services layer, giving it higher incremental margins and clearer pricing power. Honda is more diversified, with a meaningful and highly profitable motorcycle business cushioning weakness in automobiles, but its car operations are currently loss-making on a reported basis.
On growth drivers, GM's momentum stems from digital services, disciplined capital returns, and margin expansion even as volumes soften. Honda's path is a strategic pivot toward hybrids and cost reduction following a costly EV reset. Recent momentum favors GM, which has delivered consecutive earnings beats and raised guidance, while Honda is working through impairments and a profitability recovery plan.
Risk profiles also differ. GM faces tariff exposure, EV restructuring costs, and reliance on the truck cycle. Honda contends with EV writedowns, semiconductor constraints, and competitive pressure in Asia. On valuation, GM trades at a low single-digit earnings multiple, while Honda's negative earnings make price-to-sales and dividend yield more relevant reference points.
Tickeron AI Verdict
Based on observable factors, Tickeron's AI would likely favor GM in the current environment. GM demonstrates more consistent trend strength, consecutive earnings beats, upward guidance revisions, and a clearer near-term catalyst path through pricing discipline and digital services growth. Honda's richer dividend yield and diversified model offer stability, but its negative earnings momentum and ongoing EV-related uncertainty introduce greater dispersion in outcomes. As with any probabilistic assessment, this is not a prediction of future prices but a relative read on which stock currently exhibits stronger technical and fundamental alignment.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is GM is a Hold and HMC is a Buy.
GM in downward trend: 10-day moving average crossed below 50-day moving average on September 22, 2026
The 10-day moving average for GM crossed bearishly below the 50-day moving average on September 22, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 11 of 14 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 79%.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 20, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on GM as a result. In 61 of 95 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 64%.
The Moving Average Convergence Divergence Histogram (MACD) for GM turned negative on October 20, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 50 similar instances when the indicator turned negative. In 35 of the 50 cases the stock turned lower in the days that followed. This puts the odds of success at 70%.
GM moved below its 50-day moving average on September 18, 2026 date and that indicates a change from an upward trend to a downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where GM declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 65%.
The Aroon Indicator for GM entered a downward trend on October 22, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
Following a +1.10% 3-day Advance, the price is estimated to grow further. Considering data from situations where GM advanced for three days, in 240 of 346 cases, the price rose further within the following month. The odds of a continued upward trend are 69%.
GM may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron PE Growth Rating for this company is 4 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 57 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 92, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is 58 (best 1 - 100 worst), indicating steady price growth. GM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 61 (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.077) is normal, around the industry mean (1.879). P/E Ratio (33.091) is within average values for comparable stocks, (13.642). Projected Growth (PEG Ratio) (0.283) is also within normal values, averaging (2.450). Dividend Yield (0.009) settles around the average of (0.154) among similar stocks. P/S Ratio (0.426) is also within normal values, averaging (2.648).
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron SMR rating for this company is 88 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
HMC in upward trend: price rose above 50-day moving average on October 08, 2026
HMC moved above its 50-day moving average on October 08, 2026 date and that indicates a change from a downward trend to an upward trend. In 21 of 36 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are 58%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on October 12, 2026. You may want to consider a long position or call options on HMC as a result. In 49 of 93 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 53%.
The Moving Average Convergence Divergence (MACD) for HMC just turned positive on October 12, 2026. Looking at past instances where HMC's MACD turned positive, the stock continued to rise in 22 of 44 cases over the following month. The odds of a continued upward trend are 50%.
Following a +2.48% 3-day Advance, the price is estimated to grow further. Considering data from situations where HMC advanced for three days, in 166 of 305 cases, the price rose further within the following month. The odds of a continued upward trend are 54%.
Bearish Trend Analysis
The RSI Indicator demonstrated that the stock has entered the overbought zone. This may point to a price pull-back soon.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 8 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where HMC declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 51%.
HMC broke above its upper Bollinger Band on October 15, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is 40 (best 1 - 100 worst), indicating steady price growth. HMC’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 68 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. HMC’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 92, placing this stock better than average.
The Tickeron SMR rating for this company is 86 (best 1 - 100 worst), indicating slightly better than average sales and a considerably profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 91 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.004) is normal, around the industry mean (1.879). P/E Ratio (-0.306) is within average values for comparable stocks, (13.642). Projected Growth (PEG Ratio) (3.454) is also within normal values, averaging (2.450). Dividend Yield (0.088) settles around the average of (0.154) among similar stocks. P/S Ratio (0.299) is also within normal values, averaging (2.648).
The Tickeron PE Growth Rating for this company is 97 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
GM | HMC | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 10 | 42 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 61 Fair valued | 91 Overvalued | |
PROFIT vs RISK RATING 1..100 | 57 | 68 | |
SMR RATING 1..100 | 88 | 86 | |
PRICE GROWTH RATING 1..100 | 58 | 40 | |
P/E GROWTH RATING 1..100 | 4 | 97 | |
SEASONALITY SCORE 1..100 | 85 | 7 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
GM's Valuation (61) in the Motor Vehicles industry is in the same range as HMC (91). This means that GM’s stock grew similarly to HMC’s over the last 12 months.
GM's Profit vs Risk Rating (57) in the Motor Vehicles industry is in the same range as HMC (68). This means that GM’s stock grew similarly to HMC’s over the last 12 months.
HMC's SMR Rating (86) in the Motor Vehicles industry is in the same range as GM (88). This means that HMC’s stock grew similarly to GM’s over the last 12 months.
HMC's Price Growth Rating (40) in the Motor Vehicles industry is in the same range as GM (58). This means that HMC’s stock grew similarly to GM’s over the last 12 months.
GM's P/E Growth Rating (4) in the Motor Vehicles industry is significantly better than the same rating for HMC (97). This means that GM’s stock grew significantly faster than HMC’s over the last 12 months.
| GM | HMC | |
|---|---|---|
| RSI ODDS (%) | N/A | 1 day ago 56% |
| Stochastic ODDS (%) | 1 day ago 73% | 1 day ago 56% |
| Momentum ODDS (%) | 1 day ago 64% | 1 day ago 53% |
| MACD ODDS (%) | 1 day ago 70% | 1 day ago 50% |
| TrendWeek ODDS (%) | 1 day ago 66% | 1 day ago 60% |
| TrendMonth ODDS (%) | 1 day ago 66% | 1 day ago 61% |
| Advances ODDS (%) | 7 days ago 69% | 7 days ago 54% |
| Declines ODDS (%) | 2 days ago 65% | 23 days ago 51% |
| BollingerBands ODDS (%) | 1 day ago 80% | 1 day ago 40% |
| Aroon ODDS (%) | 1 day ago 62% | N/A |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
GM’s FA Score shows that 1 FA rating(s) are green while HMC’s FA Score has 0 green FA rating(s).
- GM’s FA Score: 1 green, 4 red.
- HMC’s FA Score: 0 green, 5 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
GM’s TA Score shows that 3 TA indicator(s) are bullish while HMC’s TA Score has 4 bullish TA indicator(s).
- GM’s TA Score: 3 bullish, 6 bearish.
- HMC’s TA Score: 4 bullish, 4 bearish.
Price Growth
GM (@Motor Vehicles) experienced а -7.71% price change this week, while HMC (@Motor Vehicles) price change was +1.55% for the same time period.
The average weekly price growth across all stocks in the @Motor Vehicles industry was -8.92%. For the same industry, the average monthly price growth was -18.42%, and the average quarterly price growth was -33.22%.
Reported Earning Dates
GM is expected to report earnings on Jan 27, 2027.
HMC is expected to report earnings on Nov 06, 2026.
Industries' Descriptions
@Motor Vehicles (-8.92% weekly)Automobiles continue to be arguably the most popular form of passenger travel in the U.S., and major automobile makers have revenues and market capitalizations running into multi-billions. In recent years, the industry has been experiencing some path-breaking innovations like electric vehicles and self-driving technology. While there are long-standing companies like General Motors, Ford, and Toyota Motors operating in this space, there are also emerging/rapidly growing players like Tesla – which has had a major role in the growing popularity of the electric vehicle market. With technological advancements taking steam in the auto space, we’ve also witnessed collaborations (or talks of potential partnerships) of carmakers with tech behemoths like Google’s subsidiary, Waymo.
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HMC and
Correlation & Price change
A.I.dvisor indicates that over the last year, HMC has been closely correlated with TM. These tickers have moved in lockstep 74% of the time. This A.I.-generated data suggests there is a high statistical probability that if HMC jumps, then TM could also see price increases.
| Ticker / NAME | Correlation To HMC | 1D Price Change % | ||
|---|---|---|---|---|
| HMC | 100% | +1.80% | ||
| TM - HMC | 74% Closely correlated | +1.72% | ||
| GM - HMC | 44% Loosely correlated | +1.45% | ||
| F - HMC | 43% Loosely correlated | +0.34% | ||
| RACE - HMC | 41% Loosely correlated | +0.11% | ||
| RIVN - HMC | 32% Poorly correlated | -3.21% | ||
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