GM CEO Mary Barra Sends Strong Message to Investors with Dividend Hike and Stock Buyback

General Motors CEO Mary Barra announced that the company's stock is undervalued and urged investors to buy shares, citing the future profitability of electric vehicles (EVs). GM unveiled a $10 billion stock buyback plan and a 33% dividend increase, leading to a nearly 10% surge in the stock price. Barra expressed confidence in GM's strategy and ability to generate cash flow and strong margins. The company aims to achieve a low-single-digit profit margin on EV operations by the end of 2025 and transition to mostly producing electric vehicles by 2035. Prior to the announcement, GM shares had declined about 20% in the past year.