General Motors (NYSE:GM) shares rose more than 1% pre-market today after Deutsche Bank analysts upgraded the company from Hold to Buy, raising the price target to $60 from $56. The decision reflects optimism surrounding GM’s recent strategic initiatives, consistent operational performance, and a robust share buyback plan.

Key factors driving the upgrade include GM's proactive steps in addressing challenges in the Chinese market, advancements with its autonomous vehicle unit Cruise, and its demonstrated ability to execute effectively. These developments, combined with GM’s aggressive approach to returning capital to shareholders through buybacks, position the automaker favorably for 2025.

Despite broader concerns about potential macroeconomic risks and uncertainties surrounding policies under the new Trump administration, the analysts believe these headwinds are well-documented and could even present upside surprises. Factors such as stable pricing dynamics and the absence of new tariffs on Mexico could support a more positive outlook.

Heading into the fourth quarter, the analysts expect GM to report results near the upper end of its guidance range, differentiating itself from competitors like Ford, which may face greater pricing pressures in the year ahead. For 2025, GM is projected to sustain flat year-over-year EBIT while delivering EPS growth, supported by its substantial share repurchase activities. Conversely, Ford is anticipated to guide for lower EBIT due to pricing challenges, partially offset by cost management efforts.