GM Stock Soars Past $50: Can It Keep Rising?

Shares of General Motors (NYSE: GM) plummeted in the early days of the COVID-19 pandemic last year, reaching an all-time low of $14.33 in mid-March. Clearly, investors feared that the pandemic would crush auto demand for the foreseeable future, decimating GM's profitability.

Reality was quite a bit different. There were temporary headwinds, to be sure. General Motors had to halt North American production for about two months last spring, and auto sales slumped during that period, due to widespread stay-at-home orders. However, demand bounced back quickly as the economy reopened, allowing GM to earn a huge profit in the third quarter. Domestic sales trends improved further in Q4. As a result, GM stock has surged. Last week, it hit a new all-time high, surpassing $50 for the first time ever.