Thank the just-announced Silverado EV.
Wall Street responded in kind hours after General Motors announced plans to launch an all-electric version of the long-popular and long-running Chevrolet Silverado full-size truck. The automaker's stock was up by 1.5 percent at the end of the trading day Tuesday, closing at $61.94 a share. That's a new closing record. Earlier in the day, the stock reached an all-time high of $63.44, according to CNBC. Not bad for an automaker that emerged from bankruptcy just over a decade ago.
At present, America's biggest automaker is worth just over $89 billion. Of course, that's a fairly small figure compared to Tesla's $660 billion market cap. But Tuesday's announcement is still excellent news for GM going forward.
It has pledged to sell only battery-electric vehicles by 2035 and the Silverado EV's strong response is further proof GM made the right call. The automaker has had a big month so far, having previously unveiled the GMC Hummer EV SUV last weekend during the NCAA Men's Basketball Final Four. The truck body style premiered last October to equal enthusiasm. The Edition 1 trims for both body styles sold out online within one hour.
GM's stock has been performing very well so far this year. It's now up by around 50% thanks to electric vehicle-related announcements and reveals. It's also a testament to CEO Mary Barra's leadership and the direction she's taking the company.
GM is not only investing in EVs and their platforms, but also the factories where they'll be built. Factory Zero, formerly called the Detroit-Hamtramck Assembly Center, is undergoing a $2.2 billion investment. The Hummer and Silverado EVs will call it home once production gets underway. An all-electric Cadillac Escalade is also expected at the plant beginning in early 2024. The autonomous multi-passenger shuttle, called the Cruise Origin, is yet another Factory Zero build assignment.
These EVs are part of GM's plan to launch 30 new battery electrics globally by 2025, as part of a broader $27 billion investment, and aims to sell 1 million EVs annually by that year.