One of Wall Street's biggest General Motors (GM) bulls is staying the course even as industry conditions have blown a tire.

"Unlike past cyclical recoveries, GM’s cost structure, product lineup and balance sheet are in good shape, in our view, without the capital needs for restructuring," Citi analyst Michael Ward wrote in a new note. "A reduced breakeven level in North America, the exit from Europe, an improved product/capacity footprint, working capital efficiencies and dividends from subsidiaries have provided the Board the flexibility to adequately invest in the business and to increase cash returns to shareholders."

Ward reiterated a Buy rating and $105 price target on GM shares. The price target is among the highest on Wall Street, according to Yahoo Finance data.

Despite the positives to the GM investment story, shares are down by 6% to $76.42 this year amid a rough patch for the wider auto industry. Shares of rival Ford (F) are off by 8%.

US auto sales experienced a significant reset in the first quarter, with light-vehicle deliveries falling by more than 6% year over year. While March 2026 saw a preliminary total of approximately 1.4 million units sold, the month’s result was down nearly 12% from the prior year.

The downturn is largely attributed to a tough comparison against 2025, which saw a massive surge in pre-tariff buying before new import duties took effect. Not helping demand this year are elevated interest rates, rising average transaction prices (now nearing $50,000), and growing geopolitical uncertainty from the Iran conflict, which has driven up gasoline prices and dampened consumer sentiment.

Read more: What Trump's tariffs mean for the economy and your wallet

The backdrop couldn't be more different than the one GM drove to success in 2025.

GM delivered a resilient performance last year, leading the US auto industry in total sales for the second consecutive year with 2.85 million vehicles sold, a 6% increase over 2024.

The company reported full-year operating profits of $12.7 billion and $10.6 billion in adjusted automotive free cash flow, meeting the high end of its guidance despite significant industry headwinds.

The primary driver of this success was its internal combustion engine portfolio; its full-size pickups (Silverado and Sierra) saw their best combined sales in two decades, while its full-size SUVs led that segment for the 51st straight year.

Additionally, the company aggressively returned capital to shareholders, buying back about 35% of its outstanding shares since late 2023 through $23 billion in buybacks.