General Motors (GM) Bets Strong on E-Truck Market With 3rd Pickup

General Motors GM recently announced plans of rolling out a new all-electric GMC pickup truck.

This will be the Detroit automaker’s third electric pickup after the GMC Hummer EV pickup, scheduled to hit the market later in the ongoing year and the mass-market Chevrolet Silverado electric pickup truck which is likely to go into production late next year.

General Motors noted that the new GMC pickup will be a full-size truck. However, the automaker declined to reveal details like price, assembly location, timing of the vehicle launch and whether or not the pickup will be called the Sierra — the name of its current full-size traditional pickup.

Amid the heightening climate-change concerns, investors are intrigued by automakers that provide green transportation solutions. A shift toward electric future has made it necessary for industry players to reorient their business model and accelerate the e-mobility game. Within the transforming auto industry, the race to bring the first electric pickup truck to the U.S. market is also heating up.
 
Automakers are optimistic about the electric truck segment owing to the soaring popularity of pickup trucks amid commercial buyers as well as the large number of consumer reservations for the vehicles that have already been unveiled.

To catch up on this trending race, Amazon AMZN-backed electric vehicle (EV) startup — Rivian — has plans to launch the RIT pickup truck, deliveries of which have been delayed until this September. Also, auto giant Ford F plans to roll out an all-new F-150 pickup truck — the first-ever all-electric F-Series truck designed for commercial customers — set to hit the roads next year. Stellantis STLA has also confirmed it will offer an electric Ram pickup by 2024.

To capture a niche in this rapidly growing electric truck segment, General Motors is gearing to launch the Hummer EV pickup later this year. With the deliveries of Rivian’s RIT pickup truck delayed, General Motors’ Hummer EV is most likely the first electric pickup to make it to the market. The pickup, priced between $80,000 and $111,000, has a range of 350 miles on full charge and can go up to 60 mph in roughly 3 seconds.

The Chevrolet Silverado and the latest GMC pickup truck will join the Hummer EV in the realm of true electric supertrucks. These vehicles are part of General Motors’ plan to release 30 new electric vehicles globally by 2025.

The fact that General Motors has three electric pickup trucks in the pipeline highlights that the auto biggie is confident of emerging victorious in the electric truck segment.

General Motors is committed to its goal of providing completely carbon-free transportation and is boosting the company’s electrification efforts to attain this target. The company has always been at the forefront of the automotive revolution and is focused on its vision of an all-electric future. The Detroit-based auto giant plans make its entire fleet carbon neutral by 2040, and has committed to targets that are in sync with the most ambitious goals of the Paris Agreement.

Recently, the automaker committed to invest $35 billion to EVs and autonomous vehicles by the end of 2025, marking a 75% jump from its initial $20-billion plan. The company is also pulling forward construction of two U.S-based Ultium battery cell plants. These plants are in addition to the battery cell plants currently under construction in Tennessee and Ohio.

General Motors currently flaunts a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Shares of General Motors have appreciated 30.1% year to date, while the industry depreciated 4.1%.

Image Source: Zacks Investment Research

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