General Motors (GM) shareholders just received what they wanted only a few weeks back when the automaker posted Q4 results — cash.

GM announced on Wednesday that it was upping its quarterly dividend by $0.03 to $0.15 a share, its first hike since 2023. In addition, the company announced a new $6 billion “share repurchase authorization,” with $2 billion of that happening relatively soon in the form of a new accelerated share repurchase (ASR) program.

When GM announced fourth quarter earnings last month, the stock traded lower as investors were disappointed the company did not return any cash to shareholders in the form of a new share purchase plan.

Last year GM issued a share buyback plan to repurchase up to $6 billion of its outstanding common shares. This was in addition to the $10 billion accelerated share repurchase (ASR) program it introduced at the end of last year, which coincided with a plan to increase its dividend by 33% beginning last January.

GM added that 2025 capital spending will remain in the $10 billion to $11 billion range, inclusive of investments in GM’s battery manufacturing joint ventures, with research and product development spending expected to be more than $8 billion.

Last month, GM projected 2025 profit coming in at a range of $13.7 billion to $15.7 billion, with a lower low bound but a higher upper bound than in 2024. Diluted and adjusted EPS are seen at $11 to $12 for the year, but the company did not model the effects of any Trump White House tariffs on imported vehicles or supplier parts.

Source: FINANCE.YAHOO