Why Companies Are Quietly Laughing Off Tariffs—And What That Means for Your Portfolio
General Motors
Rather than abandoning guidance altogether, General Motors chose to incorporate a broad estimate of the impact of the tariffs. Issued on May 1, the automaker’s latest quarterly filing revised its outlook to account for what it projected to be a hit on the order of $4 billion to $5 billion “based on the current regulatory and policy environment.” Perhaps investors will appreciate GM’s effort to at least provide a frame of reference for what it believes is coming.
Southwest Airlines
We could call Southwest Airlines’ approach in its April 23 Form 8-K a middle ground. The company declined to reiterate its broader 2025 and 2026 guidance, citing “current macroeconomic uncertainty” and “recent and short-lived booking trends.” However, it reaffirmed a key target: a $1.8 billion incremental EBIT contribution for 2025.
Post Comment