General Motors Co. (GM) is reportedly eyeing its current Chief Product Officer, Sterling Anderson, as a potential successor to CEO Mary Barra. And if the name sounds familiar, that's because Anderson comes with some serious automotive tech credentials: he's a former Tesla Inc. (TSLA) Autopilot executive and co-founder of autonomous vehicle company Aurora Innovation Inc. (AUR).

The Succession Test Drive

According to a Bloomberg report on Thursday, Anderson could be positioning himself to take over from Barra if he successfully delivers better hardware and software integration across GM's vehicle lineup, covering both internal combustion engine and electric vehicles. It's essentially an audition, with Barra evaluating whether the Aurora co-founder can nail the technical execution that's becoming increasingly critical in the automotive industry. Anderson joined GM back in June, so the clock is already ticking on this evaluation.

Wall Street Likes What It Sees

While GM figures out its leadership succession plan, the market is showing plenty of confidence in the company's current trajectory. Wedbush Securities recently upgraded GM's price target to $95 as the stock climbed higher. GM is currently trading at $81.16, up 0.81% in pre-market trading and hovering near its 52-week high of $83.04.

Dan Ives, managing director at Wedbush, pointed to improved cash flow as a key driver. "The company continues to navigate the macro storms, heading into 2026 with a marquee focus on driving cash flow growth," Ives said in his investor note.

Ives also noted that GM is outperforming many competitors in the electric vehicle space, even while pulling back somewhat on its EV ambitions. "We believe Barra & Co. are prepared for all options on the table as it balances its ICE and EV strategies," he said.

Bolt Returns, But With Some Costs

Speaking of that EV strategy, GM just kicked off production of its most affordable electric vehicle, the Chevrolet Bolt EV, priced at $28,995. The vehicle will roll off the line at GM's Fairfax plant in Kansas, with dealerships expecting inventory to arrive in January 2026.

But the electric transition isn't coming cheap. The Detroit-based automaker recorded a $1.6 billion charge related to its EV operations. Breaking down that figure, $1.2 billion came from EV capacity changes, while the remaining $400 million was tied to contract cancellations, according to GM.

It's a hefty price tag, but it reflects the reality of recalibrating an electric vehicle strategy in real time. GM is threading the needle between maintaining its profitable ICE business while building out its EV capabilities at a more measured pace than initially planned.