GM soars this week amid electric vehicle push

General Motors shares are on a roll this week, hitting an all-time high and gaining an astounding 17% over the past five days.

Video transcript

SEANA SMITH: GM shares falling today, but they hit an all time high earlier this week. A lot of that has to do with the announcements from CES earlier. We want to bring in Pras Subramanian, who of course is tracking this story for us. And, Pras, what's behind all this excitement?

PRAS SUBRAMANIAN: Yeah. You know, big week for GM and CES. Mary Barra giving the keynote address on Wednesday, and talking about how they're going to release about 30 electric cars by 2025, a big number here. But also a big part of it's their new BrightDrop commercial delivery service. So basically what they're doing is offering a service for the last mile delivery, where an electrified pallet that can move on its own goes into electric van. And you take that van and that can deliver to people in neighborhoods and things like that.

So it's kind of a big deal. FedEx is a partner with them on that initially. And people like Adam Jonas at Morgan Stanley talking about how this is like a way for them to move into an all-electric future, highly recurring service-oriented mile-- right-- hint, hint-- not just selling and buying cars that have gas engines.

ADAM SHAPIRO: Hey, Pras, that cardigan, you look good in a GM model. But what about Tesla? Would you wear the cardigan in a Tesla and is GM really going to compete against Tesla in EV?

PRAS SUBRAMANIAN: You know, they're almost there, right? Because Tesla-- look, just this year, Tesla's stock is up almost 20%. But then so is NEO and even Ford, right? Because Ford has a new Mustang Mach-E coming out, a new electric car. So what's happening is like the whole EV trade is kind of washing everyone with it, including GM.

And I think a lot of analysts and investors are seeing that too, right? And also it's the kind of sum of the parts analysis for the company to, right? A lot of analysts are seeing that GM's Cruise division, autonomous driving, GM's battery division, Altium, those are actually valuable parts that can actually do well and actually make the stock price more than what it is right now.