2026 Tahoe with 6.2, im all good?

[blanchard7684]

Is failure rate over 3%? Yep.
30%? Gm would be close to bankruptcy.

 

[ReaperHWK]

What kind of mpg do you get day to day and on highway at 75mph+

Not sure never looked. I will next time I’m out.

 

[JayceeP]

Not sure never looked. I will next time I’m out.

lol that’s the way to be I guess.

 

[LEsoftballdad]

As I thought no logical reply with actual data. Just a mechanic in one shop. You’re really going to defend a 30% failure rate of all 6.2 engines? Who’s the moron? You sound like the type of guy who talks about how he added 5 gallons of jet fuel to his civic and he can beat my hellcat, just nod your head and walk away.

I’ll enjoy my luxury 2026 RST with every option, thanks. And if it does blow up GM can give me a new engine and I can drive one of my other vehicles.

Actually on my block there are 5 GM trucks with 6.2’s that are 2021+. Your logic would say about 2 of them would have needed a new engine. Guess what zero did. So from my sample size I see 0% failures lol.

And I’ll admit the actual data shows that the engine failures are higher than the industry baseline; but when someone throws out a 30% number that needs to be challenged.

Carry on.

Just a mechanic in a shop? No, he's a GM master tech at a Chevy dealership. I will guarantee he sees far more than you will ever see.

Your mentality is exactly why they didn't fix the problem. If people keep buying crap, why change? The engines are changing for 2027. All they're doing is trying to run out the clock so they don't have to enact a stop sell order on their remaining inventory.

For the record, I ditched my 2021 Sierra with the 5.3 when the lifters failed at 3,000 miles. I've been a GM guy since I bought my first car 37 years ago, with the exception of one Chrysler. I wish they didn't have these issues, and hopefully no one on this board has these issues, but there's another thread where someone's blew up recently, so I wouldn't count on it.

Even if it's only a 3% failure rate, that's still completely unacceptable. Mary Barra should be fired for incompetence.

 

[LEsoftballdad]

Thread 'Died at 70mph on I-75' https://www.tahoeyukonforum.com/threads/died-at-70mph-on-i-75.157913/

 

[BacDoc]

Just a mechanic in a shop? No, he's a GM master tech at a Chevy dealership. I will guarantee he sees far more than you will ever see.

Your mentality is exactly why they didn't fix the problem. If people keep buying crap, why change? The engines are changing for 2027. All they're doing is trying to run out the clock so they don't have to enact a stop sell order on their remaining inventory.

For the record, I ditched my 2021 Sierra with the 5.3 when the lifters failed at 3,000 miles. I've been a GM guy since I bought my first car 37 years ago, with the exception of one Chrysler. I wish they didn't have these issues, and hopefully no one on this board has these issues, but there's another thread where someone's blew up recently, so I wouldn't count on it.

Even if it's only a 3% failure rate, that's still completely unacceptable. Mary Barra should be fired for incompetence.

No fan of Mary Barra but as CEO her management has been very good for shareholders. She’s extremely talented at running the company even though she has no clue on quality control of the truck engines.

GM stock was around $40 last April and the stock price is around $80 now.
In the first quarter of this year GM sold more full sized trucks than anyone and recent guidance has revenue up and margins down. That’s exactly how you evaluate the CEO.

Looking at financial reports there is mention of the 6.2l recall but nothing significant that has affected margins.
The financial sector doesn’t give a $hit about the brand name or even quality of the vehicles, they only care about revenue, margin and guidance. If the fail rate was anything close to 20-30% that would make the earnings report affecting all 3 components of the earnings report.
Stocks live and die on earnings and guidance - look what happened to Netflix last week due to missing guidance.
GM stock still has “Buy” ratings and price target increases
25% fail rate on a top revenue producer would kill guidance and increase margin.
The market would punish that.

 

[JayceeP]

No fan of Mary Barra but as CEO her management has been very good for shareholders. She’s extremely talented at running the company even though she has no clue on quality control of the truck engines.

GM stock was around $40 last April and the stock price is around $80 now.
In the first quarter of this year GM sold more full sized trucks than anyone and recent guidance has revenue up and margins down. That’s exactly how you evaluate the CEO.

Looking at financial reports there is mention of the 6.2l recall but nothing significant that has affected margins.
The financial sector doesn’t give a $hit about the brand name or even quality of the vehicles, they only care about revenue, margin and guidance. If the fail rate was anything close to 20-30% that would make the earnings report affecting all 3 components of the earnings report.
Stocks live and die on earnings and guidance - look what happened to Netflix last week due to missing guidance.
GM stock still has “Buy” ratings and price target increases
25% fail rate on a top revenue producer would kill guidance and increase margin.
The market would punish that.

Yeah fair point. The analysts would have crucified GM’s share price if this 6.2 was a disaster. There have been issues with the 3.0 too so while the online chatter is GM sure junk, the market doesn’t seem to agree. So, what does that tell you?

I guess when you own 2/3 of the full size suv market and a big part of the truck market, you could have a fraction of the issues of other manufacturers but you’ll still appear to have more issues and noise purely due to the number of these vehicles on the road.

 

[ReaperHWK]

Just a mechanic in a shop? No, he's a GM master tech at a Chevy dealership. I will guarantee he sees far more than you will ever see.

Your mentality is exactly why they didn't fix the problem. If people keep buying crap, why change? The engines are changing for 2027. All they're doing is trying to run out the clock so they don't have to enact a stop sell order on their remaining inventory.

For the record, I ditched my 2021 Sierra with the 5.3 when the lifters failed at 3,000 miles. I've been a GM guy since I bought my first car 37 years ago, with the exception of one Chrysler. I wish they didn't have these issues, and hopefully no one on this board has these issues, but there's another thread where someone's blew up recently, so I wouldn't count on it.

Even if it's only a 3% failure rate, that's still completely unacceptable. Mary Barra should be fired for incompetence.

I just traded in a 2015 Tahoe with the 5.3 that had AFM active since day one. 170k miles and ran with no problems…….

Synthetic every 5k is all.

Transmission is what killed it not motor.

 

[BacDoc]

Yeah fair point. The analysts would have crucified GM’s share price if this 6.2 was a disaster. There have been issues with the 3.0 too so while the online chatter is GM sure junk, the market doesn’t seem to agree. So, what does that tell you?

I guess when you own 2/3 of the full size suv market and a big part of the truck market, you could have a fraction of the issues of other manufacturers but you’ll still appear to have more issues and noise purely due to the number of these vehicles on the road.

You got it -it’s all about the numbers.
Maybe the failure rate is more than the 3% but if it was north of 20% that would be major problems.

The margin is so important for most companies and some of the biggest most successful are running on less than 15%.
Tesla stock was ripping when they were hitting 30% margin which was unprecedented in the auto industry and Tesla stock took major hit when they missed guidance and the margin came in line with the industry.

GM is running on 6% and last earnings report gave a 8-10% guidance.
That’s pretty huge.

If the fail rate on one of the biggest revenue streams for the company is higher than even 6%, which is twice what the company is reporting, that would cut margin significantly.
You could say they are covering that up (anything is possible) but in the financial markets that always gets exposed.
Follow the money is hiw you get to the truth.

 

[JayceeP]

You got it -it’s all about the numbers.
Maybe the failure rate is more than the 3% but if it was north of 20% that would be major problems.

The margin is so important for most companies and some of the biggest most successful are running on less than 15%.
Tesla stock was ripping when they were hitting 30% margin which was unprecedented in the auto industry and Tesla stock took major hit when they missed guidance and the margin came in line with the industry.

GM is running on 6% and last earnings report gave a 8-10% guidance.
That’s pretty huge.

If the fail rate on one of the biggest revenue streams for the company is higher than even 6%, which is twice what the company is reporting, that would cut margin significantly.
You could say they are covering that up (anything is possible) but in the financial markets that always gets exposed.
Follow the money is hiw you get to the truth.

Yep. Efficient markets reflect any and all information. Unless someone has deep secrets somewhere… the world isn’t ending. Maybe I should scoop up this XL Denali Reserve 6.2 w/ adaptive air ride after LOL.

 

[jerry455]

If GM is lying about the numbers to NHTSA, there are big consequences to that. Everyone in the industry is having engine failures.

 

[TML_75]

He's just a GM master tech. What would he know that you don't?

How long does the average vehicle take to get to 100,000 miles? It's around 7-8 years. Do people do it quicker? Of course, but a lot of these are grocery getters for Soccer moms who only put 7,000 miles a year on them. It will be years before the true depth of this issue is uncovered.

I don’t have young children but I only put 7-8k per year on my truck, due to wife wanting to drive her QX60 all of the time, lol. I am totally happy with that

 

[WalleyeMikeIII]

No fan of Mary Barra but as CEO her management has been very good for shareholders. She’s extremely talented at running the company even though she has no clue on quality control of the truck engines.

GM stock was around $40 last April and the stock price is around $80 now.
In the first quarter of this year GM sold more full sized trucks than anyone and recent guidance has revenue up and margins down. That’s exactly how you evaluate the CEO.

Looking at financial reports there is mention of the 6.2l recall but nothing significant that has affected margins.
The financial sector doesn’t give a $hit about the brand name or even quality of the vehicles, they only care about revenue, margin and guidance. If the fail rate was anything close to 20-30% that would make the earnings report affecting all 3 components of the earnings report.
Stocks live and die on earnings and guidance - look what happened to Netflix last week due to missing guidance.
GM stock still has “Buy” ratings and price target increases
25% fail rate on a top revenue producer would kill guidance and increase margin.
The market would punish that.

I think you flipped margin direction. Margin going down is less profit, margin going up is more profit.
Increased fail rate would push warranty costs higher, and increase cost of goods sold (COGS). Thus decreasing margins.
Gross Margin = (Revenue - COGS)/revenue * 100

 

[JayceeP]

What’s everyone’s thoughts on more recent built 6.2? More likely to benefit from any production and manufacturing tweaks post recall or are all these engines still built the same since day 1? All destined to fail or 2026 built engine will have better longevity?

 

[jfoj]

Post May 2024 engine builds are still failing, not sure the numbers but it appears to be similar to the recalled engines. Even replacement engines have been failing as well. Not an ideal situation for owners.

 

[BacDoc]

I think you flipped margin direction. Margin going down is less profit, margin going up is more profit.
Increased fail rate would push warranty costs higher, and increase cost of goods sold (COGS). Thus decreasing margins.
Gross Margin = (Revenue - COGS)/revenue * 100

Yes I had a case of dyslexia there and if margin goes up definitely more profit.

Previous post I mentioned that GM guidance was good going from 6% margin to 10%
Tesla was doing the best in the auto sector when they were 30%
The latest earnings have them around 18% which is still twice GM

 

[ReaperHWK]

lol that’s the way to be I guess.

Looks like my truck averaged about 15mpg over the 5000 miles since new. On the highway it gets mid-low 20’s.

 

[JayceeP]

View attachment 483660
View attachment 483661

Looks like my truck averaged about 15mpg over the 5000 miles since new. On the highway it gets mid-low 20’s.

For everyday driving that’s not really all that bad. My 3.5 F150 is the same or worse lol. Not sure if you hand calculate to. Weigh that mpg or not. How fast you cruising on the highway? Looks like decent highway mpg.

 

[ReaperHWK]

For everyday driving that’s not really all that bad. My 3.5 F150 is the same or worse lol. Not sure if you hand calculate to. Weigh that mpg or not. How fast you cruising on the highway? Looks like decent highway mpg.

75mph.

 

[JayceeP]

75mph.

Solid!