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Best Auto & Truck Dealership Stocks to Buy Now (2023)

Top auto & truck dealership stocks in 2023 ranked by overall Zen Score. See the best auto & truck dealership stocks to buy now, according to analyst forecasts for the auto & truck dealerships industry.

According to Zen Score, the 3 best auto & truck dealership stocks to buy right now are:

Rush Enterprises (NASDAQ:RUSHA) is the top auto & truck dealership stock with a Zen Score of 59, which is 32 points higher than the auto & truck dealership industry average of 27. It passed 21 out of 38 due diligence checks and has strong fundamentals. Rush Enterprises has seen its stock return 16.76% over the past year, overperforming other auto & truck dealership stocks by 28 percentage points.

Rush Enterprises has an average 1 year price target of $47.67, an upside of 17.4% from Rush Enterprises's current stock price of $40.60.

Rush Enterprises stock has a consensus Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Rush Enterprises, 50% have issued a Strong Buy rating, 0% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Lithia Motors (NYSE:LAD) is the second best auto & truck dealership stock with a Zen Score of 53, which is 26 points higher than the auto & truck dealership industry average of 27. It passed 20 out of 38 due diligence checks and has strong fundamentals. Lithia Motors has seen its stock return 22.12% over the past year, overperforming other auto & truck dealership stocks by 34 percentage points.

Lithia Motors has an average 1 year price target of $310.57, an upside of 14.83% from Lithia Motors's current stock price of $270.47.

Lithia Motors stock has a consensus Hold recommendation according to Wall Street analysts. Of the 7 analysts covering Lithia Motors, 28.57% have issued a Strong Buy rating, 0% have issued a Buy, 57.14% have issued a hold, while 0% have issued a Sell rating, and 14.29% have issued a Strong Sell.

Group 1 Automotive (NYSE:GPI) is the third best auto & truck dealership stock with a Zen Score of 40, which is 13 points higher than the auto & truck dealership industry average of 27. It passed 15 out of 38 due diligence checks and has average fundamentals. Group 1 Automotive has seen its stock return 46.78% over the past year, overperforming other auto & truck dealership stocks by 58 percentage points.

Group 1 Automotive has an average 1 year price target of $290.00, an upside of 2.47% from Group 1 Automotive's current stock price of $283.00.

Group 1 Automotive stock has a consensus Buy recommendation according to Wall Street analysts. Of the 3 analysts covering Group 1 Automotive, 66.67% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 33.33% have issued a Strong Sell.

Out of 6 auto & truck dealership stocks that have issued dividends in the past year, the 3 auto & truck dealership stocks with the highest dividend yields are:

Camping World Holdings (NYSE:CWH) has an annual dividend yield of 8.55%, which is 6 percentage points higher than the auto & truck dealership industry average of 2.59%. Camping World Holdings's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. Camping World Holdings's dividend has shown consistent growth over the last 10 years.

Camping World Holdings's dividend payout ratio of 666.7% indicates that its high dividend yield might not be sustainable for the long-term.

Sonic Automotive (NYSE:SAH) has an annual dividend yield of 2.27%, which is the same as the auto & truck dealership industry average of 2.59%. Sonic Automotive's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Sonic Automotive's dividend has shown consistent growth over the last 10 years.

Sonic Automotive's dividend payout ratio of -134.1% indicates that its dividend yield might not be sustainable for the long-term.

Penske Automotive Group (NYSE:PAG) has an annual dividend yield of 1.85%, which is -1 percentage points lower than the auto & truck dealership industry average of 2.59%. Penske Automotive Group's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Penske Automotive Group's dividend has shown consistent growth over the last 10 years.

Penske Automotive Group's dividend payout ratio of 15.2% indicates that its dividend yield is sustainable for the long-term.

Auto & truck dealership stocks were down -0.35% in the last day, and down -3.98% over the last week.

We couldn't find a catalyst for why auto & truck dealership stocks are down.

Based on WallStreetZen's Valuation Score, the 3 most undervalued auto & truck dealership stocks right now are:

Rush Enterprises (NASDAQ:RUSHA) is the most undervalued auto & truck dealership stock based on WallStreetZen's Valuation Score. Rush Enterprises has a valuation score of 71, which is 49 points higher than the auto & truck dealership industry average of 22. It passed 5 out of 7 valuation due diligence checks.

Rush Enterprises's stock has gained 16.76% in the past year. It has overperformed other stocks in the auto & truck dealership industry by 28 percentage points.

Lithia Motors (NYSE:LAD) is the second most undervalued auto & truck dealership stock based on WallStreetZen's Valuation Score. Lithia Motors has a valuation score of 57, which is 35 points higher than the auto & truck dealership industry average of 22. It passed 4 out of 7 valuation due diligence checks.

Lithia Motors's stock has gained 22.12% in the past year. It has overperformed other stocks in the auto & truck dealership industry by 34 percentage points.

Kaixin Auto Holdings (NASDAQ:KXIN) is the third most undervalued auto & truck dealership stock based on WallStreetZen's Valuation Score. Kaixin Auto Holdings has a valuation score of 43, which is 21 points higher than the auto & truck dealership industry average of 22. It passed 3 out of 7 valuation due diligence checks.

Kaixin Auto Holdings's stock has dropped -76.78% in the past year. It has underperformed other stocks in the auto & truck dealership industry by -65 percentage points.