Wall Street's 3 Favorite Auto Stocks Worth Buying for 2025

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In 2024, the U.S. auto industry found itself at a crossroads, with affordability taking center stage as consumers tightened their belts. With high interest rates and elevated vehicle prices straining ...

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With high interest rates and elevated vehicle prices straining ...</p>\n\n<a href=\"https://finance.yahoo.com/news/wall-streets-3-favorite-auto-152100145.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Wall Street's 3 Favorite Auto Stocks Worth Buying for 2025</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWall Street's 3 Favorite Auto Stocks Worth Buying for 2025\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-16 23:21 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/wall-streets-3-favorite-auto-152100145.html><strong>Zacks</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>In 2024, the U.S. auto industry found itself at a crossroads, with affordability taking center stage as consumers tightened their belts. With high interest rates and elevated vehicle prices straining ...</p>\n\n<a href=\"https://finance.yahoo.com/news/wall-streets-3-favorite-auto-152100145.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"DORM","symbol_name":"Dorman Products","start_time":0,"source_url":"https://finance.yahoo.com/news/wall-streets-3-favorite-auto-152100145.html","article_id":"2492612869","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/QRvas3TIn5vUlYvbpJEGew--~B/aD0zODE7dz02MjA7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/zacks.com/48e231fa433f6d26219a41f8a6cc6f19"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2492612869","pubTimestamp":1734362460,"columns":[],"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"In 2024, the U.S. auto industry found itself at a crossroads, with affordability taking center stage as consumers tightened their belts. With high interest rates and elevated vehicle prices straining consumers' wallets, demand for new vehicles softened. In the third quarter, new vehicle sales in the United States fell 2% year over year, the second straight quarterly decline. Production forecasts for North American light vehicles were adjusted downward, from 15.8 million units to 15.5 million, reflecting delayed launches and deliberate production cuts as automakers sought to control inventories.Forecasts for the year’s total sales told a similar story of moderation. S&P Global Mobility trimmed its 2024 estimate to 15.9 million vehicles, while Cox Automotive landed at 15.7 million. These numbers highlight how price sensitivity overshadowed the excitement of fresh models, especially as auto loan delinquencies climbed, putting more pressure on households.","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"DORM":"Dorman Products","LU0566484027.USD":"安本美国小盘成长股","WPRT":"西港燃料","BK4149":"建筑机械与重型卡车","LU1559883803.SGD":"Aberdeen Standard SICAV I - North American Smaller Companies Fund A Acc SGD-H","BK4124":"机动车零配件与设备","BLBD":"Blue Bird Corp"},"translate_title":"华尔街最受欢迎的2025年值得购买的3只汽车股","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BLBD":1,"DORM":1,"WPRT":0.9},"content_text":"In 2024, the U.S. auto industry found itself at a crossroads, with affordability taking center stage as consumers tightened their belts. With high interest rates and elevated vehicle prices straining consumers' wallets, demand for new vehicles softened. In the third quarter, new vehicle sales in the United States fell 2% year over year, the second straight quarterly decline. Production forecasts for North American light vehicles were adjusted downward, from 15.8 million units to 15.5 million, reflecting delayed launches and deliberate production cuts as automakers sought to control inventories.\nForecasts for the year’s total sales told a similar story of moderation. S&P Global Mobility trimmed its 2024 estimate to 15.9 million vehicles, while Cox Automotive landed at 15.7 million. These numbers highlight how price sensitivity overshadowed the excitement of fresh models, especially as auto loan delinquencies climbed, putting more pressure on households.\nLooking ahead, 2025 isn’t set to get much easier. Affordability is likely to remain a hot topic, with proposed tariffs under a possible Trump administration threatening to drive vehicle prices even higher, particularly for imports, adding to the cost burden on buyers. On top of that, the potential expiration of the federal electric vehicle tax credit ($7,500 for new EVs and $4,000 for used ones) could further challenge EV adoption—at a time when affordability is already curbing broader demand for these vehicles.\nStill, there’s a potential silver lining. With interest rates lowering, consumers might find a little more breathing room, creating opportunities for premium vehicles to regain traction among buyers seeking more affordable monthly payments. Yet, much depends on the timing and scale of policy decisions, including tariff implementations, which could ripple through pricing and automakers' supply chains.\nAs the auto market navigates these challenges, uncertainty will remain the name of the game in 2025. For investors interested in the auto space, aligning with Wall Street’s broker-recommended picks—companies carefully evaluated against economic and market trends—could offer a strategic way to navigate any twists and turns ahead.\nTop 3 Wall-Street Recommended Auto Picks\nThree auto stocks have been shortlisted with the help of the Zacks Stock Screener. These are Blue Bird Corporation BLBD, Dorman Products DORM and Westport Fuel Systems Inc. WPRT. These stocks have a Zacks Rank #1 (Strong Buy) or 2 (Buy). More than 70% of brokers are bullish on these stocks, with Average Broker Recommendation of 2 or less on a scale of 1 to 5 (Strong Buy to Strong Sell).\nYou can see the complete list of today’s Zacks #1 Rank stocks here.\nBlue Bird Corporation \nThis century-old school bus manufacturer has successfully expanded into alternative fuels and EV technologies. The company is well-positioned to benefit from the rising demand for electric school buses. Alongside battery-electric models, Blue Bird offers gasoline and propane buses, with propane recognized for its ultra-low emissions. Blue Bird’s focus on improving operations, boosting production efficiency and increasing new orders has driven strong results. BLBD posted record results in fiscal 2024 and raised its full-year profit and sales forecast for fiscal 2025. With a backlog of 4,800 units, including nearly 630 electric buses, and initiatives like EV upgrades and quality improvements, Blue Bird continues to capitalize on robust market demand. BLBD currently sports a Zacks Rank #1 and has a VGM Score of A.\nThe Zacks Consensus Estimate for Blue Bird’s fiscal 2025 sales and earnings implies year-over-year growth of 11% and 12%, respectively. The consensus mark for fiscal 2025 EPS has moved north by 2 cents over the past 30 days. Seven of the eight brokers covering BLBD stock have Strong Buy/Buy recommendations, giving the company an attractive ABR of 1.38. The Wall Street average price target of $56.44/share suggests a nearly 30% upside for the stock from the current levels.\n\nImage Source: Zacks Investment Research\nDorman Products\nDorman is a key player in the motor vehicle aftermarket industry, focusing on replacement and upgrade parts. It consistently broadens its product offerings, adding hundreds of new direct replacement parts and assemblies designed to meet or exceed original equipment performance. The rising age of vehicles has become a key growth driver, as older cars necessitate ongoing investments to maintain safety and functionality. The acquisition of Super ATV has bolstered the company's overall prospects, supported by a strong balance sheet, a debt-to-capitalization ratio of 28% (compared to the industry average of 56%) and ample liquidity. Investor-friendly moves via share buybacks further instill confidence. DORM currently sports a Zacks Rank #1 and a VGM Score of B.\nThe company surpassed earnings estimates in each of the trailing four quarters, the average surprise being 35%. The Zacks Consensus Estimate for Dorman’s 2025 sales and earnings implies year-over-year growth of 4% and 9%, respectively. The consensus mark for 2025 EPS has moved north by 88 cents over the past 60 days. Three of the four brokers covering DORM stock have a Strong Buy recommendation, giving the company an attractive ABR of 1.5.\nImage Source: Zacks Investment Research\nWestport Fuel Systems \nWestport’s portfolio of eco-friendly products positions it to benefit from global climate change mandates. Its proprietary HPDI fuel system offers a competitive edge as the transition to green transportation accelerates, with the company anticipating HPDI volumes to become a major revenue driver. The launch of Cespira underscores its commitment to advancing the commercialization and adoption of its HPDI technology for long-haul and off-road applications.The low debt level of the natural gas fuel tech company is another positive. Westport's total debt-to-capital ratio stands at 0.21, lower than that of the auto sector’s 0.56. WPRT currently carries a Zacks Rank #2 and has a VGM Score of B.\nThe Zacks Consensus Estimate for Westport’s 2025 bottom line implies a year-over-year improvement of 10%. The consensus mark for 2025 loss per share has narrowed by 5 cents over the past 30 days. Five of the seven brokers covering WPRT stock have Strong Buy/Buy recommendations, giving the company an attractive ABR of 1.71. The Wall Street average price target of $13.25/share suggests a nearly 220% upside for the stock from the current levels.\nImage Source: Zacks Investment Research\nWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report\nWestport Fuel Systems Inc. (WPRT) : Free Stock Analysis Report\nDorman Products, Inc. (DORM) : Free Stock Analysis Report\nBlue Bird Corporation (BLBD) : Free Stock Analysis Report\nTo read this article on Zacks.com click here.\nZacks Investment Research","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2492612869"}