We recently published a list of Why These 15 Automotive Stocks Are Skyrocketing So Far In 2025. In this article, we are going to take a look at where Asbury Automotive Group, Inc. (NYSE:ABG) stands against other automotive stocks that are skyrocketing so far in 2025.
The automotive industry is starting to shift gears this year as supply chains continue to improve and the worldwide rate-cut cycle stimulates more demand. In addition, Trump’s election is also changing things with loosened regulations helping legacy automotive companies, and tariffs helping domestic companies, though it hurts companies abroad.
Regardless, the electrification megatrend has continued, and electric vehicle shipments are projected to surge by 17% this year. Also, the European automotive sector is showing signs of recovery with a projected 2.1% growth.
The broader sector could get a lot hotter this year if macroeconomic metrics cooperate and rates come down more. Let’s take a look at the stocks that have already started to climb.
Methodology
For this article, I screened the top-performing automotive stocks year-to-date. Stocks that I have covered recently will be excluded from this list.
I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds invest in? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A customer smiling delightedly after driving away in their new car from the automotive retail shop.
Asbury Automotive Group, Inc. (NYSE:ABG)
Number of Hedge Fund Holders In Q3 2024: 30
Asbury Automotive Group, Inc. (NYSE:ABG) is an automotive retailer.
The stock is up significantly year-to-date after it reported solid Q4 2024 results, with revenue up 18% year-over-year to $4.5 billion as new vehicle sales grew 19%. Parts/service gross profit also grew 19% to $340 million.
That said, adjusted EPS declined slightly by 2% to $7.26. However, investors are still confident since there have been some operational efficiency improvements, with $42 million in cost reductions.
The consensus price target of $264 implies 12.19% downside.
ABG stock is up 23.85% year-to-date.
Overall, ABG ranks 4th on our list of automotive stocks that are skyrocketing so far in 2025. While we acknowledge the potential of ABG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame.If you are looking for an AI stock that is more promising than ABG but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap
Disclosure: None. This article is originally published at Insider Monkey.
