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 Dana Inc (NYSE:DAN) 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 modern commercial vehicle on the road, its engine powered by the company’s drive system.
Dana Inc (NYSE:DAN)
Number of Hedge Fund Holders In Q3 2024: 24
Dana Inc (NYSE:DAN) is a drivetrain and e-propulsion systems company.
The stock is up significantly so far in 2025. It announced an increased cost reduction target to $300 million through 2026, up from the previous $200 million target.
Furthermore, it reported a preliminary 2024 adjusted EBITDA of $885 million with an improved margin of 8.6%. This is up from 8% in 2023 and provided optimistic guidance for this year, with adjusted EBITDA expected at $925-$1,025 million and an implied 10% margin at the midpoint.
Also, it announced plans to sell its Off-Highway business segment. This could reduce debt by a significant amount.
The consensus price target of $18.86 implies 15.58% upside.
DAN stock is up 41.26% year-to-date.
Overall, DAN ranks 1st on our list of automotive stocks that are skyrocketing so far in 2025. While we acknowledge the potential of DAN 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 DAN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
