We recently published a list of Why These 15 Automotive Stocks Have Been Plunging In 2025. In this article, we are going to take a look at where Miller Industries, Inc. (NYSE:MLR) stands against other automotive stocks that have been plunging in 2025.
Automotive stocks have been among the worst-performing names in the past few months, and even before that, if you exclude Tesla from the list. Donald Trump’s election caused panic among electric vehicle startups, and his tariff policies caused that panic and uncertainty to spread among traditional automakers.
Meanwhile, inflationary pressures and rising interest rates have dampened consumer demand for big-ticket purchases like vehicles. The recent inflation read is a step in the right direction and can eventually help bring rates lower, but the automotive sector is unlikely to pull off a big recovery anytime soon.
Methodology
For this article, I screened the worst-performing automotive stocks year-to-date.
I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds pile into? 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A worker in a protective mask welding a tow bar on a transport trailer in a factory.
Miller Industries, Inc. (NYSE:MLR)
Number of Hedge Fund Holders In Q4 2024: 14
Miller Industries, Inc. (NYSE:MLR) is a company that sells towing and recovery equipment, including wreckers, car carriers, and transport trailers.
The stock is down significantly so far in 2025 due to a disappointing Q4 2024 report and weak 2025 guidance.
Miller Industries (NYSE:MLR) reported Q4 2024 earnings that fell significantly short of analyst expectations. Revenue declined 25.1% year-over-year to $221.91 million and missed the consensus estimate of $294.3 million. The revenue drop was attributed to a decline in chassis shipments due to inconsistent delivery schedules from OEMs during Q4 2023
EPS came in at $0.91 and missed the $1.21 forecast. Gross margin improved slightly to 15.1%, but this did not offset the negative sentiment surrounding the results.
The company also issued weak guidance for 2025. It forecasts revenue between $950 million and $1 billion and EPS between $2.90 and $3.20. This is far below consensus estimates of $1.41 billion in revenue and $5.94 EPS.
The consensus price target of $82 implies 79.25% upside.
MLR stock is down 29.07% year-to-date.
Overall, MLR ranks 13th on our list of automotive stocks that have been plunging in 2025. While we acknowledge the potential of MLR 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 MLR 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.
