In this article, we are going to look at the 5 Best Car Stocks to Buy in 2026. For a longer list and more details on how we picked these stocks, you can go to 10 Best Car Stocks to Buy in 2026.
5. Ferrari N.V. (NYSE:RACE)
Ferrari N.V. (NYSE:RACE) is one of the best car stocks to buy in 2026. On March 30, JPMorgan analyst Jose Asumendi maintained an Overweight rating on Ferrari N.V. (NYSE:RACE) and gave a positive outlook for the company’s Q1 performance.
The analyst said the upcoming results and cash flow data are expected to support the company’s full-year guidance. JPMorgan forecasts low year-on-year revenue growth driven by price mix, which is expected to offset a modest volume decline in the quarter.
The research firm also believes Ferrari N.V. (NYSE:RACE) will maintain the same EBIT and EBITDA levels year-on-year, supported by strict cost control and disciplined product changeover.
Earlier, on March 19, Evercore ISI reiterated its Outperform rating on Ferrari N.V. (NYSE:RACE) with a price target of $475 on the stock. The firm said the company will likely lower expectations for the first half of the year and offer clarity on how the Middle East conflict might affect 2026 results if it continues into the second half of the year.
Evercore ISI also noted that Ferrari N.V. (NYSE:RACE) usually builds enough cushion to surpass its initial revenue guidance by about 5%. The firm also pointed out that the company does not usually raise its guidance during its Q1 earnings call.
Ferrari N.V. (NYSE:RACE) is an Italian luxury sports car manufacturer that designs, produces, and sells high-performance supercars.
4. Rivian Automotive, Inc. (NASDAQ:RIVN)
Rivian Automotive, Inc. (NASDAQ:RIVN) is one of the best car stocks to buy in 2026. On March 30, Cantor Fitzgerald reiterated its Neutral rating on Rivian Automotive, Inc. (NASDAQ:RIVN) after the company’s recent funding announcement.
The company secured an additional $1 billion investment from Volkswagen following the completion of winter testing. This funding includes about $750 million in equity and $250 million in either additional equity or convertible debt. This funding is part of Volkswagen’s total commitment of around $5.8 billion to Rivian Automotive, Inc. (NASDAQ:RIVN). Additional payments from Volkswagen to Rivian Automotive, Inc. (NASDAQ:RIVN) are tied to future milestones.
Earlier, on March 19, Morgan Stanley also maintained its Underweight rating on Rivian Automotive, Inc. (NASDAQ:RIVN) with a price target of $12 after the company announced a robotaxi partnership with Uber Technologies, Inc. (NYSE:UBER).
Under the partnership, Uber Technologies, Inc. (UBER) will invest up to $1.25 billion in Rivian Automotive, Inc. (NASDAQ:RIVN) and deploy 50,000 fully autonomous R2 robotaxis.
Morgan Stanley analyst Andrew Percoco sees this deal as a positive step for Rivian Automotive, Inc.’s (NASDAQ:RIVN) autonomy platform. The analyst also said this provides extra funding as the company moves toward profitability.
Rivian Automotive, Inc. (NASDAQ:RIVN) is an American electric vehicle (EV) company that designs, develops, builds, and sells EVs while also offering software and services that address the entire lifecycle of EVs.
3. Ford Motor Company (NYSE:F)
Ford Motor Company (NYSE:F) is one of the best car stocks to buy in 2026. On March 24, Reuters reported that Ford Motor Company (NYSE:F) is recalling 254,640 SUVs in the United States due to an unexpected reset of an image processing software. The US National Highway Traffic Safety Administration (NHTSA) said the software problem could cause loss of the rearview camera image and some advanced driver assistance (ADAS) features, such as pre-collision assist, lane-keeping assist, and blind-spot monitoring.
The NHTSA said the recall includes Lincoln Navigator, Lincoln Nautilus, Lincoln Aviator and Ford Explorer SUVs. According to the NHTSA, the software will be updated either through a dealer or by Ford Motor Company (NYSE:F) through an over-the-air update.
In other news, on March 5, Ford Motor Company (NYSE:F) reported its vehicle sales in February. The company sold a total of 149,962 vehicles. Ford Motor Company (NYSE:F) reported that sales of large SUVs, specifically the new Expedition, Explorer, and Bronco, reached 38,204 units in February, rising 30.4% and marking the best start for these models since 2000.
Ford Motor Company (NYSE:F) is an American multinational automotive manufacturer. Through its Ford and Lincoln brands, the company designs and manufactures a variety of vehicles, including cars, trucks, SUVs, and commercial vans.
2. General Motors Company (NYSE:GM)
General Motors Company (NYSE:GM) is one of the best car stocks to buy in 2026. On March 25, Wolfe Research upgraded its rating on General Motors Company (NYSE:GM) from Peer Perform to Outperform. The firm said that the recent market sell-off has created attractive buying opportunities in parts of the auto industry.
Wolfe Research noted that “auto stocks often are among the main targets when macro concerns escalate.” However, the research firm added that history shows such periods “can also present interesting buying opportunities.”
Over the past three weeks, the average auto stock has dropped about 8%. Wolfe Research pointed out that after updating its expectations for production and commodity trends, “the risk/reward profile now appears more attractive for select names.”
The research firm said that investors may be “underappreciating the magnitude of potential tailwinds into 2027” for General Motors Company (NYSE:GM). These include a new full-size pickup expected to bring in around $1.7 billion, lower warranty costs, reduced tariff costs, and “further improved EV losses.” Wolfe Research now forecasts earnings per share of $12.37 in 2026 and $16.03 in 2027 for General Motors Company (NYSE:GM).
General Motors Company (NYSE:GM) is an American multinational automotive manufacturing company that is widely known for its Chevrolet, Buick, GMC, and Cadillac brands.
1. Tesla, Inc. (NASDAQ:TSLA)
Tesla, Inc. (NASDAQ:TSLA) is one of the best car stocks to buy in 2026. On March 30, GLJ Research reiterated its Sell rating on Tesla, Inc. (NASDAQ:TSLA) with a price target of $24.86 on the stock. Analyst Gordon Johnson also shared the firm’s final estimate for the company’s deliveries for the first quarter of 2026.
GLJ Research forecasts Tesla, Inc. (NASDAQ:TSLA) will deliver 368,478 vehicles in Q1 2026, which is 0.8% more than the Wall Street consensus of 365,645 and also 5.7% higher than the firm’s own March 13 estimate of 348,714.
Despite the above-consensus delivery forecast, GLJ Research has maintained its sell rating on the stock. The research firm noted that Tesla, Inc.’s (NASDAQ:TSLA) automotive deliveries represent a decline of 25.9% compared to the peak quarterly deliveries of 497,099 units in the third quarter of 2025.
GLJ Research also said the expected growth in volume is not driven by organic demand but instead it is driven by margin-dilutive subsidy arbitrage in Korea and a weak comparison base from Q1 2025, when Tesla, Inc. (NASDAQ:TSLA) delivered 336,681 units.
Tesla, Inc. (NASDAQ:TSLA) is an American multinational clean energy and electric vehicle (EV) company that specializes in EVs, battery energy storage devices, solar panels, and related products and services.
While we acknowledge the potential of TSLA to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TSLA and that has 100x upside potential, check out our report about the cheapest AI stock.
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Disclosure: None.
