We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
What to Expect in 2017 After Poor January Auto Sales Numbers
Read MoreHide Full Article
Unites States’ January auto sales have experienced a 3% decline amid an unusually strong December. December 2016 produced record numbers, with sales increasing to 17.55 million vehicles, taking away a strong start to January 2017. However, it is important to note that, as a rule, January is seen as the weakest month of the year when considering auto sales volume.
General Motors Company (GM - Free Report) , Ford Motor Company (F - Free Report) , and Fiat Chrysler Auto are known as “The Big Three” in the U.S. auto industry. From the three, General Motors sells the most vehicles and they all experienced decreased sales volume last month.
General Motors holds a Zacks Rank #2 (Buy). To begin 2017, the company’s sales fell by 3.8% to 195,909 vehicles sold. Of that, retail sales declined by 4.9%.
Ford, a Zacks Rank #3 (Hold) stock, saw sales decrease by 0.7% to 171,186 vehicles. Retail sales were up by 6%; however, fleet sales were down by 13%.
Fiat Chrysler, which is a Zacks Rank #3 (Hold), experienced a sales decline of 11% to 152,218 light vehicles. For them, fleet sales took a huge hit of 31% as they are attempting to cut back their daily rental segment.
Auto Sales Looking Ahead
Analysts say not to put too much pressure on January auto sales news because this is usually the worst month of the year. Once the weather warms, analysts expect sales to come in at record high levels due to strong consumer confidence.
Additionally, President Donald Trump’s rhetoric on corporate tax cuts and U.S. infrastructure spending looks to increase auto sales for 2017. With projects he is said to implement, a demand for vehicles will increase and sales will better.
Don’t fret with this past month’s sales numbers. Looking ahead, 2017 auto sales are projected to do well with attractive deals on new cars and low gas prices.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017?
Who wouldn't? As of early December, the 2016 Top 10 produced 5 double-digit winners including oil and natural gas giant Pioneer Natural Resources which racked up a stellar +50% gain. The new list is painstakingly hand-picked from 4,400 companies covered by the Zacks Rank. Be among the very first to see it>>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
What to Expect in 2017 After Poor January Auto Sales Numbers
Unites States’ January auto sales have experienced a 3% decline amid an unusually strong December. December 2016 produced record numbers, with sales increasing to 17.55 million vehicles, taking away a strong start to January 2017. However, it is important to note that, as a rule, January is seen as the weakest month of the year when considering auto sales volume.
General Motors Company (GM - Free Report) , Ford Motor Company (F - Free Report) , and Fiat Chrysler Auto are known as “The Big Three” in the U.S. auto industry. From the three, General Motors sells the most vehicles and they all experienced decreased sales volume last month.
General Motors holds a Zacks Rank #2 (Buy). To begin 2017, the company’s sales fell by 3.8% to 195,909 vehicles sold. Of that, retail sales declined by 4.9%.
Ford, a Zacks Rank #3 (Hold) stock, saw sales decrease by 0.7% to 171,186 vehicles. Retail sales were up by 6%; however, fleet sales were down by 13%.
Fiat Chrysler, which is a Zacks Rank #3 (Hold), experienced a sales decline of 11% to 152,218 light vehicles. For them, fleet sales took a huge hit of 31% as they are attempting to cut back their daily rental segment.
Auto Sales Looking Ahead
Analysts say not to put too much pressure on January auto sales news because this is usually the worst month of the year. Once the weather warms, analysts expect sales to come in at record high levels due to strong consumer confidence.
Additionally, President Donald Trump’s rhetoric on corporate tax cuts and U.S. infrastructure spending looks to increase auto sales for 2017. With projects he is said to implement, a demand for vehicles will increase and sales will better.
Don’t fret with this past month’s sales numbers. Looking ahead, 2017 auto sales are projected to do well with attractive deals on new cars and low gas prices.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017?
Who wouldn't? As of early December, the 2016 Top 10 produced 5 double-digit winners including oil and natural gas giant Pioneer Natural Resources which racked up a stellar +50% gain. The new list is painstakingly hand-picked from 4,400 companies covered by the Zacks Rank. Be among the very first to see it>>