Rush Enterprises A (RUSHA)
NASDAQ:RUSHA
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Rush Enterprises A
(NASDAQ:RUSHA)
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Rating:66Neutral
Price Target:
$72.00
▲(2.56% Upside)
Action:DowngradedDate:03/25/26
The score is driven primarily by solid financial quality supported by strong 2025 cash generation and improving leverage, tempered by multi-year margin/return compression and softer revenue. Near-term technical signals are neutral-to-weak (negative MACD, neutral RSI). Valuation is reasonable (mid-teens P/E with a modest yield), and the earnings call added moderate support with guidance for a 2026 demand recovery despite a weak Q1 outlook and ongoing industry headwinds.
Positive Factors
Strong cash generation
A step-up to roughly $862M in operating cash flow and materially stronger FCF in 2025 meaningfully improves financial flexibility. Durable cash generation supports buybacks, dividends and reinvestment, reduces reliance on external financing and cushions the business through cyclical sales troughs.
Negative Factors
Revenue and margin compression
Multi-year softening in revenue and compressed margins have reduced profitability and returns (ROE down). Weaker operating leverage makes it harder to fund growth and maintain historic returns; sustained compression would pressure cash conversion and long-term capital allocation flexibility.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
A step-up to roughly $862M in operating cash flow and materially stronger FCF in 2025 meaningfully improves financial flexibility. Durable cash generation supports buybacks, dividends and reinvestment, reduces reliance on external financing and cushions the business through cyclical sales troughs.
Read all positive factors
Rush Enterprises A (RUSHA) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$5.41B
Dividend Yield1.32%
Average Volume (3M)684.05K
Price to Earnings (P/E)16.2
Beta (1Y)0.85
Revenue Growth-1.95%
EPS Growth-10.89%
CountryUS
Employees7,827
SectorConsumer Cyclical
Sector Strength84
IndustryAuto - Dealerships
Share Statistics
EPS (TTM)0.81
Shares Outstanding60,503,265
10 Day Avg. Volume734,276
30 Day Avg. Volume684,052
Financial Highlights & Ratios
PEG Ratio-1.29
Price to Book (P/B)1.92
Price to Sales (P/S)0.57
P/FCF Ratio7.38
Enterprise Value/Market Cap1.25
Enterprise Value/Revenue0.91
Enterprise Value/Gross Profit4.67
Enterprise Value/Ebitda12.18
Forecast
1Y Price Target
$78.67Price Target Upside12.07% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering3
EPS Forecast (FY)3.72
Revenue Forecast (FY)$7.52B
Rush Enterprises A Business Overview & Revenue Model
Company Description
Rush Enterprises, Inc., through its subsidiaries, operates as an integrated retailer of commercial vehicles and related services in the United States. The company operates a network of commercial vehicle dealerships under the Rush Truck Centers na...
How the Company Makes Money
Rush Enterprises generates revenue primarily through multiple dealership-related streams: (1) New and used truck sales: It sells new commercial vehicles (including heavy-duty trucks) and used trucks through its dealership network, earning gross pr...
Rush Enterprises A Earnings Call Summary
Earnings Call Date:Feb 17, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 28, 2026
Earnings Call Sentiment Positive
The call conveyed a cautiously optimistic tone: the company showed resilience with solid full-year revenue and earnings, disciplined capital returns (large buybacks and higher dividends), maintained aftermarket margins, network expansion, and investments in mobile service. These positive items were balanced by meaningful industry headwinds — soft Class 8 demand for much of 2025, seasonal and weather-driven pressures in Q1, a decline in absorption in Q4, medium-duty market weakness, technician staffing pressures, and potential supply-chain/pricing risks as the industry prepares for 2027 emissions. Management is constructive about order activity improving and expects the market to recover through 2026, but warned the first quarter will be weak and highlighted timing and supply risks for later in the year.Positive Updates
Strong Full-Year Financial Results
Fiscal 2025 revenue of $7.4 billion and net income of $263.8 million (diluted EPS $3.27). Q4 2025 revenue of $1.8 billion and Q4 net income of $64.3 million (diluted EPS $0.81).
Negative Updates
Industry Demand Headwinds
2025 was marked by pressure on freight rates, excess capacity, and uncertainty around trade policy and EPA emissions rules, which negatively impacted new truck demand, particularly in the over-the-road Class 8 segment.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong Full-Year Financial Results
Fiscal 2025 revenue of $7.4 billion and net income of $263.8 million (diluted EPS $3.27). Q4 2025 revenue of $1.8 billion and Q4 net income of $64.3 million (diluted EPS $0.81).
Read all positive updates
Company Guidance
The company guided that 2026 should see a trough in Q1 for Class 8 retail sales with improvement into Q2 and the back half as fleet ages drive replacement demand and parts & service activity; ACT forecasts U.S. Class 8 retail sales of 111,300 units and U.S. Class 4–7 retail sales of 218,225 units in 2026. For context, Rush reported 2025 revenues of $7.4 billion, net income of $263.8 million ($3.27 diluted EPS) and Q4 revenues of $1.8 billion with Q4 net income of $64.3 million ($0.81); full-year aftermarket and collision revenues were $2.5 billion (Q4 aftermarket $625.2 million) with annual absorption at 130.7% (Q4 129.3%), blended parts & service margins near 37%, 12,432 new U.S. Class 8 sales (5.8% U.S. share) and 338 in Canada (1.4%), 12,285 U.S. Class 4–7 sales (5.7% share) vs. a 2025 market of 217,412 units (down 15.6% YoY), 6,977 used trucks sold (down 1.9%), leasing & rental revenue of $369.6 million (+4.1%), $193.5 million of share repurchases in 2025 and a new $150 million buyback authorization through 12/31/2026, $58 million returned via dividends (+5.6% YoY) and a $0.19/share cash dividend; management said it expects only a modest parts-cost/inflation headwind, plans to keep G&A close to flat (S expense is variable with truck sales), will reinvest roughly half of any parts & service gross profit growth, and cautioned that Q1 comparisons are affected by seasonal payroll and equity-cost timing.Rush Enterprises A Financial Statement Overview
Summary
Income Statement
66
Positive
Balance Sheet
71
Positive
Cash Flow
78
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 7.43B | 7.80B | 7.93B | 7.10B | 5.13B |
| Gross Profit | 1.39B | 1.53B | 1.59B | 1.49B | 1.09B |
| EBITDA | 463.24M | 705.94M | 736.90M | 702.81M | 477.10M |
| Net Income | 263.78M | 304.15M | 347.06M | 391.38M | 241.41M |
Balance Sheet | |||||
| Total Assets | 4.43B | 4.62B | 4.36B | 3.82B | 3.12B |
| Cash, Cash Equivalents and Short-Term Investments | 212.65M | 228.13M | 183.72M | 201.04M | 148.15M |
| Total Debt | 1.55B | 1.73B | 1.81B | 1.44B | 1.15B |
| Total Liabilities | 2.20B | 2.46B | 2.47B | 2.06B | 1.65B |
| Stockholders Equity | 2.20B | 2.14B | 1.87B | 1.74B | 1.47B |
Cash Flow | |||||
| Free Cash Flow | 573.25M | 186.50M | -73.17M | 51.34M | 255.17M |
| Operating Cash Flow | 973.09M | 619.55M | 295.71M | 294.40M | 422.35M |
| Investing Cash Flow | -417.11M | -445.58M | -387.03M | -240.93M | -432.90M |
| Financing Cash Flow | -571.60M | -129.32M | 73.96M | -690.00K | -153.34M |
Rush Enterprises A Technical Analysis
Positive
70.20
Price Trends
67.79
Positive
61.58
Positive
57.47
Positive
Market Momentum
0.21
Negative
64.37
Neutral
80.91
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RUSHA, the sentiment is Positive. The current price of 70.2 is above the 20-day moving average (MA) of 65.04, above the 50-day MA of 67.79, and above the 200-day MA of 57.47, indicating a bullish trend. The MACD of 0.21 indicates Negative momentum. The RSI at 64.37 is Neutral, neither overbought nor oversold. The STOCH value of 80.91 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RUSHA.
Rush Enterprises A Risk Analysis
Rush Enterprises A disclosed 26 risk factors in its most recent earnings report. Rush Enterprises A reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Rush Enterprises A Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | $5.41B | 16.18 | 12.07% | 1.26% | -1.95% | -10.89% | |
66 Neutral | $5.41B | 16.18 | 12.07% | 1.32% | -1.95% | -10.89% | |
62 Neutral | $3.87B | 9.17 | 9.29% | ― | 8.07% | 60.95% | |
62 Neutral | $3.97B | 15.78 | 10.85% | 0.49% | 19.45% | -24.27% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
58 Neutral | $6.83B | 12.12 | 26.70% | ― | 6.06% | -1.71% | |
56 Neutral | $2.21B | 11.15 | 11.15% | 2.27% | 9.09% | -33.59% |
* Consumer Cyclical Sector Average
RUSHA
Rush Enterprises A
70.20
17.70
33.72%
ABG
Asbury
200.68
-32.53
-13.95%
AN
AutoNation
196.91
23.60
13.62%
GPI
Group 1 Automotive
332.63
-82.15
-19.81%
SAH
Sonic Automotive
65.96
5.11
8.40%
RUSHB
Rush Enterprises B
70.72
14.05
24.78%
Rush Enterprises A Corporate Events
Business Operations and StrategyExecutive/Board Changes
Rush Enterprises Appoints Jody Pollard as New COO
Positive
Mar 24, 2026
On March 23, 2026, Rush Enterprises, Inc., the premier solutions provider to the commercial vehicle industry and operator of the Rush Truck Centers dealership network, announced a leadership transition with the appointment of longtime executive Jo...
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and Compliance
Rush Enterprises Announces COO Resignation and Leadership Transition
Neutral
Mar 19, 2026
On March 18, 2026, Rush Enterprises, Inc. announced that Chief Operating Officer Jason Wilder had resigned to pursue other opportunities, with the company stating his departure did not stem from any disagreement over operations, policies or practi...
Business Operations and StrategyExecutive/Board Changes
Rush Enterprises Approves 2025 Executive Bonuses and Equity Awards
Positive
Mar 5, 2026
On March 4, 2026, Rush Enterprises’ board, acting on the recommendation of its Compensation and Human Capital Committee, approved substantial 2025 performance-based cash bonuses for top executives, including $3,508,150 for President, CEO and...
Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
Rush Enterprises Posts Lower 2025 Results, Maintains Dividend
Negative
Feb 17, 2026
Rush Enterprises, Inc., which runs North America’s largest commercial vehicle dealership network focused on trucks, buses and aftermarket services, reported 2025 revenues of $7.4 billion and net income of $263.8 million, or $3.27 per diluted...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.