Rush Enterprises B (RUSHB)
NASDAQ:RUSHB
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Rush Enterprises B
(NASDAQ:RUSHB)
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Rating:72Outperform
Price Target:
$74.00
▲(28.67% Upside)
Action:UpgradedDate:02/25/26
The score is driven primarily by stable overall fundamentals with improved leverage and a sharp 2025 cash flow rebound, tempered by recent revenue declines and margin compression. Technicals add support with a clear uptrend and positive momentum, while valuation is only average. Earnings-call commentary is cautiously positive (expected 1Q trough and stronger back half), but with meaningful operational and cycle-related risks.
Positive Factors
Aftermarket revenue and margins
A large, stable aftermarket (parts, service, collision) with high blended margins (~37%) creates recurring, less cyclic revenue and strong gross profit per repair. This durability cushions new-vehicle cyclicality, supports cash flow and cross-sell economics across the dealer network over multiple quarters.
Negative Factors
Revenue and margin erosion
Declining top-line and compressed margins reduce operating leverage and earnings resilience. For a dealership model, sustained revenue weakness and lower gross margins impair ROIC and limit ability to fund growth or returns without further margin recovery, elevating cyclical vulnerability.
Read all positive and negative factors
Positive Factors
Negative Factors
Aftermarket revenue and margins
A large, stable aftermarket (parts, service, collision) with high blended margins (~37%) creates recurring, less cyclic revenue and strong gross profit per repair. This durability cushions new-vehicle cyclicality, supports cash flow and cross-sell economics across the dealer network over multiple quarters.
Read all positive factors
Rush Enterprises B (RUSHB) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$5.41B
Dividend Yield1.26%
Average Volume (3M)34.59K
Price to Earnings (P/E)16.2
Beta (1Y)0.87
Revenue Growth-1.95%
EPS Growth-10.89%
CountryUS
Employees7,827
SectorConsumer Cyclical
Sector Strength84
IndustryAuto - Dealerships
Share Statistics
EPS (TTM)0.81
Shares Outstanding16,437,908
10 Day Avg. Volume33,451
30 Day Avg. Volume34,590
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 TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)3.72
Revenue Forecast (FY)$7.52B
Rush Enterprises B 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 B generates revenue through multiple key streams, including the sale of new and used commercial vehicles, which constitutes a significant portion of its income. The company also earns money from its service and parts departments, ...
Rush Enterprises B 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 balanced acknowledgement of a challenging 2025—soft demand, aftermarket pressure, absorption declines, seasonal/weather impacts and operational workforce constraints—with multiple positive developments: solid full-year profitability, disciplined capital returns (dividends and buybacks), network expansion, stable aftermarket revenue and margins, leasing growth, outperformance in medium-duty market share, and improving Class 8 order activity late in the year that management expects to continue. Management emphasized cash generation, cost discipline and strategic investments (mobile service, acquisitions) and expressed cautious optimism that Q1 is the trough and replacement demand will strengthen as 2026 progresses; risks remain around supply-chain timing, technician capacity, and the pace of market recovery.Positive Updates
Strong Full-Year and Quarterly Financial Results
2025 revenues of $7.4 billion and net income of $263.8 million ($3.27 per diluted share). Fourth-quarter 2025 revenues of ~$1.8 billion and net income of $64.3 million ($0.81 per diluted share).
Negative Updates
Prolonged Industry Headwinds
2025 saw freight rates under pressure, excess capacity and uncertainty around trade policy and 2027 emissions rules, which negatively impacted demand—particularly new over-the-road truck purchases—and created a more difficult aftermarket environment.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong Full-Year and Quarterly Financial Results
2025 revenues of $7.4 billion and net income of $263.8 million ($3.27 per diluted share). Fourth-quarter 2025 revenues of ~$1.8 billion and net income of $64.3 million ($0.81 per diluted share).
Read all positive updates
Company Guidance
Management’s guidance was that 1Q26 should be the trough with improvement into the back half of the year as elevated fleet ages drive replacement and aftermarket demand; ACT is forecasting 2026 U.S. Class 8 retail sales of 111,300 units and Class 4–7 retail sales of 218,225 units, and management expects parts & service to strengthen in 2Q after a soft January. Key metrics cited: FY2025 revenue $7.4B and net income $263.8M ($3.27 diluted); Q4 revenue ~$1.8B and net income $64.3M ($0.81); 2025 aftermarket & collision revenue $2.5B (Q4 $625.2M vs. $606.3M LY), blended parts & service margin ~37%, annual absorption 130.7% (vs. 132.2% in 2024) and Q4 absorption 129.3%; 2025 unit volumes included 12,432 new U.S. Class 8 trucks (5.8% U.S. share), 338 Class 8 in Canada (1.4% share), 12,285 new U.S. Class 4–7 (5.7% share), 993 Class 5–7 in Canada (6.3% share), and 6,977 used truck sales. Financial priorities: keep G&A roughly flat, reinvest roughly half of any gross profit growth, continue returning capital (repurchased $193.5M in 2025, new $150M authorization through 12/31/2026, returned $58M in dividends [+5.6%], and declared a $0.19/share dividend), while monitoring potential prebuy activity and supply-chain constraints ahead of the 2027 NOx rule.Rush Enterprises B Financial Statement Overview
Summary
Income Statement
67
Positive
Balance Sheet
70
Positive
Cash Flow
74
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 B Technical Analysis
Positive
57.51
Price Trends
63.12
Positive
59.44
Positive
57.24
Positive
Market Momentum
1.49
Negative
77.51
Negative
96.63
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RUSHB, the sentiment is Positive. The current price of 57.51 is below the 20-day moving average (MA) of 62.98, below the 50-day MA of 63.12, and above the 200-day MA of 57.24, indicating a bullish trend. The MACD of 1.49 indicates Negative momentum. The RSI at 77.51 is Negative, neither overbought nor oversold. The STOCH value of 96.63 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RUSHB.
Rush Enterprises B Risk Analysis
Rush Enterprises B disclosed 26 risk factors in its most recent earnings report. Rush Enterprises B 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 B 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
RUSHB
Rush Enterprises B
70.72
14.05
24.78%
ABG
Asbury
200.68
-32.53
-13.95%
AN
AutoNation
196.91
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13.62%
GPI
Group 1 Automotive
332.63
-82.15
-19.81%
RUSHA
Rush Enterprises A
70.20
17.70
33.72%
SAH
Sonic Automotive
65.96
5.11
8.40%
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.