The car rental industry is poised to witness growth due to a surge in pent-up travel demand after the pandemic, with the summer travel season expected to be a significant driver for this positive trend. Hence, fundamentally sound stock Asbury Automotive Group, Inc. (ABG) could be a solid buy.
However, prevailing macroeconomic conditions create uncertainty around the industry's prospects. Thus it could be wise to steer clear of fundamentally weak stocks America's Car-Mart, Inc. (CRMT) and Kaixin Auto Holdings (KXIN).
