Even though there are valid concerns surrounding how the global chip shortage will affect automobile sales in the short term, there are still plenty of intriguing car stocks to consider adding at this time. With several long-term trends that are transforming the auto industry such as the rise of electric vehicles and pent-up demand given strong consumer savings levels and low interest rates, various auto companies are poised to generate strong earnings in 2021 and beyond. Keep in mind that the chip shortage won’t last forever, and if the highest quality car companies face selling pressure in the near term it could be a great buying opportunity.

It’s important for investors to note that many of the major car companies have focused on reducing their operational overhead as a result of the pandemic, which is something that could certainly benefit shareholders in the long term. Whether it’s undervalued automakers, auto dealers thriving amidst heavy demand, or disruptive companies that could change the industry for the better, there’s something for every investor to explore at this time. Let’s take a look at the top 3 car stocks to buy now.

General Motors (NYSE:GM)

AutoNation (NYSE:AN)

Carvana (NYSE:CVNA)