At the moment, the concept of acquiring auto stocks might seem counterproductive. After all, the consumer economy is struggling under the weight of inflation and high borrowing costs. Also, the labor market appears to be softening somewhat, leading to concerns of overall viability. Nevertheless, the industry – particularly entities within the legacy framework – may offer surprisingly positive results for stakeholders.

Part of the enthusiasm comes down to the political realm. Right now, we’re in the middle of yet another contentious election cycle. It’s a race that’s difficult to call. Former President Donald Trump enjoys robust support from his base but is essentially hated outside of it. And frankly, we just don’t know much about Vice President Kamala Harris, who was thrust into the limelight.

However, a Trump administration would likely entail a rolling back of President Joe Biden’s green initiatives. That includes efforts to bolster the electric vehicle industry. Cynically, that might give auto stocks breathing room. With that, bold investors should look to these auto stocks for potential rewards.

Toyota (TM)

As one of the biggest automakers in the world, Toyota (NYSE:TM) truly needs no introduction. Fundamentally, TM may among the most compelling auto stocks to buy thanks to the underlying popularity of hybrid vehicles. As a Reuters report mentioned recently, the company has been benefiting from sales of its hybrids, which offer a best-of-both-worlds approach. Still, some concerns exist.

Namely, analysts pointed to growing evidence of a slowdown in momentum. It’s difficult to disagree. While Toyota has witnessed robust demand in the U.S. and European markets, declines at home and in China have clouded the overall picture. Still, it’s not entirely clear that consumers are decisively jumping onboard EVs. If that were the case, we probably wouldn’t be seeing an EV sector price war.

By focusing on hybrids, consumers enjoy the efficiencies of the platform while still benefiting from vast public infrastructure. After all, hybrids still run on hydrocarbons. Given the possibility of favorable political dynamics, I’m inclined to believe that the correction in TM is an opportunity to pick up one of the best auto stocks for cheap.

Ferrari (RACE)

Occupying the other extreme in the income spectrum, Ferrari (NYSE:RACE) deserves special consideration for those seeking auto stocks. An iconic manufacturer of exotic sportscars, Ferrari is a brand synonymous with luxury and quite frankly elitism. Indeed, you don’t just walk into a Prancing Horse dealership; rather, the dealership allows you to walk in. It’s a different mentality altogether.

Fundamentally, such a highbrow attitude has its merits, especially as an investment vehicle. Those who are in a position to buy Ferraris – actually, those who are qualified to do so – aren’t making wages like regular people. Instead, they’re multimillionaires, if not billionaires. Therefore, the brand enjoys a level of economic insulation that other auto stocks lack.

Of course, neither the underlying product nor the equity comes cheap. For the latter, RACE stock trades at 11.18X trailing-year sales. In the prior year, the metric was 10.33X.

Still, analysts anticipate steady growth. By the end of fiscal 2025, sales might land at $7.62 billion. In 2023, the company posted revenue of $6.37 billion. Yes, the premium is hot but it’s also a dependable entity.

Stellantis (STLA)

One of the riskiest ideas among auto stocks, extreme contrarians may nevertheless want to take a look at Stellantis (NYSE:STLA). Primarily, the company owns several popular brands under its belt, including American classics like Chrysler, Dodge and Jeep. It also owns luxury brands such as Alfa Romeo and Maserati, giving the enterprise a wide breadth.

However, I’m particularly interested in seeing if the Dodge Charger – the electric-powered version – can generate momentum. Obviously, it’s a bit difficult to gauge right now due to the challenges facing all EVs. Nevertheless, if these broader headwinds fade, the e-Charger (which is the world’s only electric muscle car) could be an attractive opportunity for gearheads, a marriage between a traditional ethos and modern underpinnings.

Right now, STLA stock trades hands for 0.27X sales. That’s cheap – and some might say too cheap. By year’s end, sales might dip 8% to $187.77 billion. However, in 2025, revenue might hit $196.07 billion. Also, the high-side estimate calls for $211.53 billion, above last year’s haul of $204.16 billion.

For the intrepid contrarian, STLA could rank among the auto stocks to gamble on.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.