Technological advancements in auto parts fabrication and the current trend among consumers to buy used cars or fix existing cars in lieu of purchasing new vehicles is propelling the growth of the auto parts industry. Therefore, we think it could be wise to bet on fundamentally sound auto parts stocks LKQ Corporation (NASDAQ:LKQ) and The Goodyear Tire (GT). Read on.The surge in demand for auto parts, which is being propelled by a consumer preference trend to buy used cars or repair existing cars rather than shell-out on new vehicles, technological advancements in auto parts fabrication, and the strengthening of digital sales outlets, is powering the growth of the auto parts industry. The auto parts market is expected to reach $299.98 billion by 2025, registering a 2.99% CAGR.
High-quality automotive parts replacements often offer vehicle owners better fuel efficiency, greater durability, and acceleration performance. Furthermore, the new trend in DIY automotive parts and products is also driving the sales of auto parts companies.
Therefore, we think it could be wise to bet on fundamentally sound auto parts stocks LKQ Corporation (LKQ) and The Goodyear Tire & Rubber Company (GT).