Nearly six months into 2026, U.S. auto dealers face a more demanding environment but many still see a path to long-term growth and stability. Short-term profitability expectations have fallen as geopolitical conflict, higher operating costs and weaker consumer confidence weigh on results, but dealers have more confidence in profits and store valuations over the next three years, according to the Presidio Midyear 2026 Dealer Direction Survey.
“The market is more complicated, but many dealers continue to seek growth, particularly representing the most desired brands,” said George Karolis, president of The Presidio Group. “Dealers today face lower vehicle margins and higher costs, pressuring earnings. But operators have long-term confidence in the auto retail business and the attractive returns it provides on invested capital.”
Presidio’s survey is conducted twice a year to gauge insight into dealership profitability, valuation and the buy-sell market. The midyear 2026 survey, fielded from May 6 to June 15, aggregated responses from 269 dealers and dealership group executives representing 4,200-plus U.S. franchised stores.