Q4 2025 Cox Automotive Dealer Sentiment Index: Dealer Caution Deepens as Market Sentiment Falls; EV Outlook and Profits Weaken While New-Vehicle Inventory Grows

Cox Automotive is the world’s largest automotive services and technology provider. (PRNewsfoto/Cox Automotive)

  • Dealer sentiment fell sharply in Q4, with both current and future market indices well below the positive threshold, as franchised and independent dealers alike signaled widespread caution.



  • Customer traffic and profitability reached new lows, with franchised dealers experiencing the steepest declines and independents also reporting significant pressure from rising costs and weaker demand.



  • The outlook for electric vehicles deteriorated further, especially among franchised dealers, as future EV sales and leasing sentiment dropped to new lows following the expiration of key tax credits.

ATLANTA, Dec. 3, 2025 /PRNewswire/ -- The Q4 Cox Automotive Dealer Sentiment Index (CADSI) reveals a significant decline in dealer confidence as economic and market challenges persist. Market sentiment for both current and future conditions fell below the positive threshold in the fourth quarter, signaling caution as dealers face rising costs, higher prices and economic uncertainty, all contributing to weaker demand.

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