It's hugely important for investors to stay aware of which automakers' products are well received.
For automotive investors, paying attention to how new vehicles are perceived by consumers — especially in terms of quality and pricing — can be crucial to figuring out where long-term sales are headed.
Consumer Reports is a prime source for ranking vehicles, and it recently unveiled its best new vehicles of 2026. There are three key takeaways for Ford Motor Company (F +2.06%), Tesla (TSLA +0.72%), and other automakers.
Investors won't be blamed if they skipped to one specific part of Consumer Reports' data, and that is its choice for best full-size pickup. That title belongs to Ford's F-150 for 2026, which the magazine says maintains its reliability and strong powertrains.
This is much more than bragging rights (although that's a nice bonus) because full-size pickups drive a huge portion of Detroit automakers' profits. While full-size trucks and SUVs cost only marginally more to produce than passenger cars, they can command price tags and margins that are much, much higher. Business can be good for whichever automaker is tops in awards, deliveries, and rankings for full-size pickups.
Both Ford and General Motors (GM 0.56%) have taken huge charges to pivot away from fully electric vehicles because the U.S. market for them is taking more time to develop than anticipated. Instead, the two automakers are focusing on hybrids and more profitable internal combustion engine (ICE) vehicles.
Image source: Getty Images.
Ford took a $19.5 billion charge to adjust its EV strategy, and Consumer Reports' data is the latest affirmation that Ford's and GM's decisions to push hybrids were smart in the near term. Nine of the magazine's top 10 picks have hybrid options, and the only vehicle on that list that doesn't have a hybrid powertrain is Tesla's Model Y. Five of those 10 vehicles are either hybrid-only, or Consumer Reports recommends the hybrid variant over the ICE option.
While fully electric vehicles are struggling with profitability, hybrids can often be as profitable as their gasoline-only counterparts.
Ford's hybrid sales not only achieved a fourth-quarter record, but also increased nearly 22% for the full-year 2025 for an annual record. Roughly one in every four F-150 trucks is a hybrid, and long-term investors know the truck drives a significant chunk of Ford's profits.
For Tesla investors, it's an incredibly intriguing and uncertain time. The automaker announced it would end production of its Model S and Model X in the next few months and turn that California factory space into an assembly line for its Optimus robot. However, despite all the potential upside with artificial intelligence, humanoid robots, and driverless vehicles, selling vehicles like the Model Y still pays the bills.
For that reason, it's great news for investors that Tesla's Model Y is Consumer Reports' choice for best electric vehicle in 2026. The Model S, Model X, and Cybertruck only generated roughly 3% of Tesla's global sales, which puts more importance on its Model Y to remain relevant longer.
Auto investors need to stay on top of which automakers are better at following where consumer demand is, not where automakers thought it would be, and creating the best vehicles. The takeaways from the latest Consumer Reports ranking are that Ford still enjoys dominance in a lucrative truck market, Tesla's Model Y is still the cream of the crop, and automakers with a focus on hybrids are in the sweet spot currently.
Daniel Miller has positions in Ford Motor Company and General Motors. The Motley Fool has positions in and recommends Tesla. The Motley Fool recommends General Motors. The Motley Fool has a disclosure policy.
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