⚡ Market Pulse: A buy-sell boom is brewing—and 2025 is setting the stage

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(Data sourced via Haig Partners)

⚡ Buy-sell activity is stalling after 2024 highs, but rebound signs are building.

Only 68 rooftops changed hands in Q1 2025, down 57% YoY, per Haig Partners.

As Alan Haig (president of Haig Partners) told CDG:

It’s the classic pause before the pivot. And sellers are waiting out the election noise and tariff drama before they list.

But even with fewer stores trading, plenty of buyers are still circling, and that’s keeping leverage in play.

Alan’s stance: “It’s a little bit of an ironic thing. People assume it’s maybe not the best time for me to go to market. But if you’re a seller in the market and there are lots of buyers, the laws of supply and demand favor the sellers.”

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⚡ Dealer profits are sliding from last year, but still riding well above pre-pandemic levels.

Public groups pulled in almost $1M in Q1 pre-tax profits per rooftop, down 4.2% from Q1 2024, per Haig Partners.

That’s nearly 2.5x higher than where profits sat in Q1 2020—and still 96% above 2019 levels.

So no, tariff talk hasn’t cracked margins yet. If anything, some dealers got a lift from early pull-forward demand.

But there’s real pressure ahead. And if pricing spikes or used inventory gets tighter, margins could feel it fast.

Avg. Q1 Earnings Per Dealership

Alan kept it real with us when we asked about the future of the buy-sell market.

In his words? It’s probably going to drag through the rest of 2025.

And that’s because deals take time.

If a seller isn’t confident today on tariffs, tax policy, or political direction, they’re not listing tomorrow. And even if that clarity shows up this summer, most deals won’t close until the end of the year.

Which is exactly why 2026 is shaping up to be a breakout year for buy-sells.

The ingredients are already in the mix: strong buyer demand, solid franchise valuations, and a growing pool of would-be sellers waiting in the wings.

But here’s the thing—dealers looking to make a move don’t have to wait for the wave.

Here’s what operators should know now, according to Haig:

• Toyota, BMW, Honda, Mercedes: Still commanding top-tier valuations. High buyer demand, low seller volume.

• Stellantis: “Some evidence of a rebound,” per Haig. New leadership, strategy reset, and a clear need to regain dealer trust.

• GM: Good styling, strong product mix, and gaining momentum, especially with a balance of ICE, EV, and hybrid.

• Nissan: A tougher call. Still shrinking. But younger, used-car-savvy operators could make the math work.

Just ask Kyle Coleman…

He’s the president of Coleman Automotive Group, and in the past year, he’s grown from zero rooftops to three, with a Nissan store set to close this month and a Chevy GMC store on deck for September.

And Nissan’s not his only bold bet. He’s also “bullish” on Chevy.

His reasoning: Chevy’s bringing back models that meet the average American’s budget. That piece was missing during COVID. But he says the brand has listened, made real adjustments, and is finally in sync with what both dealers and buyers need.

(We broke down how he’s scaling so quickly—including his private equity play—yesterday.)

The edge in this market isn’t obvious. That’s the point.

Which is why those quietly gaining ground are:

• Betting on brands that haven’t peaked (Chevy, Nissan, Stellantis…)

• Watching trends weekly, not monthly.

• Staying liquid and ready to pounce

Translation: Early moves. Loud results.

Missed yesterday’s episode of Daily Dealer Live?

Used car prices retreat from tariff surge, in-person dealership visits still vital for consumers, and more

This episode is brought to you by: Nomad Content Studio

Featuring:

• Todd Caputo, President at Todd Caputo Consulting

• Jen Morand, President of Chicago Automobile Trade Association

• Doug Horner (@benzsandbowties), General Sales Manager at Mercedes-Benz of North Olmsted

Thanks for reading everyone.

— CDG