Barclays has designated RB Global Inc (NYSE: RBA) as its top U.S. auto retail stock pick, citing accelerating volume growth and expanding relationships with top auto insurers. The investment bank maintained an Overweight rating on the shares, which trade at 12.7 times forward 12-month EV/EBITDA, below the company’s 10-year average of 16.0 times.
The upgrade follows RB Global’s second-quarter 2026 results, which reported revenue of $1.32 billion, exceeding analyst expectations. Adjusted earnings per share came in at $1.13, slightly below forecasts. Management highlighted an 11% increase in gross transaction value, driven by higher vehicle volumes and acquisitions.
Barclays pointed to third-quarter 2026 industry data showing RB Global’s volumes tracking up 11.8%, supported by a stronger recovery in the salvage vehicle auction market. The bank also noted the company’s expanding ties with major auto insurers, estimating a 4% to 6% potential volume increase from a recent contract win and deeper partnerships.
The upgrade comes amid expectations for a bottoming in the heavy equipment cycle by 2027, as noted in Deere’s latest earnings call. Barclays anticipates RB Global to be a net share gainer during the expected growth years ahead, with the salvage and auto retail segments positioned to benefit from improving industry dynamics.
RB Global competes in the salvage vehicle auction market against Copart Inc (NASDAQ: CPRT), which Barclays did not name as a top pick in its latest report.
