Investors interested in Automotive - Domestic stocks are likely familiar with Fox Factory Holding (FOXF) and Tesla (TSLA). But which of these two companies is the best option for those looking for undervalued stocks?

Fox Factory Holding (FOXF) might move higher on growing optimism about its earnings prospects, which is reflected by its upgrade to a Zacks Rank #2 (Buy).

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

Fox Factory NASDAQ: FOXF reported second-quarter 2026 revenue at the high end of its guidance range and adjusted EBITDA above expectations, while raising its full-year sales outlook and maintaining its cost-savings target amid elevated commodity, freight and fuel expenses.

Fox Factory Holding Corp. (FOXF) Q2 2026 Earnings Call Transcript

Although the revenue and EPS for Fox Factory Holding (FOXF) give a sense of how its business performed in the quarter ended June 2026, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.

Fox Factory Holding (FOXF) came out with quarterly earnings of $0.37 per share, beating the Zacks Consensus Estimate of $0.16 per share. This compares to earnings of $0.4 per share a year ago.

DULUTH, Ga., Aug. 06, 2026 (GLOBE NEWSWIRE) -- Fox Factory Holding Corp. (NASDAQ: FOXF) (“FOX” or the “Company”), a premium brand and a global leader in the design, engineering and manufacturing of performance-defining products and systems for customers worldwide, today reported financial results for the second fiscal quarter ended July 3, 2026.

DULUTH, Ga., July 16, 2026 (GLOBE NEWSWIRE) -- Fox Factory Holding Corp. (Nasdaq: FOXF) (the “Company”), a premium brand and a global leader in the design, engineering and manufacturing of performance-defining products and systems for customers worldwide, will announce results for the second quarter ended July 3, 2026, on Thursday, August 6, 2026, after the market close.

Fox Factory Holding Corp remains a 'buy' despite recent underperformance versus the S&P 500, supported by aggressive cost-cutting and attractive valuation. Revenue for FOXF rose 3.9% year-over-year in Q1 2026, but profitability metrics declined due to segment-specific pressures and tariffs. Management targets $50 million in cost savings for 2026, aiming to boost EBITDA above last year's $168.4 million even as revenue declines.