Lexus tops the J.D. Power 2024 U.S. ALG Residual Value Awards

J.D. Power released its 2024 U.S. ALG Residual Value Awards and yet again, it was good news for Lexus. Lexus of Las Vegas is proud to announce that for the fourth consecutive year, Lexus received the ALG brand award for best residual values for a premium brand. Honda received the award for best mass-market brand.

The U.S. ALG Residual Value Awards are the automotive industry standard in recognizing the vehicle models projected to hold the highest percentage of their manufacturer’s suggested retail price following three years of ownership. Originally a tool to assist manufacturers and financiers in determining model residual value in setting up leases, the figures are also relevant in predicting general resale value. The high resale value underscores a manufacturer’s success in long-term quality and design, as well as the overall desirability of automotive brands and their models.

The variables that affect the actual residual value of a vehicle over three years are numerous and include mileage, quality/reliability, options, and packaging. Outside of the products themselves, weather and macroeconomic environment, which is less easy to predict.

“The continued strength of Lexus and Honda underscores an attention to detail and a unique strategy in terms of product planning and management,” said Kristen Lanzavecchia, director of customer success at ALG, the division of J.D. Power recognized as the industry benchmark of automotive residual value projections. “Overall, these brands took a measured approach in their freshening of products, trim levels and powertrains, resulting in higher residual performance and better long-term value for their customers.”

The more measured approach speaks to both brands concentrating on models that offered both gas and hybrid powertrains and in the case of Lexus, plug-in hybrid drivetrains rather than plunging into full electric vehicles of which the resale value is difficult to predict at this point.

The study divides the industry offerings into 28 different categories and ranks every vehicle within its category and a winner for each one. Lexus had four models that reached the top of their respective categories. The winners include the IS, NX, LX, and RX model lines. Honda was the only other brand with four winners. 

Having four category winners alone did not put Lexus on top. Its other products had high enough predicted resale to additionally bolster the brand’s standing. The same combination of design quality, reliability and luxury you look for in a new Lexus will be worth the premium to anyone you eventually sell it to, even if it is back to us at Lexus of Las Vegas for a trade-in. Our award winning lineup is yet another reason to come to Lexus of Las Vegas for your next new car.