2026 Audi RS 3

The 2026 Audi RS 3 packs a mighty wallop for something so small. This subcompact sedan is related to the A3 but comes with a heap of upgrades that make it a compelling performance sedan. There's a unique 394-horsepower turbocharged five-cylinder engine, a torque-vectoring all-wheel-drive system that helps enhance the car's nimbleness around corners, big brakes and an adaptive sport-tuned suspension. The RS 3 is characterful, engaging, and quite simply, a total blast to drive. The price may seem steep for such a small car (and there are a few places where its entry-level roots betray it), but it's nevertheless one of the most delightful performance cars around.

The RS 3 can whip itself around corners with the exuberance and tenacity of a post-bath dog on thick-pile carpet. It might as well be barking "More hairpins! More hairpins!" out of its sport exhaust. Its corner-taking wizardry is partly thanks to the RS 3's extra-compact dimensions, but much of the credit goes to the all-wheel-drive system and the unique Torque Splitter rear differential that has the tank-like ability to move the outside wheel faster than the inside one. That's called torque vectoring, which also occurs in a different manner up front using the brakes. The result is a near-reduction of understeer, a forgiving driving experience, and a whole lot of fun that's paired perfectly to the turbo five-cylinder's distinctive soundtrack.

Check out the Cadillac CT4-V Blackwing. It's similarly sized and priced, and it offers a manual transmission for added driver engagement. BMW's M2 is another great alternative, though its two-door coupe body style is less practical. We also give high marks to the well-rounded Acura Integra Type S and muscular Ford Mustang Dark Horse.