After top automakers reported sagging sales Wednesday, "Fast Money" traders debated how to play the sector.

The auto selling rate came in at 17.45 million in May, better than expected but down from 17.8 million in the prior-year period. General Motors, the largest U.S. automaker, saw sales decline 18 percent to 240,450. Ford sales dropped 6 percent to 235,997.

GM shares dropped 3.4 percent Wednesday, while Ford's stock fell 2.8 percent.

Trader Brian Kelly contended both GM and Ford would make good short plays. He also said used-car seller Carmax's stock could struggle ahead. It lost 2.9 percent Wednesday.

He added that Penske Automotive Group could be a safer play in the current environment.

Trader Guy Adami, meanwhile, touted electric automaker Tesla Motors as a possible trade. He said it could have low risk and high reward, if traded against $215 per share. Tesla closed at about $219.50 a share Wednesday.

Disclosures:

Guy Adami

Guy Adami is long CELG, EXAS, GDX, INTC, Guy Adami's wife, Linda Snow, works at Merck.

Karen Finerman

Karen is long BAC, C, DRII, DRII calls, FB, FL, GOOG, GOOGL, JPM, LYV, KORS, KORS, KORS puts, WIFI long call spreads, M, MA, SEDG, SPY puts, URI. Her firm is long ANTM, AAPL, BAC, C, C calls, DRII, DRII calls, FB, GOOG, GOOGL, JPM, JPM calls, KORS, KORS puts, LYV, M, MOH, PLCE, SPY puts, URI, WIFI, her firm is short IWM, MDY. Karen Finerman is on the board of GrafTech International.

BRIAN KELLY

Brian Kelly is long Bitcoin, US Dollar; he is short Australian Dollar, Euro, Hong Kong Dollar, Yuan Short

PETE NAJARIAN

Long AAPL, BAC, BMY, CSCO, DIS, DISCA, GE, KMI, KMI.A, KO, LUX, MRK, PEP, PFE, SAVE, VIAB, ZIOP Long Calls: AAL, ABBV, AKS, AMJ, C, CSX, EGO, EWZ, GLW, GS, GSAT, HAL, HBAN, KGC, LLY, MDLZ, MSFT, MT, MU, NLNK, P, POT, SLV, SVU, TMUS, UAL, X, YHOO Long Puts: BID, FCX, NAV, SCTY, VLO