Across the recent three months, 5 analysts have shared their insights on AutoNation AN, expressing a variety of opinions spanning from bullish to bearish.
The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 1 | 2 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 1 | 0 | 0 | 0 |
| 3M Ago | 1 | 0 | 2 | 0 | 0 |
Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $190.2, with a high estimate of $220.00 and a low estimate of $155.00. Observing a 8.81% increase, the current average has risen from the previous average price target of $174.80.
Breaking Down Analyst Ratings: A Detailed Examination
The standing of AutoNation among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| John Murphy | B of A Securities | Raises | Buy | $220.00 | $210.00 |
| Douglas Dutton | Evercore ISI Group | Raises | Outperform | $220.00 | $200.00 |
| Ali Faghri | Guggenheim | Raises | Buy | $187.00 | $169.00 |
| Rajat Gupta | JP Morgan | Raises | Neutral | $155.00 | $142.00 |
| Colin Langan | Wells Fargo | Raises | Equal-Weight | $169.00 | $153.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to AutoNation. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of AutoNation compared to the broader market.
- Price Targets: Analysts provide insights into price targets, offering estimates for the future value of AutoNation's stock. This comparison reveals trends in analysts' expectations over time.
Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into AutoNation's market standing. Stay informed and make well-considered decisions with our Ratings Table.
Stay up to date on AutoNation analyst ratings.
Discovering AutoNation: A Closer Look
AutoNation is the second largest automotive dealer in the United States, with 2023 revenue of about $27 billion and over 250 dealerships, plus 53 collision centers. The firm also has 23 AutoNation USA used-vehicle stores, a captive lender, four auction sites, and three parts distributors all across 21 states primarily in Sunbelt metropolitan areas. New-vehicle sales account for nearly half of revenue; the company also sells used vehicles, parts, and repair services as well as auto financing. The company (formerly Republic Industries) spun off its waste management unit (Republic Services) in 1999 and its car rental businesses (ANC Rental) in 2000. Wayne Huizenga founded the company in the 1990s to bring the rollup acquisition strategy to auto retailing, which has proved to be a smart move.
A Deep Dive into AutoNation's Financials
Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.
Revenue Growth: Over the 3 months period, AutoNation showcased positive performance, achieving a revenue growth rate of 1.36% as of 31 March, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Discretionary sector.
Net Margin: AutoNation's net margin excels beyond industry benchmarks, reaching 2.93%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): AutoNation's ROE excels beyond industry benchmarks, reaching 8.32%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): AutoNation's ROA stands out, surpassing industry averages. With an impressive ROA of 1.58%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: AutoNation's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 3.34.
Understanding the Relevance of Analyst Ratings
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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