Earnings Preview For AutoNation

AutoNation AN will release its quarterly earnings report on Friday, 2025-07-25. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate AutoNation to report an earnings per share (EPS) of $4.62.

The market awaits AutoNation's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Past Earnings Performance

Last quarter the company beat EPS by $0.30, which was followed by a 0.0% drop in the share price the next day.

Here's a look at AutoNation's past performance and the resulting price change:

Stock Performance

Shares of AutoNation were trading at $204.67 as of July 23. Over the last 52-week period, shares are up 13.03%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Opinions on AutoNation

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding AutoNation.

A total of 2 analyst ratings have been received for AutoNation, with the consensus rating being Buy. The average one-year price target stands at $232.0, suggesting a potential 13.35% upside.

Peer Ratings Comparison

In this analysis, we delve into the analyst ratings and average 1-year price targets of Lithia Motors, Murphy USA and CarMax, three key industry players, offering insights into their relative performance expectations and market positioning.

• Analysts currently favor an Buy trajectory for Lithia Motors, with an average 1-year price target of $399.67, suggesting a potential 95.28% upside.
• Analysts currently favor an Outperform trajectory for Murphy USA, with an average 1-year price target of $500.0, suggesting a potential 144.3% upside.
• Analysts currently favor an Outperform trajectory for CarMax, with an average 1-year price target of $82.9, suggesting a potential 59.5% downside.

Summary of Peers Analysis

The peer analysis summary presents essential metrics for Lithia Motors, Murphy USA and CarMax, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

AutoNation ranks at the top for Gross Profit and Return on Equity among its peers. It is in the middle for Revenue Growth.

About AutoNation

AutoNation is the second-largest automotive dealer in the United States, with 2024 revenue of about $27 billion and over 240 dealerships, plus 52 collision centers. The firm also has 26 AutoNation USA used-vehicle stores, a captive lender, four auction sites, and three parts distributors across 20 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) divested 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.

Understanding the Numbers: AutoNation's Finances

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Revenue Growth: Over the 3 months period, AutoNation showcased positive performance, achieving a revenue growth rate of 3.16% as of 31 March, 2025. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Net Margin: AutoNation's net margin is impressive, surpassing industry averages. With a net margin of 2.62%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 7.22%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.33%, the company showcases effective utilization of assets.

Debt Management: AutoNation's debt-to-equity ratio is below the industry average at 3.76, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for AutoNation visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.