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AutoNation (AN) Gains But Lags Market: What You Should Know
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AutoNation (AN - Free Report) closed the most recent trading day at $111.74, moving +0.77% from the previous trading session. This change lagged the S&P 500's 1.02% gain on the day. Elsewhere, the Dow gained 0.74%, while the tech-heavy Nasdaq lost 0.4%.
Prior to today's trading, shares of the auto retailer had lost 13.11% over the past month. This has lagged the Retail-Wholesale sector's loss of 6.04% and the S&P 500's loss of 0.91% in that time.
Investors will be hoping for strength from AutoNation as it approaches its next earnings release. The company is expected to report EPS of $4.99, up 105.35% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $6.44 billion, up 11.26% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $17.51 per share and revenue of $25.69 billion, which would represent changes of +145.93% and +26.01%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for AutoNation. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.02% higher. AutoNation is currently a Zacks Rank #3 (Hold).
Digging into valuation, AutoNation currently has a Forward P/E ratio of 6.33. For comparison, its industry has an average Forward P/E of 6.81, which means AutoNation is trading at a discount to the group.
Also, we should mention that AN has a PEG ratio of 0.26. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Automotive - Retail and Whole Sales was holding an average PEG ratio of 0.36 at yesterday's closing price.
The Automotive - Retail and Whole Sales industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 20, putting it in the top 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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AutoNation (AN) Gains But Lags Market: What You Should Know
AutoNation (AN - Free Report) closed the most recent trading day at $111.74, moving +0.77% from the previous trading session. This change lagged the S&P 500's 1.02% gain on the day. Elsewhere, the Dow gained 0.74%, while the tech-heavy Nasdaq lost 0.4%.
Prior to today's trading, shares of the auto retailer had lost 13.11% over the past month. This has lagged the Retail-Wholesale sector's loss of 6.04% and the S&P 500's loss of 0.91% in that time.
Investors will be hoping for strength from AutoNation as it approaches its next earnings release. The company is expected to report EPS of $4.99, up 105.35% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $6.44 billion, up 11.26% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $17.51 per share and revenue of $25.69 billion, which would represent changes of +145.93% and +26.01%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for AutoNation. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.02% higher. AutoNation is currently a Zacks Rank #3 (Hold).
Digging into valuation, AutoNation currently has a Forward P/E ratio of 6.33. For comparison, its industry has an average Forward P/E of 6.81, which means AutoNation is trading at a discount to the group.
Also, we should mention that AN has a PEG ratio of 0.26. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Automotive - Retail and Whole Sales was holding an average PEG ratio of 0.36 at yesterday's closing price.
The Automotive - Retail and Whole Sales industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 20, putting it in the top 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.