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AutoNation (AN) Stock Sinks As Market Gains: What You Should Know
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AutoNation (AN - Free Report) closed the most recent trading day at $98.84, moving -0.74% from the previous trading session. This change lagged the S&P 500's 0.34% gain on the day. Elsewhere, the Dow gained 0.4%, while the tech-heavy Nasdaq lost 0.47%.
Prior to today's trading, shares of the auto retailer had lost 11.96% over the past month. This has lagged the Retail-Wholesale sector's gain of 1.91% and the S&P 500's gain of 3.75% in that time.
Investors will be hoping for strength from AutoNation as it approaches its next earnings release. In that report, analysts expect AutoNation to post earnings of $5.14 per share. This would mark year-over-year growth of 84.23%. Meanwhile, our latest consensus estimate is calling for revenue of $6.69 billion, up 13.38% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $20.06 per share and revenue of $27.47 billion. These totals would mark changes of +10.58% and +6.3%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for AutoNation. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 4.79% higher. AutoNation is currently sporting a Zacks Rank of #1 (Strong Buy).
Investors should also note AutoNation's current valuation metrics, including its Forward P/E ratio of 4.97. For comparison, its industry has an average Forward P/E of 6.24, which means AutoNation is trading at a discount to the group.
Meanwhile, AN's PEG ratio is currently 0.21. 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 0.37 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 28, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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AutoNation (AN) Stock Sinks As Market Gains: What You Should Know
AutoNation (AN - Free Report) closed the most recent trading day at $98.84, moving -0.74% from the previous trading session. This change lagged the S&P 500's 0.34% gain on the day. Elsewhere, the Dow gained 0.4%, while the tech-heavy Nasdaq lost 0.47%.
Prior to today's trading, shares of the auto retailer had lost 11.96% over the past month. This has lagged the Retail-Wholesale sector's gain of 1.91% and the S&P 500's gain of 3.75% in that time.
Investors will be hoping for strength from AutoNation as it approaches its next earnings release. In that report, analysts expect AutoNation to post earnings of $5.14 per share. This would mark year-over-year growth of 84.23%. Meanwhile, our latest consensus estimate is calling for revenue of $6.69 billion, up 13.38% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $20.06 per share and revenue of $27.47 billion. These totals would mark changes of +10.58% and +6.3%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for AutoNation. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 4.79% higher. AutoNation is currently sporting a Zacks Rank of #1 (Strong Buy).
Investors should also note AutoNation's current valuation metrics, including its Forward P/E ratio of 4.97. For comparison, its industry has an average Forward P/E of 6.24, which means AutoNation is trading at a discount to the group.
Meanwhile, AN's PEG ratio is currently 0.21. 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 0.37 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 28, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.