AutoNation Inc. (AN - Free Report) is the largest automotive retailer in the U.S. and is about twice the size of its nearest competitor. The company is positioned to benefit from recovery in the auto market, backed by its optimal brand and market mix as well as a disciplined cost structure. Rising average age of cars and trucks in the U.S., a robust consumer credit environment and an increase in new product offerings from automotive manufacturers is leading to a strong selling environment.
However, AutoNation operates in a highly competitive industry. In addition, the company’s performance is dependent on automakers, which need to supply adequate attractive, high-quality and desirable product mix at the right time in order to satisfy the demand of customers. Thus, any fluctuation in supply can adversely affect the results of the company.
Estimate Trend & Surprise History
Investors should note that the second-quarter earnings estimate for AutoNation were stable over the past 30 days.
The company has delivered mixed earnings surprises in the past. It has missed the Zacks Consensus Estimate in two of the trailing 4 quarters and reported in-line results in one quarter. With this, it has an average miss of around 1.58% for the last four quarter. Thus investors are eagerly awaiting AutoNation latest earnings report.
We have highlighted some of the key stats from this just-revealed announcement below:
Earnings
AutoNation delivered record adjusted earnings of $1.08 per share in the second quarter of 2016, which increased from $1 reported in the second quarter of 2015. Moreover, adjusted earnings surpassed the Zacks Consensus Estimate of $1.05.
Revenues
AutoNation reported revenues of $5.44 billion, up 4.2% year over year. However, revenues missed the Zacks Consensus Estimate of $5.56 billion.
Key Stats/Developments to Note
During the second quarter of 2016, AutoNation repurchased 1 million shares for $50 million. As of Jul 28, 2016, the company had approximately $116 million remaining under its share repurchase program and around 102 million shares outstanding.
Zacks Rank
Currently, AutoNation has a Zacks Rank #3 (Hold), but that could change following its earnings report which has just released.
Market Reaction
AutoNation’ shares were inactive following the release. It would be interesting to see how the market reacts to the results during the trading session today.
Check back later for our full write up on AutoNation’ earnings report!
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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AutoNation Inc. (AN - Free Report) is the largest automotive retailer in the U.S. and is about twice the size of its nearest competitor. The company is positioned to benefit from recovery in the auto market, backed by its optimal brand and market mix as well as a disciplined cost structure. Rising average age of cars and trucks in the U.S., a robust consumer credit environment and an increase in new product offerings from automotive manufacturers is leading to a strong selling environment.
However, AutoNation operates in a highly competitive industry. In addition, the company’s performance is dependent on automakers, which need to supply adequate attractive, high-quality and desirable product mix at the right time in order to satisfy the demand of customers. Thus, any fluctuation in supply can adversely affect the results of the company.
Estimate Trend & Surprise History
Investors should note that the second-quarter earnings estimate for AutoNation were stable over the past 30 days.
The company has delivered mixed earnings surprises in the past. It has missed the Zacks Consensus Estimate in two of the trailing 4 quarters and reported in-line results in one quarter. With this, it has an average miss of around 1.58% for the last four quarter. Thus investors are eagerly awaiting AutoNation latest earnings report.
We have highlighted some of the key stats from this just-revealed announcement below:
Earnings
AutoNation delivered record adjusted earnings of $1.08 per share in the second quarter of 2016, which increased from $1 reported in the second quarter of 2015. Moreover, adjusted earnings surpassed the Zacks Consensus Estimate of $1.05.
Revenues
AutoNation reported revenues of $5.44 billion, up 4.2% year over year. However, revenues missed the Zacks Consensus Estimate of $5.56 billion.
Key Stats/Developments to Note
During the second quarter of 2016, AutoNation repurchased 1 million shares for $50 million. As of Jul 28, 2016, the company had approximately $116 million remaining under its share repurchase program and around 102 million shares outstanding.
Zacks Rank
Currently, AutoNation has a Zacks Rank #3 (Hold), but that could change following its earnings report which has just released.
Market Reaction
AutoNation’ shares were inactive following the release. It would be interesting to see how the market reacts to the results during the trading session today.
Check back later for our full write up on AutoNation’ earnings report!
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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