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AutoNation (AN) Stock Sinks As Market Gains: What You Should Know
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AutoNation (AN - Free Report) closed at $117.58 in the latest trading session, marking a -1.57% move from the prior day. This change lagged the S&P 500's 0.66% gain on the day. Elsewhere, the Dow gained 0.61%, while the tech-heavy Nasdaq lost 0.02%.
Coming into today, shares of the auto retailer had lost 3.08% in the past month. In that same time, the Retail-Wholesale sector lost 2.55%, while the S&P 500 lost 3.79%.
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 $6.41 per share. This would mark year-over-year growth of 25.2%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.78 billion, up 6.27% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $24.74 per share and revenue of $27.2 billion, which would represent changes of +36.38% and +5.25%, respectively, from the prior year.
Any recent changes to analyst estimates for AutoNation should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 1.41% higher. AutoNation currently has a Zacks Rank of #3 (Hold).
Investors should also note AutoNation's current valuation metrics, including its Forward P/E ratio of 4.83. Its industry sports an average Forward P/E of 5.22, so we one might conclude that AutoNation is trading at a discount comparatively.
We can also see that AN currently has a PEG ratio of 0.6. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Automotive - Retail and Whole Sales was holding an average PEG ratio of 0.58 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 76, putting it in the top 31% 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 at $117.58 in the latest trading session, marking a -1.57% move from the prior day. This change lagged the S&P 500's 0.66% gain on the day. Elsewhere, the Dow gained 0.61%, while the tech-heavy Nasdaq lost 0.02%.
Coming into today, shares of the auto retailer had lost 3.08% in the past month. In that same time, the Retail-Wholesale sector lost 2.55%, while the S&P 500 lost 3.79%.
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 $6.41 per share. This would mark year-over-year growth of 25.2%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.78 billion, up 6.27% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $24.74 per share and revenue of $27.2 billion, which would represent changes of +36.38% and +5.25%, respectively, from the prior year.
Any recent changes to analyst estimates for AutoNation should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 1.41% higher. AutoNation currently has a Zacks Rank of #3 (Hold).
Investors should also note AutoNation's current valuation metrics, including its Forward P/E ratio of 4.83. Its industry sports an average Forward P/E of 5.22, so we one might conclude that AutoNation is trading at a discount comparatively.
We can also see that AN currently has a PEG ratio of 0.6. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Automotive - Retail and Whole Sales was holding an average PEG ratio of 0.58 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 76, putting it in the top 31% 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.