AutoNation (NYSE:AN) Stock Rating Cut to "Neutral" at JPMorgan Chase & Co.

Key Points

• JPMorgan downgraded AutoNation to “Neutral” from “Overweight,” maintaining a $185 price target—about 3.5% above the prior close.
• Analyst views are mixed: MarketBeat reports an overall “Hold” consensus and a $227.50 average target, with seven Buy, four Hold, and two Sell ratings.
• AutoNation slightly beat quarterly earnings and revenue estimates, reporting $5.11 per share and $7.01 billion in revenue; revenue fell 0.4% year over year.

AutoNation (NYSE:AN - Get Free Report) was downgraded by equities research analysts at JPMorgan Chase & Co. from an "overweight" rating to a "neutral" rating in a research note issued to investors on Wednesday, Marketbeat reports. They presently have a $185.00 target price on the stock. JPMorgan Chase & Co.'s target price indicates a potential upside of 3.49% from the stock's previous close.

Several other equities analysts also recently commented on AN. Zacks Research downgraded shares of AutoNation from a "hold" rating to a "strong sell" rating in a report on Friday, October 16th. Wells Fargo & Company raised their price objective on shares of AutoNation from $202.00 to $224.00 and gave the stock an "equal weight" rating in a research note on Monday, August 3rd. Citigroup dropped their target price on AutoNation from $255.00 to $240.00 and set a "buy" rating for the company in a research report on Tuesday. Weiss Ratings cut AutoNation from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Monday, September 21st. Finally, Stephens increased their price target on AutoNation from $220.00 to $232.00 and gave the stock an "equal weight" rating in a report on Monday, August 10th. Seven analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat, AutoNation currently has an average rating of "Hold" and a consensus target price of $227.50.

AutoNation Stock Down 3.8%

NYSE AN opened at $178.76 on Wednesday. The company has a quick ratio of 0.18, a current ratio of 0.77 and a debt-to-equity ratio of 2.74. The company has a fifty day moving average of $176.23 and a two-hundred day moving average of $193.43. The firm has a market capitalization of $5.72 billion, a price-to-earnings ratio of 8.59, a PEG ratio of 0.91 and a beta of 0.82. AutoNation has a 52 week low of $151.82 and a 52 week high of $235.81.

AutoNation (NYSE:AN - Get Free Report) last announced its earnings results on Friday, October 30th. The company reported $5.11 earnings per share for the quarter, beating the consensus estimate of $5.08 by $0.03. The business had revenue of $7.01 billion for the quarter, compared to the consensus estimate of $6.93 billion. AutoNation had a net margin of 2.63% and a return on equity of 31.18%. The business's revenue for the quarter was down .4% on a year-over-year basis. During the same quarter in the prior year, the firm posted $5.01 earnings per share. On average, analysts predict that AutoNation will post 21.07 earnings per share for the current year.

Institutional Investors Weigh In On AutoNation

Large investors have recently added to or reduced their stakes in the stock. Parkside Financial Bank & Trust lifted its position in shares of AutoNation by 73.9% in the 2nd quarter. Parkside Financial Bank & Trust now owns 193 shares of the company's stock worth $36,000 after purchasing an additional 82 shares during the period. Bessemer Group Inc. increased its holdings in AutoNation by 33.0% during the first quarter. Bessemer Group Inc. now owns 306 shares of the company's stock valued at $59,000 after buying an additional 76 shares during the period. Global Retirement Partners LLC purchased a new position in AutoNation during the second quarter valued at approximately $63,000. Heritage Family Offices LLP purchased a new position in AutoNation during the third quarter valued at approximately $67,000. Finally, Root Financial Partners LLC bought a new position in AutoNation in the third quarter worth approximately $85,000. 94.62% of the stock is owned by hedge funds and other institutional investors.

AutoNation Company Profile

AutoNation, Inc is a U.S.-based automotive retailer that sells new and used vehicles through a network of dealerships and online sales channels. The company represents a range of domestic, import and luxury automotive brands, offering passenger cars, trucks and sport utility vehicles.

In addition to vehicle sales, AutoNation provides automotive maintenance and repair, parts, collision-repair services, vehicle protection products and financing options. Its retail operations include traditional dealerships as well as AutoNation USA locations, which focus primarily on used vehicles and related services.

Founded in 1996 as Republic Industries, the company adopted the AutoNation name as it developed its automotive retail business.

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