AutoNation, Inc. (NYSE:AN) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• Analysts have given AutoNation, Inc. a consensus recommendation of "Moderate Buy," with an average 12-month price target of $223.25.
• Recent adjustments in price targets by several major firms include Morgan Stanley increasing its target from $195 to $220, while Bank of America raised theirs from $225 to $255.
• AutoNation reported a 7.6% year-over-year revenue increase with quarterly earnings per share of $5.46, exceeding analysts' expectations of $4.70.

AutoNation, Inc. (NYSE:AN - Get Free Report) has been given an average recommendation of "Moderate Buy" by the nine ratings firms that are presently covering the firm, MarketBeat Ratings reports. Three research analysts have rated the stock with a hold recommendation, four have assigned a buy recommendation and two have issued a strong buy recommendation on the company. The average 1-year target price among brokerages that have updated their coverage on the stock in the last year is $222.6250.

AN has been the subject of several recent analyst reports. Wall Street Zen cut AutoNation from a "buy" rating to a "hold" rating in a research note on Saturday. Wells Fargo & Company increased their price target on AutoNation from $209.00 to $221.00 and gave the stock an "equal weight" rating in a report on Monday, July 28th. Bank of America lowered their price objective on AutoNation from $255.00 to $250.00 and set a "buy" rating for the company in a research report on Wednesday. JPMorgan Chase & Co. lifted their price target on AutoNation from $185.00 to $205.00 and gave the stock a "neutral" rating in a research report on Tuesday, August 5th. Finally, Stephens boosted their price objective on AutoNation from $190.00 to $200.00 and gave the stock an "equal weight" rating in a research note on Tuesday, July 29th.

AutoNation Stock Down 2.1%

Shares of AN traded down $4.85 during trading hours on Tuesday, reaching $222.15. The stock had a trading volume of 525,276 shares, compared to its average volume of 377,064. The company has a market capitalization of $8.38 billion, a price-to-earnings ratio of 13.92, a P/E/G ratio of 1.04 and a beta of 0.89. The firm has a 50-day simple moving average of $209.04 and a 200 day simple moving average of $189.09. AutoNation has a 12 month low of $148.33 and a 12 month high of $228.92. The company has a current ratio of 0.81, a quick ratio of 0.21 and a debt-to-equity ratio of 1.84.

AutoNation (NYSE:AN - Get Free Report) last issued its earnings results on Friday, July 25th. The company reported $5.46 EPS for the quarter, topping the consensus estimate of $4.70 by $0.76. The business had revenue of $6.97 billion during the quarter, compared to the consensus estimate of $6.77 billion. AutoNation had a return on equity of 31.12% and a net margin of 2.31%.The firm's revenue was up 7.6% compared to the same quarter last year. During the same quarter last year, the company earned $3.99 EPS. Equities research analysts predict that AutoNation will post 18.15 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Conscious Wealth Investments LLC grew its stake in shares of AutoNation by 0.3% during the 2nd quarter. Conscious Wealth Investments LLC now owns 21,933 shares of the company's stock valued at $4,239,000 after buying an additional 56 shares during the period. Sagespring Wealth Partners LLC grew its position in shares of AutoNation by 1.1% during the 2nd quarter. Sagespring Wealth Partners LLC now owns 5,622 shares of the company's stock valued at $1,117,000 after buying an additional 62 shares during the last quarter. Geneos Wealth Management Inc. lifted its stake in shares of AutoNation by 37.4% in the 1st quarter. Geneos Wealth Management Inc. now owns 235 shares of the company's stock worth $38,000 after acquiring an additional 64 shares during the period. Cambridge Investment Research Advisors Inc. lifted its stake in AutoNation by 0.9% during the first quarter. Cambridge Investment Research Advisors Inc. now owns 7,580 shares of the company's stock valued at $1,227,000 after purchasing an additional 67 shares during the last quarter. Finally, SummerHaven Investment Management LLC lifted its stake in AutoNation by 1.6% during the first quarter. SummerHaven Investment Management LLC now owns 4,918 shares of the company's stock valued at $796,000 after purchasing an additional 77 shares during the last quarter. 94.62% of the stock is owned by hedge funds and other institutional investors.

About AutoNation

AutoNation, Inc, through its subsidiaries, operates as an automotive retailer in the United States. The company operates through three segments: Domestic, Import, and Premium Luxury. It offers a range of automotive products and services, including new and used vehicles; and parts and services, such as automotive repair and maintenance, and wholesale parts and collision services.