AutoNation (NYSE:AN) is set to give its latest quarterly earnings report on Thursday, 2025-10-23. Here's what investors need to know before the announcement.
Analysts estimate that AutoNation will report an earnings per share (EPS) of $4.85.
Anticipation surrounds AutoNation's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.
New investors should understand that while earnings performance is important, market reactions are often driven by guidance.
Past Earnings Performance
During the last quarter, the company reported an EPS beat by $0.76, leading to a 0.0% drop in the share price on the subsequent day.
Here's a look at AutoNation's past performance and the resulting price change:
| Quarter | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 |
|---|---|---|---|---|
| EPS Estimate | 4.70 | 4.38 | 4.26 | 4.38 |
| EPS Actual | 5.46 | 4.68 | 4.97 | 4.02 |
| Price Change % | 1.00 | 1.00 | -2.00 | -5.00 |
Performance of AutoNation Shares
Shares of AutoNation were trading at $218.7 as of October 21. Over the last 52-week period, shares are up 33.24%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Insights Shared by Analysts on AutoNation
For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on AutoNation.
A total of 8 analyst ratings have been received for AutoNation, with the consensus rating being Neutral. The average one-year price target stands at $221.75, suggesting a potential 1.39% upside.
Comparing Ratings with Peers
This comparison focuses on the analyst ratings and average 1-year price targets of Lithia Motors, Murphy USA and CarMax, three major players in the industry, shedding light on their relative performance expectations and market positioning.
- Analysts currently favor an Buy trajectory for Lithia Motors, with an average 1-year price target of $357.12, suggesting a potential 63.29% upside.
- Analysts currently favor an Outperform trajectory for Murphy USA, with an average 1-year price target of $441.67, suggesting a potential 101.95% upside.
- Analysts currently favor an Neutral trajectory for CarMax, with an average 1-year price target of $59.81, suggesting a potential 72.65% downside.
Analysis Summary for Peers
In the peer analysis summary, key metrics for Lithia Motors, Murphy USA and CarMax are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| AutoNation | Neutral | 7.62% | $1.28B | 3.55% |
| Lithia Motors | Buy | 3.80% | $1.49B | 3.73% |
| Murphy USA | Outperform | -8.19% | $612.10M | 21.32% |
| CarMax | Neutral | -5.97% | $717.67M | 1.53% |
Key Takeaway:
AutoNation ranks in the middle for revenue growth among its peers. It is at the bottom for gross profit. AutoNation is at the bottom for return on equity.
About AutoNation
AutoNation is the second-largest automotive dealer in the United States, with 2024 revenue of about $27 billion and over 240 dealerships, plus 52 collision centers. The firm also has 26 AutoNation USA used-vehicle stores, a captive lender, four auction sites, and three parts distributors across 20 states primarily in Sunbelt metropolitan areas. New-vehicle sales account for nearly half of revenue; the company also sells used vehicles, parts, and repair services as well as auto financing. The company (formerly Republic Industries) divested its waste management unit (Republic Services) in 1999 and its car rental businesses (ANC Rental) in 2000. Wayne Huizenga founded the company in the 1990s to bring the rollup acquisition strategy to auto retailing, which has proved to be a smart move.
AutoNation's Financial Performance
Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.
Revenue Growth: AutoNation's revenue growth over a period of 3 months has been noteworthy. As of 30 June, 2025, the company achieved a revenue growth rate of approximately 7.62%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.
Net Margin: AutoNation's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.24% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): AutoNation's ROE excels beyond industry benchmarks, reaching 3.55%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.64%, the company showcases effective utilization of assets.
Debt Management: AutoNation's debt-to-equity ratio is notably higher than the industry average. With a ratio of 3.77, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
To track all earnings releases for AutoNation visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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