AutoNation (AN)

• Market cap: $6.57B
• Sector: Consumer Discretionary
• Industry: Auto Dealers & Gasoline Stations

About: AutoNation is the second largest automotive dealer in the United States, with 2023 revenue of about $27 billion and over 250 dealerships, plus 53 collision centers. The firm also has 23 AutoNation USA used-vehicle stores, a captive lender, four auction sites, and three parts distributors all across 21 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) spun off 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.

Employees: 25,300

Fund manager confidence

Based on 2024 Q2 SEC filings by fund managers ($100M+ AUM)

35.53% more ownership

Funds ownership: 25.59% [Q1] → 61.13% (+35.53%) [Q2]

0% more funds holding

Funds holding: 445 [Q1] → 445 (+0) [Q2]

0% more first-time investments, than exits

New positions opened: 59 | Existing positions closed: 59

8% less repeat investments, than reductions

Existing positions increased: 145 | Existing positions reduced: 158

10% less capital invested

Capital invested by funds: $4.37B [Q1] → $3.93B (-$440M) [Q2]

38% less call options, than puts

Call options by funds: $36.7M | Put options by funds: $59.5M

Research analyst outlook

8 Wall Street Analysts provided 1 year price targets over the past 3 months

• Low target: $160 2% downside
• Avg. target: $195 20% upside
• High target: $220 35% upside

8 analyst ratings

• positive: 4 50%
• neutral: 4 50%
• negative: 0 0%

Wells Fargo Colin Langan 19% 1-year accuracy 5 / 26 met price target	11% upside $181	Equal-Weight Maintained	15 Oct 2024
B of A Securities John Murphy 61% 1-year accuracy 14 / 23 met price target	32% upside $215	Buy Maintained	14 Oct 2024
Morgan Stanley Adam Jonas 45% 1-year accuracy 23 / 51 met price target	23% upside $200	Overweight Upgraded	25 Sept 2024
Stephens & Co. Jeff Lick 25% 1-year accuracy 1 / 4 met price target	29% upside $210	Overweight Initiated	12 Sept 2024
JP Morgan Rajat Gupta 67% 1-year accuracy 14 / 21 met price target	17% upside $190	Neutral Maintained	10 Sept 2024