AutoNation, Inc. $AN Stock: Greatmark Investment Partners Inc. Grows Stake

Greatmark Investment Partners Inc. increased its stake in AutoNation, Inc. (NYSE:AN) by 4.4% during the third quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 175,371 shares of the company’s stock after purchasing an additional 7,418 shares during the quarter. AutoNation makes up approximately 3.0% of Greatmark Investment Partners Inc.’s investment portfolio, making the stock its 10th biggest position. Greatmark Investment Partners Inc.’s holdings in AutoNation were worth $27,610,000 as of its most recent filing with the SEC.

Several other institutional investors and hedge funds also recently bought and sold shares of the stock. Redwood Investment Management LLC lifted its position in shares of AutoNation by 1.1% during the 1st quarter. Redwood Investment Management LLC now owns 5,372 shares of the company’s stock valued at $1,049,000 after buying an additional 61 shares in the last quarter. Davis Capital Management grew its stake in shares of AutoNation by 0.7% during the 3rd quarter. Davis Capital Management now owns 9,712 shares of the company’s stock valued at $1,529,000 after acquiring an additional 68 shares during the period. Evergreen Capital Management LLC grew its stake in shares of AutoNation by 4.5% during the 3rd quarter. Evergreen Capital Management LLC now owns 1,620 shares of the company’s stock valued at $255,000 after acquiring an additional 70 shares during the period. Bessemer Group Inc. increased its holdings in AutoNation by 33.0% in the 1st quarter. Bessemer Group Inc. now owns 306 shares of the company’s stock worth $59,000 after acquiring an additional 76 shares in the last quarter. Finally, Parkside Financial Bank & Trust increased its holdings in 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 acquiring an additional 82 shares in the last quarter. 94.62% of the stock is currently owned by hedge funds and other institutional investors.

AutoNation Price Performance

AN stock opened at $179.05 on Friday. The company has a debt-to-equity ratio of 2.68, a quick ratio of 0.18 and a current ratio of 0.78. The company’s fifty day moving average price is $176.82 and its 200-day moving average price is $193.73. AutoNation, Inc. has a one year low of $151.82 and a one year high of $235.81. The company has a market capitalization of $5.92 billion, a PE ratio of 8.29, a price-to-earnings-growth ratio of 0.83 and a beta of 0.81.

AutoNation (NYSE:AN) last posted 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 company had revenue of $7.01 billion during the quarter, compared to analysts’ expectations of $6.93 billion. AutoNation had a net margin of 2.82% and a return on equity of 31.24%. AutoNation’s quarterly revenue was down .4% on a year-over-year basis. During the same period last year, the company posted $5.01 earnings per share. On average, equities analysts anticipate that AutoNation, Inc. will post 21.07 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on AN shares. Zacks Research cut shares of AutoNation from a “hold” rating to a “strong sell” rating in a research note on Friday, October 16th. Morgan Stanley downgraded shares of AutoNation from an “overweight” rating to a “negative” rating in a report on Monday, October 5th. Weiss Ratings lowered shares of AutoNation from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Monday, September 21st. Argus increased their price objective on shares of AutoNation from $241.00 to $246.00 and gave the stock a “buy” rating in a research note on Tuesday, August 11th. Finally, Seaport Research Partners restated a “buy” rating and set a $255.00 price objective on shares of AutoNation in a research report on Monday, August 3rd. Eight research analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, AutoNation currently has a consensus rating of “Hold” and a consensus price target of $230.00.

Insider Buying and Selling

In other AutoNation news, Director Lisa Lutoff-Perlo sold 900 shares of the stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $220.00, for a total transaction of $198,000.00. Following the completion of the transaction, the director owned 7,989 shares of the company’s stock, valued at $1,757,580. This represents a 10.12% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 1.40% of the stock is currently owned by insiders.

AutoNation News Roundup

Here are the key news stories impacting AutoNation this week:

• Positive Sentiment: AutoNation reported third-quarter adjusted earnings of $5.11 per share, above the $5.08 consensus estimate, while revenue of $7.01 billion exceeded expectations of $6.93 billion. Earnings also improved from $5.01 per share a year earlier. AutoNation third-quarter earnings report
• Positive Sentiment: Record After-Sales gross profit and sharply higher AutoNation Finance income—$15.4 million versus $1.5 million a year earlier—helped support results despite a challenging vehicle market. AutoNation service resilience article
• Positive Sentiment: The company repurchased approximately $620 million of stock during the first nine months and received an additional $1 billion authorization. Management’s view that AN shares are undervalued could provide continued support for the stock and boost per-share results. Why AutoNation stock popped after earnings
• Neutral Sentiment: Revenue was essentially flat year over year at roughly $7.0 billion. Liquidity stood at $1.5 billion, including $51 million in cash, while the company maintained strong reported returns, including a 31.24% return on equity.
• Negative Sentiment: GAAP net income fell 25% to $162.3 million, operating income declined 16%, and GAAP diluted EPS decreased to $4.87 from $5.65. Gross profit also slipped 2% year over year. AutoNation third-quarter revenue and net income report
• Negative Sentiment: Chief Executive Officer Mike Manley warned that economic pressure is causing consumers to delay vehicle repairs, creating a risk for future After-Sales demand even though that division was resilient this quarter. AutoNation CEO warns about delayed car repairs

About AutoNation

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.