AutoNation (NYSE:AN) Announces Earnings Results

AutoNation (NYSE:AN) posted its quarterly earnings results on Friday. The company reported $5.08 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.91 by $0.17, FiscalAI reports. AutoNation had a net margin of 2.38% and a return on equity of 31.84%. The company had revenue of $6.93 billion for the quarter, compared to analyst estimates of $7.21 billion. During the same period last year, the business posted $4.97 EPS. The business’s quarterly revenue was down 3.9% on a year-over-year basis.

Here are the key takeaways from AutoNation’s conference call:

• AutoNation delivered a strong 2025 financial year with adjusted EPS up 16% to $20.22, adjusted net income +8%, revenue +3%, and adjusted free cash flow >$1.0B (up ~39%), enabling $785M of share repurchases that reduced shares outstanding by ~10%.
• Same-store new vehicle retail declined ~10% in Q4 (new vehicle revenue down ~9%), driven largely by a ~60% drop in BEV sales and weaker hybrid demand amid tariff/incentive pull-forwards and tough comps, though new-vehicle profitability improved sequentially to about $2,400 per unit.
• After-sales and Customer Financial Services were major positives — record Q4 after-sales gross profit (~$600M) with same-store after-sales revenue +5% and CFS unit profitability +8%, while AN Finance grew to a $2.2B portfolio and turned profitable as ABS funding and credit metrics improved.
• Used-vehicle performance was mixed: full-year used gross profit rose 5% but Q4 used retail unit sales fell 5% and Q4 used GPU declined to $1,438; inventory was ~25,700 units with expectations to increase into spring as management emphasizes internal sourcing and pricing/turn discipline.

AutoNation Stock Up 6.6%

Shares of NYSE:AN opened at $217.44 on Friday. The company’s fifty day moving average is $211.88 and its 200-day moving average is $210.29. The company has a debt-to-equity ratio of 1.93, a quick ratio of 0.20 and a current ratio of 0.79. AutoNation has a 52 week low of $148.33 and a 52 week high of $228.92. The company has a market capitalization of $7.93 billion, a PE ratio of 12.75 and a beta of 0.88.

Trending Headlines about AutoNation

Here are the key news stories impacting AutoNation this week:

• Positive Sentiment: Q4 EPS beat — AutoNation reported adjusted EPS of $5.08, topping consensus (about $4.91), showing profitability resilience and improving per-share results. AutoNation (AN) Q4 Earnings Top Estimates
• Positive Sentiment: Record after-sales performance — Management said after-sales (service, parts, F&I) hit record highs, helping margins and offsetting softer vehicle retail volumes. That recurring revenue element supports cash flow and buyback capacity. Car Sales Slow, But AutoNation’s After-Sales Machine Hits Record Highs
• Positive Sentiment: Analyst stance & buyback capacity — The stock carries a consensus “Moderate Buy” and analysts highlight momentum and capital return potential (buybacks) as offsets to vehicle-sales headwinds. AutoNation, Inc. Receives Consensus Recommendation of “Moderate Buy”
• Neutral Sentiment: Full transcripts and slides available — Investors can review the earnings call transcript and company slide deck for management commentary and guidance nuance. AutoNation AN Q4 2025 Earnings Call Transcript View Press Release / Slide Deck
• Neutral Sentiment: Metric deep-dives available — Coverage compares EPS/revenue to estimates and year-ago metrics; useful for modeling but not headline-moving by itself. Compared to Estimates, AutoNation (AN) Q4 Earnings
• Negative Sentiment: Revenue missed estimates — Q4 revenue was $6.93 billion vs. consensus ~$7.21 billion and was down ~3.9% year-over-year, reflecting weaker new and used retail volumes. AutoNation Press Release / Results
• Negative Sentiment: Car-sales slowdown & pull-forward effects — Coverage cites softer comparable sales tied to a pull-forward effect from tariffs and the expiration of EV tax credits, pressuring new and used vehicle volumes. AutoNation Sees Sales Fall Due to Pull-Forward Effect
• Negative Sentiment: Used-car market weakness remains a risk — Analysts and stories note used-car challenges that could weigh on revenue and gross profit if volumes or pricing worsen. AutoNation Revenue Declines on Weaker New, Used Vehicle Sales

Institutional Trading of AutoNation

Large investors have recently added to or reduced their stakes in the company. CIBC Private Wealth Group LLC raised its stake in shares of AutoNation by 13.3% in the third quarter. CIBC Private Wealth Group LLC now owns 519 shares of the company’s stock valued at $114,000 after acquiring an additional 61 shares during the last quarter. Wilmington Savings Fund Society FSB grew its position in AutoNation by 94.6% during the 3rd quarter. Wilmington Savings Fund Society FSB now owns 1,214 shares of the company’s stock worth $266,000 after acquiring an additional 590 shares during the last quarter. Captrust Financial Advisors increased its holdings in AutoNation by 6.8% during the 3rd quarter. Captrust Financial Advisors now owns 7,697 shares of the company’s stock valued at $1,684,000 after purchasing an additional 488 shares in the last quarter. Advisory Services Network LLC bought a new position in AutoNation in the 3rd quarter valued at $115,000. Finally, Jacobs Levy Equity Management Inc. boosted its stake in AutoNation by 2.4% in the third quarter. Jacobs Levy Equity Management Inc. now owns 10,832 shares of the company’s stock worth $2,370,000 after purchasing an additional 255 shares in the last quarter. 94.62% of the stock is owned by institutional investors.

Analyst Ratings Changes

AN has been the subject of several recent research reports. Wells Fargo & Company upped their price target on AutoNation from $220.00 to $222.00 and gave the company an “equal weight” rating in a report on Monday, January 12th. Barclays lowered their price objective on AutoNation from $250.00 to $245.00 and set an “overweight” rating on the stock in a research report on Wednesday, January 21st. Weiss Ratings restated a “buy (b)” rating on shares of AutoNation in a research note on Monday, December 29th. Evercore lifted their price target on shares of AutoNation from $240.00 to $300.00 and gave the stock an “outperform” rating in a research note on Monday, November 24th. Finally, Morgan Stanley boosted their price target on shares of AutoNation from $225.00 to $233.00 and gave the company an “overweight” rating in a report on Monday, December 8th. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $243.67.

AutoNation announced that its Board of Directors has approved a stock buyback plan on Friday, October 31st that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the company to buy up to 13.7% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board believes its shares are undervalued.

About AutoNation

AutoNation, Inc is the largest automotive retailer in the United States, operating a network of franchised new vehicle dealerships, pre-owned vehicle superstores and collision-repair centers. The company offers a comprehensive range of automotive products and services, including the sale of new cars and light trucks from leading manufacturers, certified pre-owned vehicles and a wide selection of used models. In addition to retail vehicle sales, AutoNation provides financing, insurance and extended service contracts through its in-house financial services division, as well as genuine and aftermarket parts, factory-recommended maintenance and collision-repair services.

Headquartered in Fort Lauderdale, Florida, AutoNation was founded in 1996 by entrepreneur H.