AutoNation, Inc. (NYSE:AN), a leading automotive retailer in the United States, has recently seen a significant increase in stake by LSV Asset Management. According to the most recent disclosure with the Securities and Exchange Commission (SEC), LSV Asset Management raised its stake in AutoNation by an impressive 197.8% during the first quarter of this year.
This institutional investor now owns 873,110 shares of AutoNation’s stock, after acquiring an additional 579,910 shares during the same period. This substantial increase in stake demonstrates LSV Asset Management’s confidence in AutoNation’s future prospects. At present, LSV Asset Management owns 1.91% of AutoNation, valued at $117,311,000 as per its most recent filing with the SEC.
AutoNation operates through three segments: Domestic, Import, and Premium Luxury. The company offers a wide range of automotive products and services to customers across the country. These include new and used vehicles, as well as parts and services such as repair and maintenance, wholesale parts distribution, and collision services.
Several brokerages have recently shared their thoughts on AutoNation’s performance. Benchmark revised their target price on AutoNation from $185.00 to $200.00 in a report released on July 3rd this year. Similarly, Stephens increased their target price from $146.00 to $180.00 on July 19th.
Wells Fargo & Company also raised their price target for AutoNation from $144.00 to $174.00 and rated the stock as “equal weight” in their research report published on July 18th.
The increasing positive sentiment towards AutoNation is reflected by StockNews.com’s initiation of coverage on May 18th with a “buy” rating for the company’s stocks.
Guggenheim also expressed enthusiasm about AutoNation’s future potential by raising their target price from $181.00 to $184.00 and rating the stock as “buy” in their report on April 17th.
Out of all the analysts, two have issued a sell rating for AutoNation’s stocks, one has provided a hold rating, and five have given a buy rating to the company. According to Bloomberg data, the average rating for AutoNation is currently “Hold” with an average target price of $169.88.
This surge in stake by LSV Asset Management offers a positive outlook for AutoNation. The increased confidence from institutional investors and positive ratings from various brokerages highlight the potential growth and profitability of this automotive retailer.
As of July 24, 2023, AutoNation continues to solidify its position in the market and remains focused on providing exceptional automotive products and services to customers nationwide while keeping an eye on emerging opportunities for future growth.
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AutoNation Reports Impressive Q2 Earnings as Hedge Funds Adjust Positions
[stock_market_widget type=”chart” template=”basic” color=”#3946CE” assets=”AN” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” api=”yf”]AutoNation Reports Strong Second Quarter Earnings, Hedge Funds Adjust Positions
Date: July 24, 2023
AutoNation, Inc. (NYSE:AN), a leading automotive retailer in the United States, announced its impressive second quarter earnings report on Friday, July 21st. The company reported earnings per share (EPS) of $6.29 for the quarter, surpassing the consensus estimate of $5.91 by $0.38.
The surge in earnings has attracted the attention of hedge funds and institutional investors who have made significant changes to their positions in AutoNation’s stock. Raymond James Financial Services Advisors Inc., for instance, increased its position in AutoNation by 13.8% during the first quarter. The firm now owns 13,667 shares of AutoNation’s stock valued at approximately $1,361,000 after acquiring an additional 1,656 shares in the last quarter.
Another notable change was made by Cetera Advisor Networks LLC which acquired a new stake in AutoNation during the first quarter amounting to $215,000. Meanwhile, Natixis Advisors L.P. increased its stake in AutoNation by 2.8% during the same period and now holds 11,818 shares valued at around $1,177,000 after acquiring an additional 320 shares.
Additionally, Acadian Asset Management LLC raised its holdings in AutoNation by 47%, boosting its portfolio with an additional 1,625 shares worth approximately $505,000. MetLife Investment Management LLC also demonstrated confidence in AutoNation as it raised its stake by 33.6%, adding an extra 6,508 shares valued at around $2,577,
000.
A remarkable insight into recent transactions involving major shareholder Edward S. Lampert was revealed through a legal filing with the Securities & Exchange Commission (SEC). Lampert sold a total of 80 thousand shares of AutoNation’s stock, primarily on July 13th, at an average price of $178.92. The insider now holds approximately 4,887,408 shares valued at nearly $874,455,039.
Overall, hedge funds and institutional investors own a significant portion—70.48%—of AutoNation’s outstanding stock.
AutoNation operates through three segments: Domestic, Import, and Premium Luxury. It provides various automotive products and services including new and used vehicles, as well as parts and services for automotive repair and maintenance.
AutoNation’s market performance has been impressive with stocks trading between a 52-week low of $94.92 and a high of $182.08. As of July 24th, the company had a market capitalization of approximately $7.07 billion.
With a debt-to-equity ratio of 1.91 and a quick ratio of 0.25, AutoNation exhibits strong financial standing in the industry. Furthermore, its trailing twelve-month (TTM) P/E ratio stands at 6.43 with a beta value of 1.14 indicating that it is less volatile than the overall market.
Going forward, analysts anticipate positive future earnings growth for AutoNation as reflected by their average EPS forecast of 22 for the current fiscal year.
In conclusion, AutoNation’s robust second quarter earnings have attracted attention from hedge funds and institutional investors who are adjusting their positions in the company’s stock accordingly. With strong market performance and favorable financial indicators, AutoNation has positioned itself well for continued success in the automotive retail sector.
