AutoNation (NYSE:AN) Shares Gap Up – Time to Buy?

Shares of AutoNation, Inc. (NYSE:AN) gapped up before the market opened on Monday . The stock had previously closed at $199.49, but opened at $206.22. AutoNation shares last traded at $197.3850, with a volume of 35,678 shares.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on the company. Barclays lifted their price target on AutoNation from $255.00 to $260.00 and gave the company an “overweight” rating in a research report on Wednesday, July 15th. Wells Fargo & Company raised their price objective on shares of AutoNation from $202.00 to $224.00 and gave the company an “equal weight” rating in a research report on Monday, August 3rd. Argus boosted their target price on AutoNation from $241.00 to $246.00 and gave the stock a “buy” rating in a research report on Tuesday, August 11th. Morgan Stanley boosted their price target on shares of AutoNation from $240.00 to $250.00 and gave the stock an “overweight” rating in a research note on Thursday, August 6th. Finally, Weiss Ratings raised AutoNation from a “buy (b-)” rating to a “buy (b)” rating in a research note on Monday, August 17th. Ten equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $250.00.

AutoNation Stock Performance

The company has a quick ratio of 0.18, a current ratio of 0.78 and a debt-to-equity ratio of 2.68. The business has a fifty day simple moving average of $200.66 and a 200-day simple moving average of $197.57. The firm has a market cap of $6.50 billion, a P/E ratio of 9.10, a P/E/G ratio of 0.81 and a beta of 0.71.

AutoNation (NYSE:AN) last posted its quarterly earnings data on Friday, July 31st. The company reported $5.56 EPS for the quarter, topping the consensus estimate of $5.48 by $0.08. AutoNation had a net margin of 2.82% and a return on equity of 31.24%. The business had revenue of $6.93 billion for the quarter, compared to analyst estimates of $7 billion. During the same quarter in the previous year, the firm posted $2.26 earnings per share. AutoNation’s quarterly revenue was down .6% on a year-over-year basis. On average, sell-side analysts predict that AutoNation, Inc. will post 21.69 EPS for the current fiscal year.

Insider Transactions at AutoNation

In related 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 sale, the director directly owned 7,989 shares of the company’s stock, valued at approximately $1,757,580. This represents a 10.12% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 1.40% of the stock is currently owned by insiders.

Institutional Trading of AutoNation

Several institutional investors have recently added to or reduced their stakes in the business. Royal Bank of Canada boosted its holdings in shares of AutoNation by 8.9% during the 1st quarter. Royal Bank of Canada now owns 18,953 shares of the company’s stock valued at $3,070,000 after acquiring an additional 1,551 shares during the last quarter. United Services Automobile Association bought a new stake in AutoNation during the first quarter valued at about $265,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in AutoNation by 10.9% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 98,610 shares of the company’s stock worth $15,967,000 after acquiring an additional 9,656 shares in the last quarter. Focus Partners Wealth raised its position in shares of AutoNation by 17.3% during the 1st quarter. Focus Partners Wealth now owns 3,472 shares of the company’s stock valued at $562,000 after purchasing an additional 511 shares during the period. Finally, Geneos Wealth Management Inc. lifted its position in shares of AutoNation by 37.4% in the first quarter. Geneos Wealth Management Inc. now owns 235 shares of the company’s stock valued at $38,000 after acquiring an additional 64 shares in the last quarter. 94.62% of the stock is currently owned by hedge funds and other institutional investors.

AutoNation Company Profile

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.