Texas (August 25, 2014) Wax Ink has issued a Negative Investment Interest opinion for AutoNation, Inc. (NYE: AN), based on a recent intrinsic value review that placed fair value for the company between $39-$47.
A Negative Investment Interest opinion (sell) means that the current key performance indicators (KPIs) and associated financial metrics do not favor a position in this stock as an active investment at this time.
The recent close of $53.92 is approximately 129% above a fair value buy target for the stock and approximately 11% above a fair value close target for the stock. The recent close is also 8% below analysts' twelve-month $50.00 median price target for the stock.
The recent close represents a 16% increase in the one-year price of the stock, while year-over-year sales increased 12%, year-over-year earnings increased 15%, year-over-year debt decreased 8%, and year-over-year free cash flow increased 7%.
The company paid a dividend of $0.00, a year-over-year increase of 0%.
The stock currently has a trailing twelve-month PE Ratio of 14, and a PEG Ratio of 0.8 basis estimated forward earnings growth of 18%.
In the past 52 weeks, share prices have moved between a high of $61.29 and a low of $44.92, placing current equilibrium at $54.92. With the recent close, the stock is trading 14% below the 52 week high, 17% above the 52 week low, and 2% below current equilibrium.
The three-month average daily trading volume for this stock is approximately 0.947 million shares and the recent average daily trading volume is approximately 1.608 million shares. There are approximately 4.13 million short interest shares which places the most recent days to cover at 3.48.
AutoNation, Inc. through its subsidiaries, operates as an automotive retailer in the United States.
The company's listed competitors include Group 1 Automotive, Inc., Penske Automotive Group, Inc., and Sonic Automotive, Inc..
Financial information contained in this alert, was taken from the company's most recent annual SEC filing for year ending December 31, 2013. Unless otherwise noted, all prices are per share.
At this time Wax Ink has no investment position in any company mentioned in this alert. This alert is for use by Accredited Investors as defined under Title 17, CFR §230.500, Regulation D.
Wax Ink is a baseline equity research company not licensed or registered with any government agency focusing on long-term investment opportunities.
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Disclosure: The author has no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.