User 174536

AutoNation: Lots to Look Forward to Down the Road

Marcap, AN has bought about $2 billion of stock back the last 3-4 years. That's a direct reduction of shareholders' equity so it's pretty stupid to say this is overpriced based on its P/B ratio.

You also forgot to include inventory in your "current shortfall" calculation. Where do you think the A/P comes from? It can "get" cash by selling its inventory...just like any other business does.