AutoNation, Inc. (NYSE:AN) Stock Analysis: A Comprehensive Overview

Font: Financial Modeling Prep  • Oct 22, 2025

• AutoNation's average price target has remained steady at $220, indicating a consistent market valuation.
• JPMorgan analyst Rajat Gupta has raised the price target to $230, reflecting optimism about the company's future performance.
• The company has a strong history of earnings surprises, suggesting a positive outlook for its upcoming quarterly report.

AutoNation, Inc. (NYSE:AN) is a leading automotive retailer in the United States, known for its comprehensive range of automotive products and services. The company operates through three main segments: Domestic, Import, and Premium Luxury. It offers new and used vehicle sales, automotive repair and maintenance, and automotive finance and insurance products. AutoNation competes with other major automotive retailers like CarMax and Penske Automotive Group.

Analysts have maintained a consistent outlook on AutoNation's stock, with the average price target remaining steady at $220 over the past year. This stability suggests a consistent view of the company's valuation and market potential. However, Wells Fargo has set a lower price target of $153, indicating a more cautious stance on the stock's future performance.

JPMorgan analyst Rajat Gupta has increased the price target for AutoNation from $205 to $230, reflecting a positive outlook on the company's franchise dealer estimates. This adjustment considers the mix of electric vehicles and challenges in the UK market. Despite this, Gupta maintains a Neutral rating, suggesting a balanced risk and reward scenario in the medium term.

AutoNation has a strong track record of surpassing earnings expectations, which could bode well for its upcoming quarterly report. The company has consistently demonstrated impressive earnings surprises, indicating a favorable financial outlook. Despite uncertainties surrounding auto tariffs, AutoNation has managed to maintain strong service revenue and effective capital returns.

In the midst of market volatility, AutoNation is highlighted as a broker-adored stock, alongside others like KE, ALK, ABG, and AXL. These stocks are noted for their strong earnings history and strategic growth initiatives. Despite the varied price targets from different analysts, AutoNation's ability to withstand market challenges and maintain robust demand for automobiles positions it as a strong contender in the automotive retail sector.