Revenue growth has decelerated to a -2.1% year-over-year decline in 2026Q1, while gross margins remain under pressure, fluctuating between 16.6% and 18.5% over the last ten quarters.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 27.49B | 27.63B | 26.77B | 26.95B | 26.98B | 25.84B | 20.39B | 21.34B | 21.41B | 21.53B | 21.61B | 20.86B | 19.11B | 17.52B | 15.67B | 13.83B | 12.46B | 10.76B | 14.13B | 17.69B | 18.99B | 19.25B | 19.42B | 19.38B | 19.48B | 19.99B | 20.61B | 20.11B | 16.12B | 6.12B | 2.37B |
| Revenue Growth % | 1.94% | 3.24% | -0.68% | -0.13% | 4.42% | 26.75% | -4.43% | -0.36% | -0.57% | -0.34% | 3.58% | 9.17% | 9.08% | 11.8% | 13.28% | 11% | 15.83% | -23.88% | -20.12% | -6.83% | -1.38% | -0.88% | 0.22% | -0.5% | -2.56% | -3.01% | 2.48% | 24.78% | 163.25% | 158.84% | -47.75% |
| Cost of Goods Sold | 22.61B | 22.93B | 21.98B | 21.82B | 21.72B | 20.89B | 16.82B | 17.81B | 18.02B | 18.18B | 18.3B | 17.6B | 16.12B | 14.76B | 13.18B | 11.53B | 10.33B | 8.83B | 11.75B | 14.85B | 15.94B | 16.19B | 16.41B | 16.42B | 16.49B | 17.12B | 17.58B | 17.28B | 12.48B | 7.64B | 3.98B |
| COGS % of Revenue | - | 83% | 82.12% | 80.96% | 80.49% | 80.84% | 82.51% | 83.49% | 84.13% | 84.4% | 84.67% | 84.37% | 84.36% | 84.25% | 84.13% | 83.34% | 82.93% | 82.07% | 83.16% | 83.92% | 83.97% | 84.09% | 84.49% | 84.71% | 84.67% | 85.62% | 85.29% | 85.9% | 77.43% | 124.8% | 168.16% |
| Gross Profit | 4.88B | 4.7B | 4.79B | 5.13B | 5.27B | 4.95B | 3.57B | 3.52B | 3.4B | 3.36B | 3.31B | 3.26B | 2.99B | 2.76B | 2.49B | 2.3B | 2.13B | 1.93B | 2.38B | 2.84B | 3.04B | 3.06B | 3.01B | 2.96B | 2.99B | 2.87B | 3.03B | 2.84B | 3.64B | -1.52B | -1.61B |
| Gross Margin % | 17.74% | 17% | 17.88% | 19.04% | 19.51% | 19.16% | 17.49% | 16.51% | 15.87% | 15.6% | 15.33% | 15.63% | 15.64% | 15.75% | 15.87% | 16.66% | 17.07% | 17.93% | 16.84% | 16.08% | 16.03% | 15.91% | 15.51% | 15.29% | 15.33% | 14.38% | 14.71% | 14.1% | 22.57% | -24.8% | -68.16% |
| Gross Profit Growth % | - | -1.85% | -6.74% | -2.54% | 6.31% | 38.87% | 1.23% | 3.7% | 1.14% | 1.38% | 1.59% | 9.13% | 8.29% | 11% | 7.92% | 8.3% | 10.3% | -18.94% | -16.34% | -6.57% | -0.63% | 1.69% | 1.68% | -0.79% | 3.92% | -5.23% | 6.96% | -22.05% | 339.5% | 5.81% | -136.83% |
| Operating Expenses | 3.6B | 3.36B | 3.48B | 3.48B | 3.24B | 3.05B | 3B | 2.69B | 2.61B | 2.52B | 2.42B | 2.37B | 2.17B | 2.02B | 1.84B | 1.73B | 1.63B | 1.5B | 1.79B | 2.09B | 2.19B | 2.12B | 2.11B | 2.11B | 2.19B | 2.43B | 2.32B | 2.39B | 1.48B | 711.6M | 1.65B |
| OpEx % of Revenue | - | 12.17% | 13% | 12.91% | 12.01% | 11.8% | 14.73% | 12.61% | 12.2% | 11.68% | 11.22% | 11.37% | 11.34% | 11.53% | 11.72% | 12.52% | 13.09% | 13.95% | 12.69% | 11.81% | 11.54% | 11.02% | 10.88% | 10.91% | 11.24% | 12.18% | 11.24% | 11.88% | 9.17% | 11.62% | 69.69% |
| Selling, General & Admin | 3.38B | 3.36B | 3.26B | 3.25B | 3.03B | 2.88B | 2.42B | 2.56B | 2.51B | 2.44B | 2.35B | 2.26B | 2.08B | 1.94B | 1.75B | 1.65B | 1.55B | 1.46B | 1.81B | 2.05B | 2.17B | 2.18B | 2.16B | 2.16B | 2.2B | 2.21B | 2.18B | 2.28B | 1.4B | 672.8M | 847.9M |
| SG&A % of Revenue | - | 12.17% | 12.19% | 12.07% | 11.21% | 11.13% | 11.88% | 11.99% | 11.72% | 11.31% | 10.87% | 10.85% | 10.88% | 11.05% | 11.17% | 11.92% | 12.46% | 13.61% | 12.83% | 11.57% | 11.4% | 11.3% | 11.11% | 11.13% | 11.3% | 11.04% | 10.57% | 11.33% | 8.68% | 10.99% | 35.84% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 2M | 0 | 216M | 226.4M | 214.7M | 173.6M | 581.2M | 131.2M | 101.5M | 79.4M | 74.3M | 109.5M | 88.3M | 84.6M | 87.4M | 82.6M | 78.8M | 53.4M | 94.7M | 89.9M | 81.2M | 77.4M | 83.2M | 70.5M | 57.4M | 226.7M | 139.8M | 110.2M | 79.7M | 38.8M | 800.6M |
| Operating Income | 1.22B | 1.33B | 1.31B | 1.65B | 2.02B | 1.9B | 563.2M | 823.6M | 777.9M | 843.4M | 889.5M | 873.1M | 820.8M | 740.3M | 645.3M | 572M | 496.6M | 409.5M | 457.7M | 703.6M | 791.7M | 793.9M | 754.5M | 729.5M | 720.6M | 440M | 504.6M | 401M | 356.3M | -9M | 6.7M |
| Operating Margin % | 4.45% | 4.83% | 4.88% | 6.13% | 7.5% | 7.36% | 2.76% | 3.86% | 3.63% | 3.92% | 4.12% | 4.19% | 4.3% | 4.23% | 4.12% | 4.14% | 3.99% | 3.81% | 3.24% | 3.98% | 4.17% | 4.12% | 3.88% | 3.76% | 3.7% | 2.2% | 2.45% | 1.99% | 2.21% | -0.15% | 0.28% |
| Operating Income Growth % | - | 2.25% | -20.97% | -18.4% | 6.4% | 237.86% | -31.62% | 5.87% | -7.77% | -5.18% | 1.88% | 6.37% | 10.87% | 14.72% | 12.81% | 15.18% | 21.27% | -10.53% | -34.95% | -11.13% | -0.28% | 5.22% | 3.43% | 1.24% | 63.77% | -12.8% | 25.84% | 12.55% | 4058.89% | -234.33% | -92.9% |
| EBITDA | 1.47B | 1.59B | 1.55B | 1.87B | 2.22B | 2.1B | 762.1M | 1B | 944.1M | 1B | 1.03B | 1B | 927.7M | 835.6M | 732.6M | 655.7M | 573.4M | 487M | 548.5M | 795.3M | 876.8M | 878.5M | 840.3M | 803.1M | 793.5M | 594.8M | 640.2M | 524.3M | 436M | 29.8M | 807.3M |
| EBITDA Margin % | 5.36% | 5.74% | 5.78% | 6.95% | 8.24% | 8.11% | 3.74% | 4.71% | 4.41% | 4.65% | 4.78% | 4.8% | 4.85% | 4.77% | 4.68% | 4.74% | 4.6% | 4.53% | 3.88% | 4.5% | 4.62% | 4.56% | 4.33% | 4.14% | 4.07% | 2.98% | 3.11% | 2.61% | 2.71% | 0.49% | 34.13% |
| EBITDA Growth % | -4.57% | 2.59% | -17.42% | -15.84% | 6.14% | 175.04% | -24.1% | 6.36% | -5.78% | -2.99% | 3.24% | 7.85% | 11.02% | 14.06% | 11.73% | 14.35% | 17.74% | -11.21% | -31.03% | -9.3% | -0.19% | 4.55% | 4.63% | 1.21% | 33.41% | -7.09% | 22.11% | 20.25% | 1363.09% | -96.31% | 8.77% |
| D&A (Non-Cash Add-back) | 252.6M | 251.4M | 240.7M | 220.5M | 200.3M | 193.3M | 198.9M | 180.5M | 166.2M | 158.6M | 143.4M | 127.4M | 106.9M | 95.3M | 87.3M | 83.7M | 76.8M | 77.5M | 90.8M | 91.7M | 85.1M | 84.6M | 85.8M | 73.6M | 72.9M | 154.8M | 135.6M | 123.3M | 79.7M | 38.8M | 800.6M |
| EBIT | 969.5M | 1.25B | 1.36B | 1.7B | 2.01B | 1.93B | 707.6M | 857.7M | 779.2M | 853.7M | 894.3M | 871.9M | 822.3M | 746.1M | 649.2M | 570M | 479.9M | 427.5M | -1.23B | 703.5M | 791.7M | 793.9M | 754.5M | 729.5M | 720.6M | 440M | 504.6M | 401M | 356.3M | -9M | 6.7M |
| Net Interest Income | -200.7M | -368.8M | -350.4M | -326.1M | -176.3M | -118.7M | -157.5M | -245.1M | -248.7M | -216.2M | -190.9M | -149.1M | -139.8M | -141.5M | -132.1M | -108M | -97.2M | -77.2M | -168.3M | -239.7M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 55.2M | 0 | 88M | 0 | 0 | 0 | 0 | 0 | 1.1M | 1M | 1.1M | 100K | 200K | 200K | 300K | 700K | 1.4M | 1.1M | 2.2M | 3.4M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 214.1M | 368.8M | 438.4M | 326.1M | 176.3M | 118.7M | 157.5M | 245.1M | 249.8M | 217.2M | 192M | 149.2M | 140M | 141.7M | 132.4M | 108.7M | 98.6M | 78.3M | 170.5M | 243.1M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -295.9M | -450.4M | -388.8M | -301.7M | -191M | -94.4M | -13.1M | -211M | -248.5M | -206.9M | -187.2M | -150.4M | -138.5M | -135.9M | -128.5M | -110.7M | -115.3M | -60.3M | -1.86B | -243.2M | -250.5M | -175.6M | -153.2M | -118M | -105M | -39.2M | 20.4M | -428.5M | -3.7M | 30.4M | -42.4M |
| Pretax Income | 926.2M | 884.5M | 916.7M | 1.35B | 1.83B | 1.81B | 550.1M | 612.6M | 529.4M | 636.5M | 702.3M | 722.7M | 682.3M | 604.4M | 516.8M | 461.3M | 381.3M | 351M | -1.42B | 459.3M | 542.1M | 618.3M | 601.3M | 611.5M | 615.6M | 400.8M | 525M | -27.5M | 352.6M | 21.4M | -35.7M |
| Pretax Margin % | 3.37% | 3.2% | 3.42% | 5.01% | 6.79% | 7% | 2.7% | 2.87% | 2.47% | 2.96% | 3.25% | 3.46% | 3.57% | 3.45% | 3.3% | 3.33% | 3.06% | 3.26% | -10.07% | 2.6% | 2.85% | 3.21% | 3.1% | 3.16% | 3.16% | 2.01% | 2.55% | -0.14% | 2.19% | 0.35% | -1.51% |
| Income Tax | 247.2M | 235.4M | 224.5M | 330M | 455.8M | 435.1M | 168.3M | 161.8M | 133.5M | 201.5M | 270.6M | 279M | 262.5M | 228.6M | 199.5M | 177.1M | 146M | 116.8M | -197.3M | 171.3M | 210.7M | 228.3M | 210.7M | 84.9M | 236.4M | 155.8M | 196.9M | 4M | 126.8M | 8M | 15.3M |
| Effective Tax Rate % | 26.69% | 26.61% | 24.49% | 24.44% | 24.86% | 24.06% | 30.59% | 26.41% | 25.22% | 31.66% | 38.53% | 38.61% | 38.47% | 37.82% | 38.6% | 38.39% | 38.29% | 33.28% | 13.87% | 37.3% | 38.87% | 36.92% | 35.04% | 13.88% | 38.4% | 38.87% | 37.5% | -14.55% | 35.96% | 37.38% | -42.86% |
| Net Income | 679M | 649.1M | 692.2M | 1.02B | 1.38B | 1.37B | 381.6M | 450M | 396M | 434.6M | 430.5M | 442.6M | 418.7M | 374.9M | 316.4M | 281.4M | 226.6M | 198M | -1.24B | 278.7M | 316.9M | 496.5M | 433.6M | 479.2M | 381.6M | 232.3M | 329.9M | 282.9M | 499.5M | 439.7M | -6.7M |
| Net Margin % | 2.47% | 2.35% | 2.59% | 3.79% | 5.1% | 5.31% | 1.87% | 2.11% | 1.85% | 2.02% | 1.99% | 2.12% | 2.19% | 2.14% | 2.02% | 2.03% | 1.82% | 1.84% | -8.8% | 1.58% | 1.67% | 2.58% | 2.23% | 2.47% | 1.96% | 1.16% | 1.6% | 1.41% | 3.1% | 7.18% | -0.28% |
| Net Income Growth % | 0.21% | -6.23% | -32.21% | -25.87% | 0.32% | 259.8% | -15.2% | 13.64% | -8.88% | 0.95% | -2.73% | 5.71% | 11.68% | 18.49% | 12.44% | 24.18% | 14.44% | 115.93% | -546.04% | -12.05% | -36.17% | 14.51% | -9.52% | 25.58% | 64.27% | -29.58% | 16.61% | -43.36% | 13.6% | 6662.69% | -137.02% |
| Net Income (Continuing) | 679M | 649.1M | 692.2M | 1.02B | 1.38B | 1.37B | 381.8M | 450.8M | 395.9M | 435M | 431.7M | 443.7M | 419.8M | 375.8M | 317.3M | 284.2M | 235.3M | 234.2M | -1.21B | 288M | 331.4M | 392.6M | 392.9M | 518.7M | 380.1M | 245M | 328.1M | -31.5M | 225.8M | 13.4M | -51M |
| Discontinued Operations | 0 | 0 | 0 | 900K | -300K | -300K | -200K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 19.57 | 17.04 | 16.92 | 22.74 | 24.29 | 18.31 | 4.30 | 4.97 | 4.34 | 4.43 | 4.15 | 3.89 | 3.52 | 3.04 | 2.52 | 1.91 | 1.43 | 1.12 | -6.99 | 1.39 | 1.38 | 1.85 | 1.59 | 1.67 | 1.19 | 0.69 | 0.91 | 0.66 | 1.06 | 1.02 | -0.02 |
| EPS Growth % | 9.77% | 0.71% | -25.59% | -6.38% | 32.66% | 325.81% | -13.48% | 14.52% | -2.03% | 6.75% | 6.68% | 10.51% | 15.79% | 20.63% | 31.94% | 33.57% | 27.68% | 116.02% | -602.88% | 0.72% | -25.41% | 16.35% | -4.79% | 40.34% | 72.46% | -24.18% | 37.88% | -37.74% | 3.92% | 5200% | -128.57% |
| EPS (Basic) | - | 17.26 | 17.09 | 22.89 | 24.47 | 18.50 | 4.32 | 4.99 | 4.34 | 4.74 | 4.18 | 3.99 | 3.70 | 3.10 | 2.62 | 2.07 | 1.53 | 1.15 | -6.99 | 1.41 | 1.41 | 1.89 | 1.62 | 1.71 | 1.20 | 0.70 | 0.91 | 0.66 | 1.10 | 1.09 | -0.02 |
| Diluted Shares Outstanding | 34.7M | 38.1M | 40.3M | 44.9M | 56.7M | 75M | 88.7M | 90.5M | 91.3M | 98.2M | 103.8M | 113.9M | 118.9M | 123.3M | 125.8M | 147.3M | 158.6M | 176.5M | 177.8M | 200M | 229.3M | 268M | 272.5M | 287M | 321.5M | 335.2M | 362.53M | 429.8M | 470.9M | 431.08M | 335M |
| Basic Shares Outstanding | 34.7M | 38.1M | 39.9M | 44.6M | 56.3M | 74.2M | 88.3M | 90.1M | 90.9M | 98.19M | 103.77M | 113.77M | 118.9M | 123.21M | 125.8M | 135.8M | 148.36M | 176.5M | 177.8M | 198.3M | 225.2M | 262.2M | 266.7M | 279.5M | 316.7M | 331.86M | 362.53M | 429.8M | 455.1M | 403.39M | 335M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Interest rate sensitivity
As indicated by recent quarterly filings, AutoNation's revenue growth has turned negative, with a 2.1% year-over-year decline in 2026Q1, reflecting a broader deceleration from the 7.6% growth peak observed in 2025Q2 as the automotive retail environment shifts toward a more challenging demand cycle for new vehicles.
The transition from positive growth to contraction suggests that the post-pandemic pricing tailwinds have largely dissipated. Investors should monitor whether this trend represents a temporary cyclical trough or a more permanent shift in consumer affordability and demand for new vehicle inventory.
Based on reported financial statements, AutoNation's gross margin has fluctuated between 16.6% and 18.5% over the last ten quarters, suggesting that the company is struggling to maintain the elevated profitability levels seen during the supply-constrained period of the previous two years as market competition intensifies.
The compression in gross margins appears to be a direct consequence of normalizing vehicle pricing and increased competitive pressure. This volatility implies that the company's ability to sustain historical margin levels is highly dependent on its ability to drive high-margin service and F&I revenue to offset lower vehicle sales profitability.
According to the provided income statement data, operating income has shown significant volatility, dropping to $217.6 million in 2025Q2 from a high of $372.4 million in 2025Q3, which highlights the difficulty of managing fixed costs like SG&A when top-line revenue growth begins to stall.
The lack of consistent operating leverage suggests that the company's cost structure remains heavily weighted toward fixed expenses that do not scale down proportionally with revenue declines. This warrants further investigation into management's ability to implement cost-saving measures without compromising the long-term service-based moat.
As reported in recent filings, AutoNation's EPS has experienced extreme swings, ranging from $2.26 in 2025Q2 to $5.92 in 2026Q1, a trend that appears heavily influenced by aggressive share repurchases and non-operating items rather than purely organic operational improvements in the core dealership business.
The reliance on share buybacks to drive EPS growth may be masking the underlying volatility of the dealership operations. Investors should be cautious, as this capital allocation strategy may limit the company's financial flexibility during periods of economic contraction or rising interest rates.
Based on the provided financial metrics, AutoNation's high debt-to-equity ratio of 4.35 presents a significant risk, as rising interest rates may continue to inflate floorplan financing costs and constrain the company's ability to fund future growth or maintain its current pace of share repurchases.
Short-sellers may focus on this leverage profile as a primary vulnerability, particularly if the automotive cycle enters a deeper downturn. The company's reliance on debt to finance inventory and buybacks appears to be a double-edged sword that could exacerbate margin compression during periods of low vehicle volume.
Quick answers to the most common questions about buying AN stock.
For fiscal year 2025, AutoNation, Inc. (AN) reported total revenue of $27.63B. This represents a 1068.1% increase compared to $2.37B in 1996.
AutoNation, Inc. (AN) is profitable, generating $649.1M in net income for the fiscal year ending 2025 with a net profit margin of 2.3%.
AutoNation, Inc. (AN) reported an operating income of $1.33B, resulting in an operating profit margin of 4.8%. This margin reflects the operational efficiency of the business before interest and taxes.
AutoNation, Inc. (AN) generated $4.70B in gross profit for the year, representing a gross profit margin of 17.0%. This demonstrates the company's core pricing power and production efficiency.