Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. As of today (2026-06-24), Sonic Automotive's Beta is 1.2173.
Sonic Automotive (NYSE:SAH) Beta Explanation
Beta is a measure of the volatility, or systematic risk, of a security or a portfolio in comparison to the market as a whole. We usually compare beta to 1. A beta of 1 indicates that the security's price will move with the market. A beta of less than 1 means that the security will be less volatile than the market. A beta of greater than 1 indicates that the security's price will be more volatile than the market.
Beta is primarily used in the Capital Asset Pricing Model (CAPM) to calculate the Cost of Equity, which can be used in the calculation of WACC %. The formula of Cost of Equity is:
Cost of Equity = Risk-Free Rate of Return + Beta of Asset * (Expected Return of the Market - Risk-Free Rate of Return)
Sonic Automotive Beta Related Terms
Sonic Automotive Beta Historical Data
* Premium members only.
The historical data trend for Sonic Automotive's Beta can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Auto & Truck Dealerships subindustry, Sonic Automotive's Beta, along with its competitors' market caps and Beta data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Sonic Automotive Beta vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Sonic Automotive's Beta distribution charts can be found below:
* The bar in red indicates where Sonic Automotive's Beta falls into.
Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. A stock's beta can be calculated by dividing the product of the covariance of the individual stock's returns and the market's returns by the variance of the market's returns over a specified period. Basically, GuruFocus uses the returns calculated over three-year period.
Sonic Automotive (SAH) has a Beta of 1.2173 as of Jun. 24, 2026. Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. View historical data for Sonic Automotive and its competitors.
Is Sonic Automotive's Beta too high?
Sonic Automotive's current Beta is 1.2173. Overall, Sonic Automotive has a GF Score™ of 82/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sonic Automotive's Beta compare to CARG and MCW?
Sonic Automotive's Beta of 1.2173 can be compared against companies in the Vehicles & Parts industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Beta for a Vehicles & Parts company?
A good Beta depends on the Vehicles & Parts industry context. However, Beta should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Beta mean?
A high Beta can signal that a stock is expensive relative to its fundamentals. Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. View historical data for Sonic Automotive and its competitors. Sonic Automotive's current Beta is 1.2173. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sonic Automotive stock overvalued right now?
Based on GuruFocus' analysis, Sonic Automotive (SAH) is currently considered Modestly Overvalued. The stock's GF Value™ is $64.31, compared to a current price of $83.62 — trading 30% above its estimated fair value. The current Beta is 1.2173. Sonic Automotive's overall GF Score™ is 82/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Beta calculated?
Beta is calculated from a company's financial statements. For Sonic Automotive (SAH), the current Beta is 1.2173 as of Jun. 24, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Sonic Automotive (SAH) Overvalued in 2026?
Based on GuruFocus' analysis, Sonic Automotive stock appears to be overvalued.
The current stock price of $83.62 is trading 30% above its estimated GF Value™ of $64.31.
GuruFocus considers Sonic Automotive to be Modestly Overvalued.
Key valuation signals for SAH:
Beta: 1.2173
GF Value™: $64.31 vs. price of $83.62 (30% above fair value)
No single metric tells the full story. See the SAH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sonic Automotive is one of the largest auto dealership groups in the United States. The company has 107 franchised stores in 18 states, primarily in metropolitan areas in California, Texas, and the Southeast, plus 18 EchoPark used-vehicle stores in 10 states, 16 collision centers, and 20 powersports locations. The franchise stores derive revenue from new and used vehicles plus parts and collision repair, finance, insurance, and wholesale auctions. Luxury and import dealerships make up about 86% of franchise new-vehicle revenue, while Honda, BMW, Mercedes, and Toyota constitute about 56% of new-vehicle revenue. BMW is the largest brand at about 23%. 2025 revenue was $15.2 billion, with Texas and California constituting 51% of the total. EchoPark's portion was $2.1 billion.
82GF Score
Get the complete analysis for SAH
Beta is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SAH has been successfully added to your 
