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AutoNation (AutoNation) Intrinsic Value: Projected FCF

: $303.98 (As of Today)
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Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-04-23), AutoNation's Intrinsic Value: Projected FCF is $303.98. The stock price of AutoNation is $154.57. Therefore, AutoNation's Price-to-Intrinsic-Value-Projected-FCF of today is 0.5.

The historical rank and industry rank for AutoNation's Intrinsic Value: Projected FCF or its related term are showing as below:

AN' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.47   Med: 0.92   Max: 1.4
Current: 0.51

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of AutoNation was 1.40. The lowest was 0.47. And the median was 0.92.

AN's Price-to-Projected-FCF is ranked better than
78.72% of 888 companies
in the Vehicles & Parts industry
Industry Median: 1.05 vs AN: 0.51

AutoNation Intrinsic Value: Projected FCF Historical Data

The historical data trend for AutoNation's Intrinsic Value: Projected FCF 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.

* Premium members only.

AutoNation Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 62.31 71.04 120.87 229.21 303.98

AutoNation Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: Projected FCF Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 229.21 274.63 291.82 311.83 303.98

Competitive Comparison

For the Auto & Truck Dealerships subindustry, AutoNation's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF 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.


AutoNation Price-to-Projected-FCF Distribution

For the Vehicles & Parts industry and Consumer Cyclical sector, AutoNation's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where AutoNation's Price-to-Projected-FCF falls into.



AutoNation Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get AutoNation's Free Cash Flow(6 year avg) = $756.34.

AutoNation's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(14.862653310476*756.336+2211.4*0.8)/42.800
=303.98

* 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.


AutoNation  (NYSE:AN) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

AutoNation's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=154.57/303.97849893066
=0.51

* 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.


AutoNation Intrinsic Value: Projected FCF Related Terms

Thank you for viewing the detailed overview of AutoNation's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


AutoNation (AutoNation) Business Description

Traded in Other Exchanges
Address
200 SW 1st Avenue, Fort Lauderdale, FL, USA, 33301
AutoNation is the second largest automotive dealer in the United States, with 2022 revenue of $27 billion and over 250 dealerships, plus 53 collision centers. The firm also has 16 AutoNation USA used-vehicle stores, a captive lender, four auction sites, and three parts distributors all across 20 states primarily in Sunbelt metropolitan areas. New-vehicle sales account for nearly half of revenue; the company also sells used vehicles, parts, and repair services as well as auto financing. The company (formerly Republic Industries) spun off its waste management unit (Republic Services) in 1999 and its car rental businesses (ANC Rental) in 2000. Wayne Huizenga founded the company in the 1990s to bring the rollup acquisition strategy to auto retailing, which has proved to be a smart move.
Executives
Edward S Lampert director, 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOUR FL 33154
Jeff Parent officer: COO 200 SW 1ST AVE, SUITE 1600, FORT LAUDERDALE FL 33301
Mikan George Lawrence Iii director 200 SW 1ST AVE, SUITE 1600, FORT LAUDERDALE FL 33301
Robert R Grusky director C/O STRAYER EDUCATION INC, 2303 DULLES STATION BOULEVARD, HERNDON VA 20171
Edmunds C Coleman officer: EVP, Gen Counsel & Corp Sec 200 SW 1ST AVE, SUITE 1600, FORT LAUDERDALE FL 33301
Thomas A Szlosek other: EVP & CFO HONEYWELL INTERNATIONAL INC., 115 TABOR ROAD, MORRIS PLAINS NJ 07950
Joseph T Lower officer: EVP & CFO 200 SW 1ST AVE, SUITE 1600, FORT LAUDERDALE FL 33301
Michael Mark Manley director, officer: CEO and Director 1000 CHRYSLER DRIVE, CIMS 485-09-96, AUBURN HILLS MI 48326
Marc G Cannon officer: CMO & SVP, Communications 200 SW 1ST AVE, SUITE 1600, FORT LAUDERDALE FL 33301
Kimberly Dees officer: SVP & CAO 200 SW 1ST AVENUE, SUITE 1600, FORT LAUDERDALE FL 33301
Lisa Esparza officer: EVP and CHIEF HR OFFICER 200 SW 1ST AVENUE, SUITE 1600, FORT LAUDERDALE FL 33301
Gianluca Camplone officer: COO Prec Parts & EVP Mobility 200 SW 1ST AVE, SUITE 1600, FORT LAUDERDALE FL 33301
Christopher Cade officer: VP and CAO 200 SW 1ST AVE, SUITE 1600, FORT LAUDERDALE FL 33301
Steve Kwak officer: COO Franchised Business 200 SW 1ST AVE, SUITE 1600, FORT LAUDERDALE FL 33301
Jacqueline A Travisano director 200 SW 1ST AVE, SUITE 1600, FORT LAUDERDALE FL 33301