WallStSmart

AutoNation Inc (AN)vsGroup 1 Automotive Inc (GPI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

AutoNation Inc generates 22% more annual revenue ($27.49B vs $22.47B). AN leads profitability with a 2.5% profit margin vs 1.5%. GPI appears more attractively valued with a PEG of 0.39. AN earns a higher WallStSmart Score of 66/100 (B-).

AN

Strong Buy

66

out of 100

Grade: B-

Growth: 5.3Profit: 6.0Value: 7.7Quality: 4.0
Piotroski: 3/9Altman Z: 2.83

GPI

Buy

59

out of 100

Grade: C

Growth: 5.3Profit: 5.0Value: 7.7Quality: 5.5
Piotroski: 4/9Altman Z: 3.33

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AN5 strengths · Avg: 8.8/10
P/E RatioValuation
10.4x10/10

Attractively priced relative to earnings

Return on EquityProfitability
30.5%10/10

Every $100 of equity generates 30 in profit

PEG RatioValuation
0.718/10

Growing faster than its price suggests

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

EPS GrowthGrowth
31.5%8/10

Earnings expanding 31.5% YoY

GPI4 strengths · Avg: 9.5/10
PEG RatioValuation
0.3910/10

Growing faster than its price suggests

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.3310/10

Safe zone — low bankruptcy risk

P/E RatioValuation
12.4x8/10

Attractively priced relative to earnings

Areas to Watch

AN4 concerns · Avg: 2.8/10
Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Operating MarginProfitability
4.7%3/10

Operating margin of 4.7%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-2.1%2/10

Revenue declined 2.1%

GPI4 concerns · Avg: 2.8/10
Profit MarginProfitability
1.5%3/10

1.5% margin — thin

Operating MarginProfitability
4.5%3/10

Operating margin of 4.5%

Debt/EquityHealth
1.983/10

Elevated debt levels

Revenue GrowthGrowth
-1.8%2/10

Revenue declined 1.8%

Comparative Analysis Report

WallStSmart Research

Bull Case : AN

The strongest argument for AN centers on P/E Ratio, Return on Equity, PEG Ratio. PEG of 0.71 suggests the stock is reasonably priced for its growth.

Bull Case : GPI

The strongest argument for GPI centers on PEG Ratio, Price/Book, Altman Z-Score. PEG of 0.39 suggests the stock is reasonably priced for its growth.

Bear Case : AN

The primary concerns for AN are Profit Margin, Operating Margin, Piotroski F-Score. Debt-to-equity of 4.71 is elevated, increasing financial risk. Thin 2.5% margins leave little buffer for downturns.

Bear Case : GPI

The primary concerns for GPI are Profit Margin, Operating Margin, Debt/Equity. Debt-to-equity of 1.98 is elevated, increasing financial risk. Thin 1.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

GPI carries more volatility with a beta of 0.82 — expect wider price swings.

GPI is growing revenue faster at -1.8% — sustainability is the question.

GPI generates stronger free cash flow (-2M), providing more financial flexibility.

Monitor AUTO & TRUCK DEALERSHIPS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

AN scores higher overall (66/100 vs 59/100). Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

AutoNation Inc

CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA

AutoNation, Inc. is an automobile retailer in the United States. The company is headquartered in Fort Lauderdale, Florida.

Group 1 Automotive Inc

CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA

Group 1 Automotive, Inc., operates in the automotive retail industry. The company is headquartered in Houston, Texas.

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