AutoNation Inc (AN)vsCarvana Co (CVNA)
AN
AutoNation Inc
$185.82
+3.48%
CONSUMER CYCLICAL · Cap: $5.43B
CVNA
Carvana Co
$72.00
+5.43%
CONSUMER CYCLICAL · Cap: $75.70B
Smart Verdict
WallStSmart Research — data-driven comparison
Carvana Co generates 0% more annual revenue ($27.45B vs $27.45B). CVNA leads profitability with a 6.2% profit margin vs 2.8%. AN trades at a lower P/E of 7.6x. AN earns a higher WallStSmart Score of 66/100 (B-).
AN
Strong Buy66
out of 100
Grade: B-
CVNA
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for AN.
Margin of Safety
-32.8%
Fair Value
$51.41
Current Price
$72.00
$20.59 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Attractively priced relative to earnings
Every $100 of equity generates 30 in profit
Earnings expanding 138.5% YoY
Reasonable price relative to book value
Every $100 of equity generates 39 in profit
Revenue surging 42.4% year-over-year
Earnings expanding 85.7% YoY
Large-cap with strong market position
Areas to Watch
2.8% margin — thin
Operating margin of 4.5%
Revenue declined 0.6%
Negative free cash flow — burning cash
Premium valuation, high expectations priced in
Trading at 11.9x book value
6.2% margin — thin
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : AN
The strongest argument for AN centers on PEG Ratio, P/E Ratio, Return on Equity. PEG of 0.46 suggests the stock is reasonably priced for its growth.
Bull Case : CVNA
The strongest argument for CVNA centers on Return on Equity, Revenue Growth, EPS Growth. Revenue growth of 42.4% demonstrates continued momentum.
Bear Case : AN
The primary concerns for AN are Profit Margin, Operating Margin, Revenue Growth. Debt-to-equity of 5.02 is elevated, increasing financial risk. Thin 2.8% margins leave little buffer for downturns.
Bear Case : CVNA
The primary concerns for CVNA are P/E Ratio, Price/Book, Profit Margin.
Key Dynamics to Monitor
AN profiles as a value stock while CVNA is a hypergrowth play — different risk/reward profiles.
CVNA carries more volatility with a beta of 3.55 — expect wider price swings.
CVNA is growing revenue faster at 42.4% — sustainability is the question.
CVNA generates stronger free cash flow (187M), providing more financial flexibility.
Bottom Line
AN scores higher overall (66/100 vs 60/100). 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.
Carvana Co
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
Carvana Co., operates an e-commerce platform to buy and sell used cars in the United States. The company is headquartered in Tempe, Arizona.
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