AutoNation Inc (AN)vsCarvana Co (CVNA)
AN
AutoNation Inc
$202.28
-0.19%
CONSUMER CYCLICAL · Cap: $7.21B
CVNA
Carvana Co
$376.55
-1.58%
CONSUMER CYCLICAL · Cap: $84.54B
Smart Verdict
WallStSmart Research — data-driven comparison
AutoNation Inc generates 23% more annual revenue ($27.63B vs $22.52B). CVNA leads profitability with a 6.4% profit margin vs 2.4%. AN trades at a lower P/E of 11.4x. CVNA earns a higher WallStSmart Score of 56/100 (C).
AN
Buy55
out of 100
Grade: C
CVNA
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+13.1%
Fair Value
$239.19
Current Price
$202.28
$36.91 discount
Margin of Safety
-44.4%
Fair Value
$252.13
Current Price
$376.55
$124.42 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Safe zone — low bankruptcy risk
Every $100 of equity generates 27 in profit
Growing faster than its price suggests
Every $100 of equity generates 60 in profit
Revenue surging 52.0% year-over-year
Large-cap with strong market position
Conservative balance sheet, low leverage
Areas to Watch
1.3% earnings growth
2.4% margin — thin
Operating margin of 4.0%
Weak financial health signals
Trading at 14.5x book value
6.4% margin — thin
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : AN
The strongest argument for AN centers on P/E Ratio, Altman Z-Score, Return on Equity. PEG of 0.78 suggests the stock is reasonably priced for its growth.
Bull Case : CVNA
The strongest argument for CVNA centers on Return on Equity, Revenue Growth, Market Cap. Revenue growth of 52.0% demonstrates continued momentum.
Bear Case : AN
The primary concerns for AN are EPS Growth, Profit Margin, Operating Margin. Thin 2.4% margins leave little buffer for downturns.
Bear Case : CVNA
The primary concerns for CVNA are Price/Book, Profit Margin, P/E Ratio. A P/E of 44.2x leaves little room for execution misses.
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 52.0% — sustainability is the question.
CVNA generates stronger free cash flow (56M), providing more financial flexibility.
Bottom Line
CVNA scores higher overall (56/100 vs 55/100) and 52.0% revenue growth. Both earn "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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