SONIC AUTOMOTIVE INC-CLASS A (SAH) Fundamental Analysis & Valuation

NYSE:SAH • US83545G1022

Current stock price

68.06 USD
+0.23 (+0.34%)
At close:
68.06 USD
0 (0%)
After Hours:

This SAH fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. SAH Profitability Analysis

1.1 Basic Checks

  • In the past year SAH was profitable.
  • In the past year SAH had a positive cash flow from operations.
  • Each year in the past 5 years SAH has been profitable.
  • SAH had a positive operating cash flow in 4 of the past 5 years.
SAH Yearly Net Income VS EBIT VS OCF VS FCFSAH Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M -200M 400M 600M

1.2 Ratios

  • SAH's Return On Assets of 1.99% is in line compared to the rest of the industry. SAH outperforms 54.92% of its industry peers.
  • SAH has a better Return On Equity (11.11%) than 66.39% of its industry peers.
  • SAH's Return On Invested Capital of 7.81% is fine compared to the rest of the industry. SAH outperforms 69.67% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for SAH is significantly below the industry average of 13.64%.
  • The last Return On Invested Capital (7.81%) for SAH is above the 3 year average (7.59%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 1.99%
ROE 11.11%
ROIC 7.81%
ROA(3y)2.99%
ROA(5y)3.55%
ROE(3y)17.14%
ROE(5y)18.75%
ROIC(3y)7.59%
ROIC(5y)8.67%
SAH Yearly ROA, ROE, ROICSAH Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 20 30

1.3 Margins

  • SAH's Profit Margin of 0.78% is in line compared to the rest of the industry. SAH outperforms 53.28% of its industry peers.
  • In the last couple of years the Profit Margin of SAH has grown nicely.
  • SAH has a better Operating Margin (3.57%) than 60.66% of its industry peers.
  • In the last couple of years the Operating Margin of SAH has grown nicely.
  • Looking at the Gross Margin, with a value of 15.72%, SAH is doing worse than 82.79% of the companies in the same industry.
  • In the last couple of years the Gross Margin of SAH has grown nicely.
Industry RankSector Rank
OM 3.57%
PM (TTM) 0.78%
GM 15.72%
OM growth 3Y-7.62%
OM growth 5Y2.79%
PM growth 3Y7.41%
PM growth 5YN/A
GM growth 3Y-1.69%
GM growth 5Y1.52%
SAH Yearly Profit, Operating, Gross MarginsSAH Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 10 15

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. SAH Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SAH is still creating some value.
  • The number of shares outstanding for SAH has been reduced compared to 1 year ago.
  • Compared to 5 years ago, SAH has less shares outstanding
  • SAH has about the same debt/assets ratio as last year.
SAH Yearly Shares OutstandingSAH Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10M 20M 30M 40M
SAH Yearly Total Debt VS Total AssetsSAH Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

2.2 Solvency

  • SAH has an Altman-Z score of 3.51. This indicates that SAH is financially healthy and has little risk of bankruptcy at the moment.
  • SAH's Altman-Z score of 3.51 is fine compared to the rest of the industry. SAH outperforms 78.69% of its industry peers.
  • The Debt to FCF ratio of SAH is 9.40, which is on the high side as it means it would take SAH, 9.40 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 9.40, SAH is in line with its industry, outperforming 56.56% of the companies in the same industry.
  • A Debt/Equity ratio of 3.61 is on the high side and indicates that SAH has dependencies on debt financing.
  • SAH has a worse Debt to Equity ratio (3.61) than 74.59% of its industry peers.
Industry RankSector Rank
Debt/Equity 3.61
Debt/FCF 9.4
Altman-Z 3.51
ROIC/WACC1.3
WACC6.01%
SAH Yearly LT Debt VS Equity VS FCFSAH Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B 1.5B

2.3 Liquidity

  • SAH has a Current Ratio of 1.09. This is a normal value and indicates that SAH is financially healthy and should not expect problems in meeting its short term obligations.
  • SAH has a worse Current ratio (1.09) than 66.39% of its industry peers.
  • A Quick Ratio of 0.32 indicates that SAH may have some problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 0.32, SAH is doing worse than 73.77% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.09
Quick Ratio 0.32
SAH Yearly Current Assets VS Current LiabilitesSAH Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. SAH Growth Analysis

3.1 Past

  • SAH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.86%, which is quite good.
  • The Earnings Per Share has been growing by 11.44% on average over the past years. This is quite good.
  • The Revenue has been growing slightly by 6.53% in the past year.
  • The Revenue has been growing by 9.18% on average over the past years. This is quite good.
EPS 1Y (TTM)17.86%
EPS 3Y-11.8%
EPS 5Y11.44%
EPS Q2Q%0.66%
Revenue 1Y (TTM)6.53%
Revenue growth 3Y2.67%
Revenue growth 5Y9.18%
Sales Q2Q%-0.63%

3.2 Future

  • Based on estimates for the next years, SAH will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.15% on average per year.
  • The Revenue is expected to grow by 7.27% on average over the next years.
EPS Next Y0.59%
EPS Next 2Y5.48%
EPS Next 3Y5.41%
EPS Next 5Y13.15%
Revenue Next Year3.51%
Revenue Next 2Y3.82%
Revenue Next 3Y5.33%
Revenue Next 5Y7.27%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
SAH Yearly Revenue VS EstimatesSAH Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5B 10B 15B 20B
SAH Yearly EPS VS EstimatesSAH Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2 4 6 8 10

More info and screens

Find the best growth stocksShow best growing peers

7

4. SAH Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 10.31, which indicates a very decent valuation of SAH.
  • Based on the Price/Earnings ratio, SAH is valued cheaply inside the industry as 85.25% of the companies are valued more expensively.
  • When comparing the Price/Earnings ratio of SAH to the average of the S&P500 Index (26.86), we can say SAH is valued rather cheaply.
  • SAH is valuated reasonably with a Price/Forward Earnings ratio of 10.25.
  • Based on the Price/Forward Earnings ratio, SAH is valued cheaply inside the industry as 85.25% of the companies are valued more expensively.
  • When comparing the Price/Forward Earnings ratio of SAH to the average of the S&P500 Index (37.39), we can say SAH is valued rather cheaply.
Industry RankSector Rank
PE 10.31
Fwd PE 10.25
SAH Price Earnings VS Forward Price EarningsSAH Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • 78.69% of the companies in the same industry are more expensive than SAH, based on the Enterprise Value to EBITDA ratio.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of SAH indicates a rather cheap valuation: SAH is cheaper than 90.16% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 5.47
EV/EBITDA 6.26
SAH Per share dataSAH EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 100 200 300 400

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • SAH has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)17.48
PEG (5Y)0.9
EPS Next 2Y5.48%
EPS Next 3Y5.41%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. SAH Dividend Analysis

5.1 Amount

  • SAH has a Yearly Dividend Yield of 2.24%.
  • Compared to an average industry Dividend Yield of 3.39, SAH pays a bit more dividend than its industry peers.
  • SAH's Dividend Yield is a higher than the S&P500 average which is at 1.82.
Industry RankSector Rank
Dividend Yield 2.24%

5.2 History

  • The dividend of SAH is nicely growing with an annual growth rate of 29.05%!
  • SAH has paid a dividend for at least 10 years, which is a reliable track record.
  • SAH has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)29.05%
Div Incr Years5
Div Non Decr Years15
SAH Yearly Dividends per shareSAH Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1

5.3 Sustainability

  • SAH pays out 41.11% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • SAH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP41.11%
EPS Next 2Y5.48%
EPS Next 3Y5.41%
SAH Yearly Income VS Free CF VS DividendSAH Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M -200M 400M
SAH Dividend Payout.SAH Dividend Payout, showing the Payout Ratio.SAH Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

SAH Fundamentals: All Metrics, Ratios and Statistics

SONIC AUTOMOTIVE INC-CLASS A

NYSE:SAH (4/10/2026, 8:04:00 PM)

After market: 68.06 0 (0%)

68.06

+0.23 (+0.34%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)02-18
Earnings (Next)04-30
Inst Owners70.93%
Inst Owner Change0.6%
Ins Owners32%
Ins Owner Change0.34%
Market Cap2.28B
Revenue(TTM)15.15B
Net Income(TTM)118.70M
Analysts73.33
Price Target76.84 (12.9%)
Short Float %16.66%
Short Ratio7.05
Dividend
Industry RankSector Rank
Dividend Yield 2.24%
Yearly Dividend1.44
Dividend Growth(5Y)29.05%
DP41.11%
Div Incr Years5
Div Non Decr Years15
Ex-Date03-13
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-9.31%
Min EPS beat(2)-19.09%
Max EPS beat(2)0.46%
EPS beat(4)3
Avg EPS beat(4)4.02%
Min EPS beat(4)-19.09%
Max EPS beat(4)33.19%
EPS beat(8)6
Avg EPS beat(8)1.87%
EPS beat(12)8
Avg EPS beat(12)-0.55%
EPS beat(16)9
Avg EPS beat(16)-0.52%
Revenue beat(2)1
Avg Revenue beat(2)2.87%
Min Revenue beat(2)-2.9%
Max Revenue beat(2)8.63%
Revenue beat(4)2
Avg Revenue beat(4)1.84%
Min Revenue beat(4)-2.9%
Max Revenue beat(4)8.63%
Revenue beat(8)3
Avg Revenue beat(8)0.52%
Revenue beat(12)5
Avg Revenue beat(12)0.12%
Revenue beat(16)6
Avg Revenue beat(16)-1.63%
PT rev (1m)-1.36%
PT rev (3m)-1.6%
EPS NQ rev (1m)-1.96%
EPS NQ rev (3m)-12.02%
EPS NY rev (1m)-1.11%
EPS NY rev (3m)-7.06%
Revenue NQ rev (1m)-0.58%
Revenue NQ rev (3m)-1.12%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.04%
Valuation
Industry RankSector Rank
PE 10.31
Fwd PE 10.25
P/S 0.15
P/FCF 5.47
P/OCF 4.02
P/B 2.14
P/tB 11.88
EV/EBITDA 6.26
EPS(TTM)6.6
EY9.7%
EPS(NY)6.64
Fwd EY9.75%
FCF(TTM)12.44
FCFY18.28%
OCF(TTM)16.91
OCFY24.85%
SpS451.67
BVpS31.84
TBVpS5.73
PEG (NY)17.48
PEG (5Y)0.9
Graham Number68.76
Profitability
Industry RankSector Rank
ROA 1.99%
ROE 11.11%
ROCE 16.05%
ROIC 7.81%
ROICexc 7.82%
ROICexgc 9.37%
OM 3.57%
PM (TTM) 0.78%
GM 15.72%
FCFM 2.76%
ROA(3y)2.99%
ROA(5y)3.55%
ROE(3y)17.14%
ROE(5y)18.75%
ROIC(3y)7.59%
ROIC(5y)8.67%
ROICexc(3y)7.63%
ROICexc(5y)8.96%
ROICexgc(3y)9.01%
ROICexgc(5y)10.79%
ROCE(3y)15.57%
ROCE(5y)16.88%
ROICexgc growth 3Y-12.24%
ROICexgc growth 5Y2.35%
ROICexc growth 3Y-12.71%
ROICexc growth 5Y0.61%
OM growth 3Y-7.62%
OM growth 5Y2.79%
PM growth 3Y7.41%
PM growth 5YN/A
GM growth 3Y-1.69%
GM growth 5Y1.52%
F-Score6
Asset Turnover2.54
Health
Industry RankSector Rank
Debt/Equity 3.61
Debt/FCF 9.4
Debt/EBITDA 5.65
Cap/Depr 106.09%
Cap/Sales 0.99%
Interest Coverage 2.86
Cash Conversion 83.11%
Profit Quality 351.73%
Current Ratio 1.09
Quick Ratio 0.32
Altman-Z 3.51
F-Score6
WACC6.01%
ROIC/WACC1.3
Cap/Depr(3y)137.88%
Cap/Depr(5y)186.19%
Cap/Sales(3y)1.24%
Cap/Sales(5y)1.55%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.86%
EPS 3Y-11.8%
EPS 5Y11.44%
EPS Q2Q%0.66%
EPS Next Y0.59%
EPS Next 2Y5.48%
EPS Next 3Y5.41%
EPS Next 5Y13.15%
Revenue 1Y (TTM)6.53%
Revenue growth 3Y2.67%
Revenue growth 5Y9.18%
Sales Q2Q%-0.63%
Revenue Next Year3.51%
Revenue Next 2Y3.82%
Revenue Next 3Y5.33%
Revenue Next 5Y7.27%
EBIT growth 1Y16.33%
EBIT growth 3Y-5.15%
EBIT growth 5Y12.23%
EBIT Next Year24.72%
EBIT Next 3Y11%
EBIT Next 5Y12.03%
FCF growth 1Y633.89%
FCF growth 3Y32.62%
FCF growth 5Y22.09%
OCF growth 1Y420.07%
OCF growth 3Y11.79%
OCF growth 5Y15.08%

SONIC AUTOMOTIVE INC-CLASS A / SAH Fundamental Analysis FAQ

What is the ChartMill fundamental rating of SONIC AUTOMOTIVE INC-CLASS A (SAH) stock?

ChartMill assigns a fundamental rating of 5 / 10 to SAH.


What is the valuation status of SONIC AUTOMOTIVE INC-CLASS A (SAH) stock?

ChartMill assigns a valuation rating of 7 / 10 to SONIC AUTOMOTIVE INC-CLASS A (SAH). This can be considered as Undervalued.


What is the profitability of SAH stock?

SONIC AUTOMOTIVE INC-CLASS A (SAH) has a profitability rating of 6 / 10.


What are the PE and PB ratios of SONIC AUTOMOTIVE INC-CLASS A (SAH) stock?

The Price/Earnings (PE) ratio for SONIC AUTOMOTIVE INC-CLASS A (SAH) is 10.31 and the Price/Book (PB) ratio is 2.14.


Can you provide the expected EPS growth for SAH stock?

The Earnings per Share (EPS) of SONIC AUTOMOTIVE INC-CLASS A (SAH) is expected to grow by 0.59% in the next year.