Update shared on 12 Nov 2025
Fair value Decreased 5.14%Analysts have revised their fair value estimate for Sonic Automotive downward from $82.33 to $78.10. They cite slight decreases in projected revenue growth and profit margin, as well as a modest increase in the discount rate.
What's in the News
- Sonic Automotive completed the repurchase of 37,196,257 shares, representing 84.3 percent of the buyback program announced in July 2004, for a total of $1,132 million (Key Developments).
- No additional shares were repurchased between July 1, 2025 and September 30, 2025, leaving the repurchase during that period at zero shares (Key Developments).
Valuation Changes
- Fair Value Estimate decreased from $82.33 to $78.10.
- Discount Rate rose slightly from 12.11% to 12.50%.
- Revenue Growth Forecast lowered from 5.99% to 5.59%.
- Net Profit Margin declined marginally from 1.78% to 1.73%.
- Future P/E Ratio edged down from 12.70x to 12.24x.
Disclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.