On the Dash:
- AutoNation’s board authorized an additional $1 billion in share repurchases.
- The company has repurchased 3 million shares worth $576 million so far in 2025.
- AutoNation reduced outstanding shares by 8% since the end of 2024
AutoNation, one of the largest automotive retailers in the United States, has authorized an additional $1 billion for the repurchase of its common stock, reinforcing the company’s confidence in its financial position and long-term strategy.
The company announced the authorization following a strong year of performance and steady cash flow generation. “Our strong performance and consistent cash flow generation continue to support strategic investments in growth and shareholder returns,” AutoNation CEO Mike Manley said in a statement. “This additional $1 billion share repurchase authorization reflects our continued confidence in AutoNation’s performance and long-term strategy.”
Year to date, AutoNation has repurchased 3 million shares at an aggregate price of $576 million, averaging $189 per share. The new authorization increases the company’s total remaining repurchase capacity to approximately $1.28 billion. AutoNation currently has about 36 million shares outstanding, marking an 8% reduction since the end of 2024.
The expanded authorization underscores AutoNation’s strategy to enhance shareholder value through disciplined capital deployment and sustained profitability.
The announcement follows AutoNation’s strong third-quarter earnings, where the retailer reported $7 billion in revenue, a 7% increase year-over-year. Earnings per share rose to $5.65 from $4.61 in the prior year, and adjusted EPS climbed 25% to $5.01. After-sales gross profit grew 7% to $597 million, while customer financial services achieved record results, up 12% to $375 million.
Manley credited the company’s multiple revenue streams and balanced capital approach for the results, noting that strong cash flow enabled significant share repurchases and strategic acquisitions in key markets. AutoNation’s third-quarter performance and added buyback authorization reflect its confidence in maintaining steady growth despite broader market challenges.
