SZKMY - AutoNation Cuts Q2 EPS View: Buy Hold or Sell the Stock? | Benzinga
AutoNation, Inc. (NYSE: AN) has lowered its second-quarter 2024 quarterly earnings forecast following a cyberattack on software provider CDK Global on Jun 19, 2024. The auto retailer cut its guidance for earnings per share by $1.50 to $3.15-$3.30 for the three months ending Jun 30.
Despite the negative impact of the CDK outage on AutoNation's business and productivity, the incident is not expected to have a significant impact on the company's overall financial condition or operations. The company has regained access to its dealer management system and core functions and anticipates completing the restoration of the remaining ancillary systems by the end of July.
With the guidance trimmed for the second quarter of 2024, should investors consider selling the stock? Or is it worth retaining in your portfolio? Let's find out.
Soundly Managed Risk & Expansion Efforts to Drive Prospects
A diversified product mix and multiple streams of income (from the sale of new and used vehicles, after-sales services and customer financial business) reduce the risk profile of AutoNation and augur well for ...