Is the business good?
How good a business is SAH?
Sonic Automotive, Inc. earns 10% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
10%
Return on invested capital · cost of capital 9.0% · 1.4 points above what the capital costs: growth creates value
- Operating margin
- 2.3%
Operating margin · Auto & Truck Dealerships median 5.3% · 12 months to Q1 2026
- Cash conversion
- 0.37×
Cash conversion · −1.00× a year ago · some of the reported profit has not turned into cash yet
- Share count, year on year
- −1.7%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 0.35% |
| FY2021 | 4.3% |
| FY2022 | 2.2% |
| FY2023 | 2.9% |
| FY2024 | 3.2% |
| FY2025 | 2.4% |
Details›
- Gross margin12 months to Q1 2026
- 16%
- Operating margin12 months to Q1 2026
- 2.3%
- Net margin12 months to Q1 2026
- 0.72%
- Free cash flow margin
- 0.26%
- Revenue, trailing twelve months
- $15.2B
- Free cash flow, trailing twelve months
- $40M
- Net income, trailing twelve months
- $109M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 10%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Auto & Truck Dealerships
Ranks #14 of 15 by Smart Score