Sonic Automotive Company Top Insiders

Sonic Automotive Management Team Effectiveness

The company has Return on Asset of 0.0608 % which means that on every $100 spent on assets, it made $0.0608 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.1961 %, implying that it generated $0.1961 on every 100 dollars invested. Sonic Automotive's management efficiency ratios could be used to measure how well Sonic Automotive manages its routine affairs as well as how well it operates its assets and liabilities. As of now, Sonic Automotive's Return On Capital Employed is decreasing as compared to previous years. The Sonic Automotive's current Return On Assets is estimated to increase to 0.03, while Return On Tangible Assets are projected to decrease to 0.03. As of now, Sonic Automotive's Asset Turnover is decreasing as compared to previous years. The Sonic Automotive's current Common Stock Shares Outstanding is estimated to increase to about 47.7 M. The Sonic Automotive's current Net Income Applicable To Common Shares is estimated to increase to about 105.6 M

Sonic Automotive Workforce Comparison

Sonic Automotive Profit Margins

The company has Net Profit Margin of 0.01 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.03 %, which entails that for every 100 dollars of revenue, it generated $0.03 of operating income.

Sonic Automotive Insider Trading History

Sonic Automotive Notable Stakeholders

The success or failure of an entity such as Sonic Automotive often depends on how effective the management is. Sonic Automotive management team is responsible for propelling the future growth in the right direction and administering and controlling the business activities and accounting for the results. Ineffective management usually contributes to failure in the company's future performance for all stakeholders equally, but most importantly, for investors. So it is important to measure the effectiveness of Sonic management before purchasing its stock. In many ways, it's all about finding the answer to one important question - Are they doing the right thing right now? How would we assess whether the Sonic management is utilizing all available resources in the best possible way? Also, how well is the company doing relative to others in its sector and the market as a whole? The answer can be found by analyzing a few important fundamental indicators such as return on assets and return on equity.

The data published in Sonic Automotive's official financial statements usually reflect Sonic Automotive's business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Sonic Automotive. For example, before you start analyzing numbers published by Sonic accountants, it's critical to develop an understanding of what Sonic Automotive's liquidity, profitability, and earnings quality are in the context of the Specialty Retail space in which it operates.

Please note, the presentation of Sonic Automotive's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Sonic Automotive's management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Sonic Automotive's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Sonic Automotive. Please utilize our Beneish M Score to check the likelihood of Sonic Automotive's management manipulating its earnings.

Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Sonic Automotive. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in nation. For more detail on how to invest in Sonic Stock please use our How to Invest in Sonic Automotive guide.Note that the Sonic Automotive information on this page should be used as a complementary analysis to other Sonic Automotive's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.

When running Sonic Automotive's price analysis, check to measure Sonic Automotive's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Sonic Automotive is operating at the current time. Most of Sonic Automotive's value examination focuses on studying past and present price action to predict the probability of Sonic Automotive's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Sonic Automotive's price. Additionally, you may evaluate how the addition of Sonic Automotive to your portfolios can decrease your overall portfolio volatility.

Is Sonic Automotive's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Sonic Automotive. If investors know Sonic will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Sonic Automotive listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

The market value of Sonic Automotive is measured differently than its book value, which is the value of Sonic that is recorded on the company's balance sheet. Investors also form their own opinion of Sonic Automotive's value that differs from its market value or its book value, called intrinsic value, which is Sonic Automotive's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Sonic Automotive's market value can be influenced by many factors that don't directly affect Sonic Automotive's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Sonic Automotive's value and its price as these two are different measures arrived at by different means. Investors typically determine if Sonic Automotive is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sonic Automotive's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.