Sonic Automotive Inc (SAH) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Sonic Automotive Inc stock $81.35, price $61.71, upside +31.8%, quality 60 out of 100. Rating: undervalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 4, 2026.
How to read this chart
60‑month range $31.55 – $112.05 · fair‑value band $59.86 – $101.69 · the $61.71 price screens below the $81.35 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 4, 2026.
Follow Sonic Automotive in your weekly email
Every Wednesday you see whether Sonic Automotive is on track or worth a review, plus price against fair value. Free, up to 3 stocks.
We send you a confirmation link. Unsubscribe with one click.
Sonic Automotive, Inc., together with its subsidiaries, operates as an automotive retailer in the United States. It operates in three segments: Franchised Dealerships, EchoPark, and Powersports.
Show moreShow less
The Franchised Dealerships segment engages in the sale of new and used cars and light trucks; sale of replacement parts; provision of vehicle maintenance, manufacturer warranty repairs, and paint and collision repair services; and arrangement of third-party financing, extended warranties, service contracts, insurance, and other aftermarket products.
The EchoPark segment sells used cars and light trucks; and arranges third-party finance and insurance product sales for its guests in pre-owned vehicle specialty retail locations.
The Powersports segment is involved in the sale of new and used powersports vehicles, such as motorcycles, personal watercraft, and all-terrain vehicles; and provision of fixed operations services, and third-party finance and insurance services.
Sonic Automotive, Inc. was incorporated in 1997 and is based in Charlotte, North Carolina.
Stock analysis
Sonic Automotive Inc (SAH) currently trades at $61.71, while our model-based Fair Value estimate is $81.35, implying the stock looks roughly 24% undervalued today.
Show more
Valuation
Bull case: the Growth DCF group reads highest at a median of $187.05 per share, and 19 of the 26 models we run sit above the $61.71 price.
Bear case: the Dividend Discount group reads lowest at $19.49, and 7 of the 26 models stay below the price. Data coverage for this calculation is high.
Scenario range: $59.86 (bear) to $101.69 (bull), the price of $61.71 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 60/100 (solid quality), in the Consumer Cyclical sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Sonic Automotive Inc reported revenue of $15.2B in FY2025 versus $12.4B in FY2021, a compound +5.1%/yr. Reported net income was $119M in FY2025, compounding −23.6%/yr from FY2021.
Key figures
Market cap $2.0B Small · P/E ratio 10.1 · P/S ratio 0.13 · EPS (TTM) $6.23 · Dividend yield 2.6% · Net margin 1.3% · Return on equity 20.6% · Return on assets (EBIT) 10.0% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 39 out of 100 (low confidence).
What moves the price
The share trades about 45% below its 52-week high and 8% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Consumer Cyclical peers we cover trades at −11% fair-value upside, at 32%, SAH screens cheaper than that median.
Fair Value models
Bear$59.86Fair Value $81.35Bull$101.69
Price $61.71 · Upside +31.8%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then ($3.97 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
In the last 6 months, 2 officers or directors sold shares worth $9.6M and none bought.
BuyPaul P. Rusnak10% owner6× since Feb 5, 2026: 176,776 shares, avg. $59.85$10.6MOct 14, 2026
SaleJeff DykePresident, Director2× since Jun 8, 2026: 100,000 shares, avg. $84.08$8.4MJun 10, 202610b5-1 plan
SaleHeath ByrdEVP and CFO2× since May 28, 2026: 14,587 shares, avg. $85.00$1.2MJun 2, 202610b5-1 plan
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.79/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
+6.5%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+2.7%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+9.2%
Start year 2020 (pandemic). Over 10 years: +4.6% a year
Revenue growth 29 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+13.6%
’14
’15
’16
’17
’18
’19
’20
’21
’22
’23
’24
’25
What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
−7.0%
Earnings growth per share plus dividend.
Earnings per share, growth per year−9.6%
Dividend (yield on the price)2.6%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.−9.6% vs 6.3%, slowing
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.0% → 4%
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
Price in line with expectations
The price assumes less growth than the company has delivered so far and about what analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+5.0%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+3.9%
Yearly sales growth analysts expect, extended to five years.
Calculated on free cash flow for fiscal year 2025. Over the last twelve months it was negative, so the figure above is uncertain.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +2.5% a year for the price and +1.5% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (94 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Hype
Recent news coverage is unusually upbeat, far more positive than stocks are typically covered.
Price, fair value, quality and upside side by side.
Free, no sign-up
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Auto & Truck Dealerships · 85 stocks
Beats the industry median on 8/15 measures
A mixed picture versus its industry peers.
Valuation
Quality Score60 · Above median
Fair Value upside+31.8% · Above median
Profitability
Return on equity (12 months)20.6% · Top 25%
Return on assets2.0% · Below median
Net margin (12 months)1.3% · Below median
Operating margin (12 months)2.8% · Below median
Growth and dividend
Revenue growth (quarter YoY)0.4% · Below median
Dividend yield (12 months)2.6% · Below median
Balance sheet
Debt / equity1.46× · Highest 25%
Valuation Multiplesvs Auto & Truck Dealerships median · lower = cheaper
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Is Sonic Automotive Inc (SAH) overvalued or undervalued?
As of Nov 4, 2026, our model estimates a fair value of $81.35 versus a price of $61.71, about +32% upside (undervalued).
What is the fair value of SAH?
Our model-based fair value for Sonic Automotive Inc is $81.35 (as of Nov 4, 2026), built from audited fundamentals. The current price: $61.71.
What is the quality score of SAH?
Sonic Automotive Inc has a Quality Score of 60/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Sonic Automotive Inc (SAH)?
Our model-based price target is the fair value of $81.35 (as of Nov 4, 2026) from 26 valuation models. Cautious scenario $59.86, optimistic scenario $101.69. It is a calculation from audited fundamentals, not an analyst target.
What is the Sonic Automotive Inc stock forecast for 2026?
Our models put fair value at $81.35, about +32% upside versus a price of $61.71 (undervalued). Cautious scenario $59.86, optimistic scenario $101.69. The calculation is refreshed regularly with new filings.
What is the revenue of Sonic Automotive Inc (SAH)?
Sonic Automotive Inc reported trailing-twelve-month revenue of about $15.5B (latest available figure, as of Nov 4, 2026).
Does Sonic Automotive Inc pay a dividend?
Sonic Automotive Inc currently shows a dividend yield of 2.56% relative to its recent price (as of Nov 4, 2026).
How much is the dividend of Sonic Automotive Inc (SAH) and when is the ex-dividend date?
Sonic Automotive Inc pays a dividend of $1.58 per share a year, a dividend yield of 2.6%. The next ex-dividend date is Dec 15, 2026. A dividend has been paid every year since 2010. The payout ratio is 13.3% of earnings (on adjusted earnings, reported 25.4%). Free cash flow covers the dividend 13.49 times. Our assessment: Well covered. A low payout and the dividend is fully funded by free cash flow, a comfortable, sustainable dividend.
What growth is priced into Sonic Automotive Inc (SAH)?
For today's price to be fair in a discounted-cash-flow model, Sonic Automotive Inc would have to grow free cash flow by +5.0 % per year for five years (discount rate 11.0 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +9.2 % per year. Calculated on free cash flow for fiscal year 2025. Over the last twelve months it was negative, so the figure above is uncertain. As of Nov 4, 2026.
What discount rate (WACC) does the fair value of SAH use?
Our models discount Sonic Automotive Inc at 11.0 %: a base by market capitalisation (small), damped by beta 0.93, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Sonic Automotive Inc that is +5.0 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (11.0 %) and the same formula as our fair value.
How much growth has Sonic Automotive Inc (SAH) delivered so far?
Over the past 5 years revenue at Sonic Automotive Inc grew +9.2 % a year. The price currently implies free-cash-flow growth of +5.0 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Sonic Automotive Inc (SAH) growing?
The median revenue growth in the sector is +4.7 % a year. That is the yardstick for the growth priced into Sonic Automotive Inc (+5.0 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Sonic Automotive Inc (SAH)?
The free-cash-flow yield on the price is 21.08 % in the last fiscal year (free cash flow was negative over the last twelve months): that much free cash flow Sonic Automotive Inc produces per unit of market value. When it exceeds the discount rate of our models (11.0 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Sonic Automotive Inc (SAH)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Sonic Automotive Inc it is $81.35 per share (as of Nov 4, 2026), against a price of $61.71. It is the blended result of 26 valuation models in 8 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings).
Is Sonic Automotive Inc stock overvalued or undervalued in 2026?
As of Nov 4, 2026, SAH trades below its calculated fair value: price $61.71, fair value $81.35, a gap of about +32% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of SAH?
No. The price is what the market pays today ($61.71); the fair value is what the company's own numbers justify ($81.35). For Sonic Automotive Inc the two are $19.64 per share apart. That gap is exactly why we show both numbers side by side.
How much is Sonic Automotive Inc worth?
The market values Sonic Automotive Inc at about $2.0B (market capitalisation, as of Nov 4, 2026). Per share that is $61.71; our models calculate a fair value of $81.35 per share.
What do the bullish and bearish scenarios say about SAH?
Our models span a range for Sonic Automotive Inc: cautious scenario $59.86, base $81.35, optimistic $101.69 per share (as of Nov 4, 2026, price $61.71). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of SAH?
Sonic Automotive Inc trades at a price-to-earnings ratio of 10.1 (as of Nov 4, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $81.35 is built from several models across several years. Excluding one-off items of fiscal year 2025 it is 9.4 (reported for FY2025: 17.9). Median P/E at fiscal year-end, 9 fiscal years (2016 to 2025), reported earnings, FY2025 ex one-offs: 10.3. Other multiples: PEG 0.6, P/B 1.9, P/S 0.1, EV/EBITDA 5.6.
What is the PEG ratio of SAH?
The PEG ratio of Sonic Automotive Inc is 0.62 (P/E divided by earnings growth, as of Nov 4, 2026). That is below 1, so growth is priced more cheaply than the earnings multiple alone suggests.
How solid is the balance sheet of Sonic Automotive Inc (SAH)?
Balance-sheet figures for Sonic Automotive Inc (as of Nov 4, 2026): return on equity 20.6%, debt of 1.46 per unit of equity. They feed the Quality Score of 60/100, which measures business quality independently of the share price.
How far is SAH from its 52-week high?
Sonic Automotive Inc trades at $61.71, about 45% below its 52-week high of $112.05 and 8% above the low of $57.32 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of $81.35 is for.
Which stocks are comparable to Sonic Automotive Inc?
From the same area (Consumer Cyclical) we also value Carvana Co, Penske Automotive Group, Hotai Motor Co, CarMax, Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Sonic Automotive Inc stock attractive at the current price?
The data as of Nov 4, 2026: price $61.71, calculated fair value $81.35 (+32%), Quality Score 60/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of SAH calculated?
We run Sonic Automotive Inc through 26 models from 8 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of $81.35 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.0% above its aggregate fair value. Sonic Automotive Inc currently trades 24% below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Sonic Automotive Inc (SAH)?
The closing price on Nov 6, 2026 was $61.71. Our model-based fair value is $81.35, about +32% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Sonic Automotive Inc right now?
Solid quality (60/100) at a price below fair value, the discount is the argument here, not the business quality. The price sits in the lower half of our model range, the side with the larger margin of safety. The data supports the verdict: every model runs on fully documented inputs.
Where does the earnings growth of Sonic Automotive Inc (SAH) come from?
Earnings per share at Sonic Automotive Inc grew +11.3 % a year from 2014 to 2025. Broken into its drivers: revenue per share +9.0 %, EBIT margin +4.1 %, tax rate +2.6 %, residual (interest, one-offs) −4.4 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Sonic Automotive Inc
How large is the market capitalisation of Sonic Automotive Inc (SAH)?
The market capitalisation of Sonic Automotive Inc is $2.0B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Sonic Automotive Inc (SAH)?
The price-to-sales ratio of Sonic Automotive Inc is 0.13 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Sonic Automotive Inc (SAH)?
Earnings per share at Sonic Automotive Inc are $6.23 (price ÷ EPS = P/E 10.1). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Sonic Automotive Inc (SAH)?
The dividend yield of Sonic Automotive Inc is 2.6% (payout 13.3%, on adjusted earnings, reported 25.4%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Sonic Automotive Inc (SAH)?
The net margin of Sonic Automotive Inc is 1.3% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Sonic Automotive Inc (SAH)?
The return on equity (ROE) of Sonic Automotive Inc is 20.6% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Sonic Automotive Inc (SAH)?
On an EBIT basis the return on assets of Sonic Automotive Inc is 10.0% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Sonic Automotive Inc (SAH)?
The operating margin of Sonic Automotive Inc is 2.8% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Sonic Automotive Inc (SAH)?
Revenue at Sonic Automotive Inc is growing +0.4% versus a year earlier (3y avg +2.7%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Sonic Automotive Inc (SAH)?
Earnings per share at Sonic Automotive Inc are growing −3.8% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Sonic Automotive Inc (SAH) carry?
The net debt of Sonic Automotive Inc is $4.2B (fiscal year 2025, ≈ 10.1 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
Free · no account needed
Watch Sonic Automotive Inc in the live analysis
One click puts Sonic Automotive Inc on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 27,000+ stock screener.
Broad data
Nov 4, 2026