Head to Head Contrast: AutoNation (NYSE:AN) versus Lazydays (NASDAQ:GORV)

AutoNation (NYSE:AN) and Lazydays (NASDAQ:GORV) are both retail/wholesale companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, valuation, earnings, profitability, dividends, analyst recommendations and institutional ownership.

Earnings and Valuation

This table compares AutoNation and Lazydays”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AutoNation	$26.95 billion	0.25	$1.02 billion	$17.34	9.95
Lazydays	$1.08 billion	0.01	-$110.27 million	($13.85)	-0.07

AutoNation has higher revenue and earnings than Lazydays. Lazydays is trading at a lower price-to-earnings ratio than AutoNation, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

AutoNation has a beta of 1.21, indicating that its stock price is 21% more volatile than the S&P 500. Comparatively, Lazydays has a beta of 2.01, indicating that its stock price is 101% more volatile than the S&P 500.

Profitability

This table compares AutoNation and Lazydays’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AutoNation	2.74%	32.01%	5.87%
Lazydays	-20.83%	-62.37%	-8.53%

Analyst Recommendations

This is a summary of current recommendations and price targets for AutoNation and Lazydays, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AutoNation	0	2	5	0	2.71
Lazydays	0	2	0	0	2.00

AutoNation currently has a consensus price target of $199.29, indicating a potential upside of 15.55%. Lazydays has a consensus price target of $2.00, indicating a potential upside of 96.08%. Given Lazydays’ higher possible upside, analysts plainly believe Lazydays is more favorable than AutoNation.

Insider & Institutional Ownership

94.6% of AutoNation shares are held by institutional investors. Comparatively, 89.7% of Lazydays shares are held by institutional investors. 0.7% of AutoNation shares are held by company insiders. Comparatively, 61.5% of Lazydays shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

AutoNation beats Lazydays on 11 of the 14 factors compared between the two stocks.

About AutoNation

AutoNation, Inc., through its subsidiaries, operates as an automotive retailer in the United States. The company operates through three segments: Domestic, Import, and Premium Luxury. It offers a range of automotive products and services, including new and used vehicles; and parts and services, such as automotive repair and maintenance, and wholesale parts and collision services. The company also provides automotive finance and insurance products comprising vehicle services and other protection products; and indirect financing for vehicles, as well as arranges finance for vehicle purchases through third-party finance sources. It owns and operates new vehicle franchises from stores located primarily in metropolitan markets in the Sunbelt region, as well as AutoNation-branded collision centers, AutoNation USA used vehicle stores, AutoNation-branded automotive auction operations, and parts distribution centers. The company was formerly known as Republic Industries, Inc. and changed its name to AutoNation, Inc. in 1999. AutoNation, Inc. was incorporated in 1980 and is headquartered in Fort Lauderdale, Florida.

About Lazydays

Lazydays Holdings, Inc. operates recreational vehicle (RV) dealerships under the Lazydays name in the United States. The company offers RV sales, RV-repair and services, financing and insurance products, third-party protection plans, and after-market parts and accessories. It also operates the Lazydays RV resort at Tampa, Florida. The company was founded in 1976 and is based in Tampa, Florida.