AN

AutoNation

Fundamental data last updated:April 13, 2026

company profile

SECTOR

Consumer Cyclical

industry

Auto & Truck Dealerships

Exchange

NYSE

County of HQ

United States

Next Earnings Date

04/24/26

Business Summary

CTO Realty Growth operates as a diversified REIT, generating cash flow by owning and managing income-producing real estate assets. Revenue is primarily driven by leasing properties and collecting rental income, with portfolio diversification intended to smooth volatility across asset types. Cash generation depends on occupancy, rental rate stability, and disciplined capital allocation into properties that exceed their cost of capital. The moat is modest and rooted in asset ownership, local market expertise, and capital access rather than technological differentiation, meaning performance hinges on execution and balance sheet management rather than structural competitive dominance.

VALUATION

P/E

11.8

Market Cap ($M USD)

$6,882

Forward P/E

8.4

PEG

0.7

PRICE TO SALES

0.3

PRICE TO BOOK

2.9

EV / EBITDA

10.8

5-Year Average P/E

DIVIDEND

Yield

-

Annual Payout

-

Payout Ratio

-

Consecutive Years of Dividend Growth

0

5-Year Dividend Growth Rate

-

Financial Health & Profitability

Earnings Per Share

$17.26

Next Year EPS Growth Estimate

$23.77

Next Year Revenue Growth Estimate

2.80%

Return on Equity (ROE)

27.70%

Operating Margin

4.70%

Debt-to-Equity

4.4

Piotroski F-Score

5

Altman Z-Score

3.1

Return on Invested Capital (ROIC)

7.00%%

Current Ratio

0.8

Quick Ratio

Gainseekers Quantitative Analysis

Summary

At 243.9x earnings and 76.7x forward earnings, this stock is priced for a growth profile that simply does not exist in the data. EPS collapses to $0.08 next year despite a current EPS of 12.5, yet the market still assigns a premium multiple, and the absence of a PEG only reinforces the lack of visible growth justification. The Altman Z-Score of 1.1 signals financial stress risk, not stability, and with operating margins at just 0.50%, this is a structurally thin business trading at an aggressive valuation. This is not a mispricing in favor of value investors — it looks like a yield-driven name being priced beyond its underlying profitability and balance sheet strength.

AI Exposure / Tech Reliance

As a diversified REIT in the Real Estate sector, CTO Realty Growth’s exposure to AI is indirect at best, relying more on property demand trends than technological leverage. AI-driven efficiencies in property management and leasing could modestly improve its 0.50% operating margin, but that margin base is so thin that incremental tech gains may not materially change profitability. The business is asset-heavy and capital-intensive, meaning it benefits from digital optimization but is not inherently positioned as an AI compounder.

The Bull Case

A disciplined value investor could argue that a Price/Book of 1.1 in the REIT - Diversified space suggests the stock is trading near asset value, limiting deep downside if properties are sound. The Piotroski F-Score of 7 indicates fundamentally solid internal metrics relative to peers, and a Current Ratio of 6.5 reflects strong short-term liquidity. Return on Equity at 7.50% and ROIC at 2.40% are positive, and Debt/Equity of 22.10% is not excessive for a real estate vehicle. With Institutional Ownership at $22.17 and a modest Short % of Float at 2.70%, the shareholder base appears relatively stable, and income-focused investors may be drawn to the TTM Yield of 1.1 alongside the stated Dividend Per Share of 7.80%.

The Bear Case

The bear case is far more compelling. A Price/Earnings of 243.9 combined with a Forward P/E of 76.7 signals extreme multiple compression risk, especially when EPS is projected at just $0.08 next year. Operating Margin of 0.50% leaves virtually no buffer against property-level weakness or higher financing costs, and the Altman Z-Score of 1.1 suggests potential balance sheet vulnerability. The lack of a PEG ratio removes any growth-adjusted valuation support, and with ROIC at just 2.40%, capital is not being deployed at high-return levels. This is a capital-intensive structure with thin profitability and elevated valuation — a dangerous mix if macro conditions deteriorate.

Market Sentiment & Smart Money

Short Interest %

7.80%

Analyst Consensus

1.75

Average Analyst Price Target

$240.25

Institutional Ownership %

99.20%

1-Year Beta

0.84

Insider Buying % (6 Mo)

1.50%%

Distance to 52-Week High

87.60%%

Distance to 52-Week Low

129.10%%