Benchmark raises Sonic Auto stock price target to $85 on EchoPark growth

Investing.com - Benchmark raised its price target on Sonic Auto (NYSE:SAH) to $85.00 from $80.00 on Thursday, while maintaining a Buy rating on the automotive retailer. According to InvestingPro data, the company currently trades at a P/E ratio of 17.5x with a market capitalization of $2.75 billion.

The firm cited resilient vehicle demand and healthy inventory levels in the U.S. market as key factors supporting Sonic Auto’s fundamentals.

Benchmark noted that Sonic Auto’s recent acquisition making it the largest Jaguar Land Rover (JLR) dealer in the U.S. faces potential challenges from a cyber-attack on JLR.

The research firm highlighted EchoPark’s improving profitability and anticipated location growth in fiscal year 2026 as potential drivers of fundamental upside for Sonic Auto.

Sonic Auto stock has outperformed its peer group with more than 25% gains year-to-date, according to Benchmark’s analysis. InvestingPro subscribers can access additional insights, including 8 more ProTips and a comprehensive analysis of Sonic Auto’s financial health and growth prospects.

In other recent news, Sonic Automotive Inc. reported impressive second-quarter earnings for 2025, with earnings per share (EPS) significantly exceeding analysts’ expectations. The company achieved an adjusted EPS of $2.19, which was a 35.19% surprise over the anticipated $1.62. Despite this strong performance in earnings, Sonic Automotive experienced a slight revenue miss. The company’s revenue figures did not meet the projected targets, although specific revenue numbers were not disclosed. Analysts had previously forecasted higher revenue figures, making the earnings beat particularly noteworthy. The positive earnings surprise reflects the company’s operational efficiency and cost management during the quarter. This development is part of recent activities surrounding Sonic Automotive and has captured the attention of investors and analysts alike.

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