Sonic Automotive(SAH) ZACKS·2025-05-06 16:45Company Overview - Sonic Automotive (SAH) is headquartered in Charlotte and operates in the Retail-Wholesale sector, with a year-to-date price change of -0.96% [3] - The company currently pays a dividend of $0.35 per share, resulting in a dividend yield of 2.23%, which is significantly higher than the Automotive - Retail and Wholesale industry's yield of 0.24% and the S&P 500's yield of 1.59% [3] Dividend Performance - Sonic Automotive's annualized dividend of $1.40 has increased by 12% from the previous year [4] - Over the past five years, the company has raised its dividend four times, achieving an average annual increase of 35.72% [4] - The current payout ratio stands at 24%, indicating that the company distributes 24% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for Sonic Automotive's earnings in 2025 is projected at $6.28 per share, reflecting a year-over-year earnings growth rate of 12.14% [5] Investment Considerations - Sonic Automotive is considered a compelling investment opportunity due to its strong dividend profile and solid earnings growth potential [7] - The stock is currently rated with a Zacks Rank of 3 (Hold), indicating a neutral outlook [7]