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Sonic Automotive (Sonic Automotive) Cyclically Adjusted PB Ratio : 2.56 (As of May. 13, 2024)


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What is Sonic Automotive Cyclically Adjusted PB Ratio?

As of today (2024-05-13), Sonic Automotive's current share price is $58.17. Sonic Automotive's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was $22.70. Sonic Automotive's Cyclically Adjusted PB Ratio for today is 2.56.

The historical rank and industry rank for Sonic Automotive's Cyclically Adjusted PB Ratio or its related term are showing as below:

SAH' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 0.75   Med: 1.67   Max: 3.39
Current: 2.56

During the past years, Sonic Automotive's highest Cyclically Adjusted PB Ratio was 3.39. The lowest was 0.75. And the median was 1.67.

SAH's Cyclically Adjusted PB Ratio is ranked worse than
73.31% of 918 companies
in the Vehicles & Parts industry
Industry Median: 1.26 vs SAH: 2.56

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Sonic Automotive's adjusted book value per share data for the three months ended in Mar. 2024 was $26.686. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $22.70 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Sonic Automotive Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Sonic Automotive's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Sonic Automotive Cyclically Adjusted PB Ratio Chart

Sonic Automotive Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.13 2.47 2.76 2.39 2.51

Sonic Automotive Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.56 2.19 2.15 2.51 2.51

Competitive Comparison of Sonic Automotive's Cyclically Adjusted PB Ratio

For the Auto & Truck Dealerships subindustry, Sonic Automotive's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Sonic Automotive's Cyclically Adjusted PB Ratio Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Sonic Automotive's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Sonic Automotive's Cyclically Adjusted PB Ratio falls into.



Sonic Automotive Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Sonic Automotive's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=58.17/22.7
=2.56

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Sonic Automotive's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Sonic Automotive's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book=Book Value per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=26.686/129.4194*129.4194
=26.686

Current CPI (Mar. 2024) = 129.4194.

Sonic Automotive Quarterly Data

Book Value per Share CPI Adj_Book
201406 12.425 100.560 15.991
201409 12.699 100.428 16.365
201412 13.093 99.070 17.104
201503 13.218 99.621 17.172
201506 13.513 100.684 17.370
201509 13.883 100.392 17.897
201512 14.598 99.792 18.932
201603 14.433 100.470 18.592
201606 14.851 101.688 18.901
201609 15.276 101.861 19.409
201612 16.211 101.863 20.597
201703 16.058 102.862 20.204
201706 16.265 103.349 20.368
201709 16.737 104.136 20.801
201712 18.214 104.011 22.663
201803 18.015 105.290 22.144
201806 18.425 106.317 22.429
201809 18.803 106.507 22.848
201812 19.254 105.998 23.508
201903 19.783 107.251 23.872
201906 20.305 108.070 24.316
201909 20.921 108.329 24.994
201912 21.903 108.420 26.145
202003 16.844 108.902 20.018
202006 17.321 108.767 20.610
202009 18.337 109.815 21.611
202012 19.480 109.897 22.941
202103 20.021 111.754 23.186
202106 22.689 114.631 25.616
202109 24.379 115.734 27.262
202112 26.433 117.630 29.082
202203 27.993 121.301 29.867
202206 29.797 125.017 30.846
202209 30.262 125.227 31.275
202212 24.706 125.222 25.534
202303 24.212 127.348 24.606
202306 24.740 128.729 24.873
202309 25.305 129.860 25.219
202312 26.262 129.419 26.262
202403 26.686 129.419 26.686

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Sonic Automotive  (NYSE:SAH) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Sonic Automotive Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Sonic Automotive's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Sonic Automotive (Sonic Automotive) Business Description

Traded in Other Exchanges
Address
4401 Colwick Road, Charlotte, NC, USA, 28211
Sonic Automotive is one of the largest auto dealership groups in the United States. The company has 108 franchised stores in 18 states, primarily in metropolitan areas in California, Texas, and the Southeast, plus 18 EchoPark and 7 Northwest Motorsports used-vehicle stores, and 16 collision centers. The company derives revenue from new and used vehicles plus parts and collision repair, finance, insurance, and wholesale auctions. Luxury and import dealerships make up about 83% of franchise new-vehicle revenue, while Honda, BMW, Mercedes, and Toyota constitute about 56% of new-vehicle revenue. BMW is the largest brand at about 26%. 2022's revenue was $14 billion, with EchoPark's portion totaling $2.5 billion. Sonic bought RFJ Auto in December 2021, which added $3.2 billion in sales.
Executives
Heath Byrd officer: EVP and CFO 4401 COLWICK ROAD, CHARLOTTE NC 28211
Jeff Dyke officer: EVP of Operations C/O SONIC AUTOMOTIVE, INC., 6415 IDLEWILD ROAD, SUITE 109, CHARLOTTE NC 28212
David Bruton Smith director, officer: Executive Vice President C/O SONIC AUTOMOTIVE, INC., 6415 IDLEWILD ROAD, SUITE 109, CHARLOTTE NC 28212
Paul P. Rusnak 10 percent owner 325 W. COLORADO BLVD.,, PO BOX 70489, PASADENA CA 91117-7489
Michael Edward Hodge director 4401 COLWICK ROAD, CHARLOTTE NC 28211
Keri A Kaiser director 14902 PRESTON ROAD, SUITE 404, #384, DALLAS TX 75254
Victor H Doolan director 35 VIA MONARCA, DANA POINT CA 92629
Marcus G Smith 10 percent owner 5555 CONCORD PARKWAY SOUTH, CONCORD NC 28027
Sonic Financial Corp 10 percent owner 5401 E INDEPENDENCE BLVD, CHARLOTTE NC 28212
O Bruton Smith director, 10 percent owner, officer: Chairman and CEO 5401 E INDEPENDENCE BLVD, CHARLOTTE NC 28212
R Eugene Taylor director BANK OF AMERICA CORP, 100 NORTH TRYON ST NC1-007-57-01, CHARLOTTE NC 28255
Bryan Scott Smith director, officer: Vice Chairman and CSO 5401 E INDEPENDENCE BLVD, CHARLOTTE NC 28212
Harris John W. Iii director 4725 PIEDMONT ROW DRIVE, SUITE 800, CHARLOTTE NC 28210
Byrd Bernard Clinton Jr director 4401 COLWICK ROAD, CHARLOTTE NC 28211
William I Belk director 6100 FAIRVIEW RD #640, CHARLOTTE NC 28210