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Sonic Automotive Posts Record Profit Amid Dividend Increase

Story Highlights
  • Sonic posted record 2025 revenue and gross profit, with adjusted earnings rising despite lower reported net income from one-off charges.
  • The company strengthened its position with record EchoPark and Powersports profitability, significant share repurchases and a higher quarterly dividend.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Sonic Automotive Posts Record Profit Amid Dividend Increase

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Sonic Automotive ( (SAH) ) has issued an announcement.

On February 18, 2026, Sonic Automotive reported fourth-quarter 2025 revenue of $3.9 billion, down 1% year over year, but delivered a record quarterly gross profit of $598.7 million and adjusted net income of $52.2 million, while also repurchasing about 0.6 million shares. Subsequent to year-end, the board approved a quarterly cash dividend of $0.38 per share, underscoring confidence in liquidity of more than $700 million and a disciplined capital allocation stance despite a 20% decline in reported quarterly net income.

For full year 2025, Sonic posted all-time record revenue of $15.2 billion and record gross profit of $2.4 billion, with adjusted net income rising 17% to $229.2 million even as reported net income fell 45% due to substantial non-cash impairment and storm-related charges. EchoPark and Powersports segments achieved record income and adjusted EBITDA, while the company continued to emphasize cost control and inventory discipline and returned $82.4 million to shareholders through buybacks, reinforcing its positioning as a resilient operator in a volatile auto retail market.

The most recent analyst rating on (SAH) stock is a Hold with a $69.00 price target. To see the full list of analyst forecasts on Sonic Automotive stock, see the SAH Stock Forecast page.

Spark’s Take on SAH Stock

According to Spark, TipRanks’ AI Analyst, SAH is a Neutral.

Sonic Automotive’s overall stock score reflects moderate financial performance and valuation, with strong earnings growth offset by technical weaknesses and operational challenges. The earnings call provided positive insights into revenue growth, but highlighted concerns in certain segments, impacting the overall sentiment.

To see Spark’s full report on SAH stock, click here.

More about Sonic Automotive

Sonic Automotive Inc. is one of the largest U.S. automotive retailers, operating franchised dealerships, EchoPark used-vehicle outlets and powersports stores. The company generates revenue from new and used vehicle sales, parts, service and collision repair, as well as finance and insurance products, with a broad national footprint and a focus on diversified segment performance.

Average Trading Volume: 182,971

Technical Sentiment Signal: Hold

Current Market Cap: $2.05B

See more insights into SAH stock on TipRanks’ Stock Analysis page.

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