Earnings OutlookFollowing a strong share price run into results, the outlook on FY26 and associated downgrades are expected to disappoint and raise questions on the sustainability of the stock's valuation.
Market ConditionsStructural headwinds from the current market backdrop are impacting Auto Trader's top-line trends and digital retailing initiatives.
Strategic DirectionThere are concerns about the lack of strategic direction and financial standing of Deal Builder, affecting growth potential.
ValuationThe valuation of Auto Trader is considered demanding, with a more modest earnings outlook compared to past periods.