Fitch Rates AutoNation's Proposed Unsecured Notes Offering 'BBB-'

Fitch Ratings has assigned a 'BBB-' rating to AutoNation, Inc.'s proposed senior unsecured notes offering, expected to fund general corporate purposes, including debt repayment and growth initiatives. AutoNation's strong market position and consistent cash flow support its rating, despite challenges from tariffs and a cyclical auto retail market. Fitch projects stable revenue and EBITDA around $27 billion and $1.4 billion for 2025-2026, with a focus on higher-margin segments like parts and services. AutoNation's conservative financial management and strategic growth investments enhance its competitive edge in the fragmented automotive industry.