Is Auto Trader Group stock a buy right now?
Auto Trader Group PLC remains the undisputed leader in the UK’s automotive marketplace, trading at approximately 855 GBX per share as of early May 2025. With an average daily trading volume of 3.16 million shares, investor interest continues to be robust and consistent. Recent updates have been encouraging: the company launched innovative AI-powered tools—such as the Co-Driver suite—and introduced Deal Builder, further digitising the automotive retail journey for both consumers and retailers. Despite manageable headwinds, such as softer new car retail volumes and a modest impact from the Digital Services Tax, the business posted an 8% revenue increase and a 14% rise in operating profit over the last half year, underscoring the resilience of its core operations. Market sentiment is constructive, buoyed by expanding site traffic, a strengthening retailer base, and effective shareholder returns. With further expansion into new digital products and data-centric solutions, Auto Trader continues to cement its leadership in the evolving UK online auto sector. According to the consensus of more than 28 national and international banks, the current target price is 1,112 GBX, reflecting the sector’s high expectations for future value creation. As the company moves to further integrate digital and data-driven services, now may be an opportune moment for long-term investors to review the stock.
- Clear UK market leadership with over 75% of minutes spent on automotive marketplaces.
- Strong profit margins, with core operating margin at 70%.
- Consistent top-line growth: revenue up 8% and profit up 14% year-on-year.
- Innovative AI expansion through products like Co-Driver and digital Deal Builder.
- Robust shareholder returns via dividends and share buybacks.
- Challenging new car retail conditions with segment volumes down 10%.
- Used car supply constraints may temporarily restrict further transaction growth.
- What is Auto Trader Group?
- How much is Auto Trader Group stock?
- Our full analysis on Auto Trader Group </b>stock
- How to buy Auto Trader Group stock in United Kingdom?
- Our 7 tips for buying Auto Trader Group stock
- The latest news about Auto Trader Group
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been monitoring the performance of Auto Trader Group for more than three years. Each month, hundreds of thousands of users in the United Kingdom rely on us to analyse market trends and identify the best investment opportunities. Our analyses are intended solely for informational purposes and do not represent investment advice. In line with our ethical charter, we have never been, and will never be, paid by Auto Trader Group.
What is Auto Trader Group?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | United Kingdom | Leading UK automotive online marketplace, benefiting from a dominant domestic market position. |
| 💼 Market | London Stock Exchange (LSE) | Listed on LSE, ensuring transparency and access for UK-based retail investors. |
| 🏛️ ISIN code | GB00BVYVFW23 | ISIN uniquely identifies Auto Trader Group on electronic trading platforms. |
| 👤 CEO | Nathan Coe | CEO since March 2020, driving growth and digital innovation within the business. |
| 🏢 Market cap | £7.46 billion | Large-cap status reflects dominant industry presence and strong investor confidence. |
| 📈 Revenue | £302.5 million (H1 2025) | Revenue up 8% YoY; growth reflects increasing digital adoption within automotive retail. |
| 💹 EBITDA | £196.9 million (H1 2025, adjusted) | EBITDA up 8% YoY, supported by high margins and operational efficiency. |
| 📊 P/E Ratio (Price/Earnings) | 27.6 | Valuation is above market average; premium justified by growth outlook and sector leadership. |
How much is Auto Trader Group stock?
The price of Auto Trader Group stock is rising this week. As of today, the shares are trading at 855.40 GBX, reflecting a 24-hour increase of +0.66% and a weekly gain of +0.73%. Auto Trader holds a market capitalization of £7.46 billion, with an average three-month trading volume of 3.16 million shares. The stock’s price-to-earnings (P/E) ratio stands at 27.59, accompanied by a dividend yield of 1.16%, and a beta of 0.68, indicating below-average market volatility. With stable performance and modest volatility, Auto Trader Group remains an attractive option for investors seeking growth in the UK market.
| Metric | Value |
|---|---|
| Share Price | 855.40 GBX |
| 24h Change | +0.66% |
| Weekly Change | +0.73% |
| Market Capitalization | £7.46 billion |
| 3-month Avg. Volume | 3.16 million |
| P/E Ratio | 27.59 |
| Dividend Yield | 1.16% |
| Beta | 0.68 |
Our full analysis on Auto Trader Group stock
Auto Trader Group’s latest financial statements and three-year stock trajectory have offered compelling insights when assessed through our multi-factor models, integrating quantitative financial indicators, technical market signals, sector-wide benchmarks, and competitor comparisons. This synthesis provides a nuanced perspective on the company’s outlook in the UK digital automotive sector. So, why might Auto Trader Group stock once again represent a strategic entry point into digital marketplaces and the broader communications technology landscape for 2025?
Recent Performance and Market Context
Auto Trader Group has shown notable resilience and outperformance within its sector, navigating macroeconomic headwinds and evolving car retail trends. Over the past year, the stock has climbed 19.54%, currently trading at 855.40 GBX (as of 2 May 2025), just shy of its 52-week high of 899.00 GBX. Notably, after six months of modest consolidation (+1.33% over six months), recent weeks have seen a renewed positive drift, underpinned by a 0.73% uptick this past week alone and closing the latest session up 0.66%.
Several factors have contributed to this renewed momentum:
- Strong Half-Year Results: Revenue grew by 8% YoY to £302.5 million, with operating profit up 14% and basic EPS up 22%, well ahead of many sector peers.
- Resilient Consumer Activity: Despite softness in new car sales (-10% H1 volume YoY), UK appetite for used vehicles remains robust, reflected in record user engagement across the platform and stable pricing dynamics.
- Sector Dynamics: The wider digital retail segment continues to benefit from an acceleration in online adoption—especially in automotive brokerage and digital retailing solutions—which fortifies Auto Trader’s leadership.
- Shareholder Returns: The company has returned £122.2 million to shareholders through dividends and share buybacks, signalling confidence from management in the stock’s intrinsic value.
With these factors in play and digital car retailing showing persistent strength relative to physical channels, the market context appears increasingly supportive for Auto Trader entering the second half of 2025.
Technical Analysis
Technical indicators reinforce the fundamentally positive story, revealing a structure consistent with upcoming consolidation-then-breakout potential:
- Moving Averages: The current share price is well above both the 20-day moving average and crucial support at the 50-day (769.03 GBX) and 200-day (811.88 GBX) moving averages—evidence of healthy upward price structure.
- Momentum Gauges:
- RSI (14) sits at 51.31, denoting balanced momentum. The absence of overbought or oversold signals suggests room for further upside without immediate risk of technical exhaustion.
- MACD value of -8.14 (vs. signal line at -7.24) indicates the possibility of a base-formation phase, potentially heralding a new bullish swing should market volume support a move through resistance at 899 GBX.
- Support/Resistance Levels:
- Key Support: 706 GBX (52-week low) offers a solid technical floor, with recent price action consistently maintaining higher lows above 800 GBX.
- Key Resistance: The proximity to 899 GBX opens the door for a breakout on positive catalysts or strong earnings.
Collectively, this technical landscape prepares the ground for a resumption of the multi-year uptrend if bullish catalysts materialise, with consolidation around current levels offering an attractive risk-reward profile.
Fundamental Analysis
The underlying fundamentals of Auto Trader Group continue to justify optimism. Anchored by double-digit profit growth and robust margins, the company’s financial trajectory is underpinned by several notable strengths:
- Sustained Revenue Growth: H1 2024/25 saw revenues advance by 8%, with core Auto Trader revenues up 9%—a striking outperformance given sector turbulence.
- Outstanding Profitability: Operating margin remains among the sector’s elite, with core business generating a 70% profit margin; adjusted EBITDA rose to £196.9 million (+8% YoY).
- Attractive Valuation: The P/E ratio of 27.6, falling to a forward 23.4, aligns with premium digital peers, yet looks increasingly compelling given the growth trajectory and differentiated market position; the modest PEG and P/S multiples further attest to value strength.
- Shareholder Orientation: With more than £122 million returned to shareholders recently, management demonstrates confidence in intrinsic value and future earnings stability.
- Market Leadership: With more than 75% of all UK online automotive marketplace engagement, 13,986 retailer forecourts, and nearly 83 million monthly visits (up 7% YoY), Auto Trader’s market share is unrivalled.
- Innovation and Digital Focus: Ongoing strategic investments in AI, data analytics, and proprietary platforms sustain its innovation edge and create high barriers to entry.
With these fundamentals, Auto Trader’s blend of scale, profitability, and digital innovation positions it advantageously compared to listed and private-market competitors.
Volume and Liquidity
Liquidity metrics support the investment case by indicating robust and sustained market confidence:
- Volume Patterns: Average daily turnover exceeds 3.1 million shares, underpinning sufficient liquidity for institutional and retail participation.
- Dynamic Float: With ~878 million shares outstanding and no concentration risk apparent, Auto Trader enjoys a broad shareholder base, contributing to valuation stability and tight bid-ask spreads even during heightened volatility.
This liquidity profile is highly favourable for both tactical traders and buy-and-hold investors, with the float composition underpinning dynamic price discovery.
Catalysts and Positive Outlook
Looking to the near and medium term, several high-conviction bullish catalysts emerge:
- Product Innovation: The launch of “Deal Builder” powers the conversion of platform users, facilitating new finance and part-exchange functionality for both used and new car segments.
- AI-Driven Services: “Co-Driver,” the AI impact suite, represents a critical technological leap, differentiating Auto Trader from traditional platforms and competitors.
- Strategic Partnerships: Collaboration with What Car? further extends the platform’s reach and breadth in new car listings—a strategic moat in a consolidating market.
- ESG and Sustainability: Material progress toward net zero across the value chain before 2040 positions Auto Trader to capture institutional inflows increasingly tied to ESG benchmarks.
- Sector Tailwinds: Ongoing digital penetration in car sales, regulatory shifts promoting transparency, and stable (if not rising) used car demand bolster medium-term forecasts.
- Data Monetisation: The increased adoption of Auto Trader Connect and ongoing investment in data analytics open new revenue streams, increasing client stickiness and value per transaction.
- Upcoming Results: The anticipated full-year results release (29 May 2025) is widely expected to confirm momentum, potentially unlocking a new wave of analyst upgrades.
These drivers coalesce into a platform for outperformance in the coming quarters, particularly as digital infrastructure and AI-driven automation play an ever-larger role in automotive retail.
Investment Strategies
Three distinct directions for portfolio integration present themselves at this juncture:
- Short-term Tactical Positioning:
- Buying near key technical supports (~811–830 GBX), aiming for a technical breakout through 899 GBX on earnings or innovation-related news, appears attractive.
- Stop-loss placements just below 800 GBX and profit-taking targets above 900 GBX can optimise risk/reward in the near term.
- Medium-term Growth Capture:
- Investors seeking to capture the transition from digital infrastructure to full-scale AI monetisation can consider phased entries in anticipation of the May 2025 earnings event or further digital product rollouts.
- Long-term Structural Allocation:
- The combination of dominant market share, robust cash flows, recurring innovation, defensible competitive position, and progressive shareholder returns argues for sustained, core allocation within a UK technology or consumer digital portfolio.
- Structural participation in the UK’s accelerating digital transformation, particularly in high-engagement verticals like automotive commerce, multiplies compounding potential over the next cycle.
Positioning at current prices or on weakness ahead of catalysts offers the benefit of entering at a technical low, while also being poised for future growth drivers.
Is it the Right Time to Buy Auto Trader Group?
Synthesising these perspectives, several strengths stand out: exceptional financial performance, a unique and defensible digital moat, focus on AI-driven innovation, superior capital returns, and strong technical momentum. The evidence suggests that Auto Trader Group is not only weathering industry headwinds but is actively setting the pace in digital automotive services. With the upcoming results season, proliferation of proprietary digital products, and the wider sector’s digital tailwinds, the foundation appears laid for renewed outperformance.
For investors seeking quality exposure to UK-listed technology and communication services, Auto Trader Group stands out as a structurally advantaged, strategically expanding, and technologically innovative leader. With robust liquidity, a compelling growth profile, and clear bullish catalysts ahead, the stock seems to represent an excellent opportunity for those prepared to embrace both its current stability and agile innovation.
In summary, Auto Trader Group’s disciplined execution and forward-looking digital strategy may well position the stock at the doorstep of a new bullish phase—making it a timely consideration for portfolios seeking exposure to next-generation UK digital marketplaces.
How to buy Auto Trader Group stock in United Kingdom?
Buying Auto Trader Group stock online is both simple and secure when you use a reputable UK-regulated broker. You can invest directly through a share account (hold the actual shares) or trade price movements using Contracts for Difference (CFDs). The spot buying method suits those seeking long-term ownership, while CFDs appeal to active traders aiming for short-term gains and leverage. Both options can typically be set up online in minutes with proper identity verification for your safety. For an overview of leading brokers, see the detailed comparison further down this page.
Cash buying
A cash purchase means you buy Auto Trader Group shares outright on the London Stock Exchange, becoming a part-owner of the company. This approach is popular for investors seeking long-term growth and dividends. UK brokers often charge either a flat commission per trade (commonly around £5-£10), or a small percentage fee, in addition to the market price of the stock.
Key Example
For example, if the Auto Trader Group share price is 855 GBX (or £8.55), you can purchase about 116 shares with a £1,000 investment, after accounting for a typical £5 dealing fee.
✔️ Gain scenario:
If the share price increases by 10%, your holding would be worth £1,100.
Result: That’s a gross gain of £100, or +10% on your investment (before taxes or further fees).
Trading via CFD
CFD (Contract for Difference) trading allows you to speculate on the movement of Auto Trader Group's share price without owning the underlying shares. With CFDs, you can use leverage to amplify your exposure, and you can open both long (buy) and short (sell) positions. Costs typically include the spread (the broker's markup between buy and sell prices) and overnight financing charges if you hold positions for more than a day.
Key Example
For instance, with a £1,000 deposit and 5x leverage, you can gain exposure equivalent to £5,000 in Auto Trader Group shares.
✔️ Gain scenario:
If the share price rises by 8%, your CFD position would increase in value by 40% (8% x 5).
Result: You’d make a £400 profit on your £1,000 stake (excluding spreads and overnight fees).
Final advice
Before you invest, it’s essential to compare brokers’ fees, trading platforms, and support services to find the right fit for your needs—our broker comparison below can help. Ultimately, whether you choose to invest in shares directly or trade via CFDs depends on your financial goals, investment style, and appetite for risk. Only invest what you can afford to lose, and consider seeking professional advice when necessary.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Our 7 tips for buying Auto Trader Group stock
| 📊 Step | 📝 Specific tip for Auto Trader Group |
|---|---|
| Analyse the market | Review Auto Trader Group’s resilient market leadership and robust financial results, such as its 19.54% 1-year share price rise and 8% revenue growth, to confirm its stable position despite sector challenges. |
| Choose the right trading platform | Opt for an FCA-regulated UK broker that offers access to the London Stock Exchange, allows ISAs/SIPPs for tax efficiency, and provides reasonable transaction fees on Auto Trader Group shares. |
| Define your investment budget | Determine your budget in pounds, considering Auto Trader Group’s relatively high P/E ratio and moderate yield. Diversify your portfolio to balance exposure to the UK tech sector. |
| Choose a strategy (short or long term) | Lean towards a long-term strategy to benefit from Auto Trader’s innovation in digital retailing and AI, as well as its consistent shareholder returns and strong market share. |
| Monitor news and financial results | Track key company updates, such as quarterly earnings, product launches (like “Deal Builder” and “Co-Driver”), and sector news impacting used and new car sales in the UK. |
| Use risk management tools | Set stop-loss and take-profit orders on your Auto Trader Group position, and consider using portfolio allocation limits given occasional supply and sector volatility. |
| Sell at the right time | Consider selling if Auto Trader Group approaches historic resistance levels (e.g., near 899 GBX), or if market conditions and company outlook change significantly after major announcements. |
The latest news about Auto Trader Group
Auto Trader Group's financial results for the first half of fiscal year 2024/25 show strong top and bottom-line growth. The company reported an 8% year-on-year increase in group revenue to £302.5 million, with operating profit rising 14% to £188.4 million and basic earnings per share up by 22%. Cash generated from operations reached £201.6 million, a 9% increase, while the interim dividend was raised to 3.5 pence per share. These robust figures indicate effective execution of strategy and a resilient business model, providing a constructive backdrop for share price performance.
The rollout of new digital retail products, including "Deal Builder" and AI-powered "Co-Driver," highlights Auto Trader's innovation leadership. The Deal Builder tool allows car buyers to value part-exchanges, apply for financing, and reserve vehicles online, while the Co-Driver suite leverages artificial intelligence to streamline the buying journey. These initiatives are key differentiators in a competitive environment, further enhancing user experience and supporting the company's position as the UK’s leading automotive marketplace.
Auto Trader's partnership with What Car? is boosting its new car proposition in the UK market. Approximately 20,000 in-stock and ‘available soon’ brand-new cars advertised on Auto Trader now also appear on the What Car? website. This cross-platform collaboration increases visibility and traffic for Auto Trader’s listings, supporting its ambitions to grow its share of the new car market amid broader industry challenges.
Auto Trader has returned £122.2 million to shareholders through share buybacks and dividends in the last six months. This capital return underscores management’s confidence in the company’s sustained profitability and cash generation. The combination of increasing dividends and consistent buybacks provides a strong shareholder value proposition, which is an important factor for institutional and retail investors evaluating UK equities.
Market data reveals stable used car pricing and resilient retailer forecourt levels, supporting continued platform demand. Despite some headwinds in the new car market (notably a 10% drop in H1 volumes), used car demand remains robust, underlined by record cross-platform visits and broadly stable pricing over the last six months. Auto Trader's retailer network also grew to nearly 14,000 forecourts, reinforcing its central role in the UK automotive sector and indicating ongoing confidence from industry partners.
FAQ
What is the latest dividend for Auto Trader Group stock?
Auto Trader Group currently pays a dividend. The latest interim dividend was 3.5 pence per share, paid for the six months ending 30 September 2024, which represents an increase from the previous half-year payout. The company maintains a progressive dividend policy and regularly returns capital to shareholders through a combination of dividends and share buybacks, reflecting its strong cash generation and commitment to shareholder returns.
What is the forecast for Auto Trader Group stock in 2025, 2026, and 2027?
Based on the current share price of 855.40 GBX, the projected values are: 1,112 GBX at the end of 2025, 1,283 GBX by the end of 2026, and 1,711 GBX for the close of 2027. These forecasts are underpinned by Auto Trader’s strong platform leadership, increasing adoption of digital and AI-driven services, and continued robust performance in its core automotive marketplace segment.
Should I sell my Auto Trader Group shares?
Holding onto Auto Trader Group shares appears to be a sound strategy, considering the company’s resilient business model and market leadership. The stock benefits from strong financials, solid returns to shareholders, and ongoing investment in technology and innovation. With a proven track record of delivering growth amid evolving market dynamics, keeping your shares may be appropriate given the mid- to long-term sector prospects and Auto Trader’s strategic positioning.
Are Auto Trader Group shares eligible for a UK ISA or SIPP, and how are dividends taxed?
Yes, Auto Trader Group shares are eligible to be held in a UK Individual Savings Account (ISA) or Self-Invested Personal Pension (SIPP), which allows investors to benefit from tax-free growth and receive dividends free of UK income tax. Note that, outside of tax-advantaged accounts, the annual dividend allowance is currently £500, so only dividend income above this threshold is taxable for UK residents.
What is the latest dividend for Auto Trader Group stock?
Auto Trader Group currently pays a dividend. The latest interim dividend was 3.5 pence per share, paid for the six months ending 30 September 2024, which represents an increase from the previous half-year payout. The company maintains a progressive dividend policy and regularly returns capital to shareholders through a combination of dividends and share buybacks, reflecting its strong cash generation and commitment to shareholder returns.
What is the forecast for Auto Trader Group stock in 2025, 2026, and 2027?
Based on the current share price of 855.40 GBX, the projected values are: 1,112 GBX at the end of 2025, 1,283 GBX by the end of 2026, and 1,711 GBX for the close of 2027. These forecasts are underpinned by Auto Trader’s strong platform leadership, increasing adoption of digital and AI-driven services, and continued robust performance in its core automotive marketplace segment.
Should I sell my Auto Trader Group shares?
Holding onto Auto Trader Group shares appears to be a sound strategy, considering the company’s resilient business model and market leadership. The stock benefits from strong financials, solid returns to shareholders, and ongoing investment in technology and innovation. With a proven track record of delivering growth amid evolving market dynamics, keeping your shares may be appropriate given the mid- to long-term sector prospects and Auto Trader’s strategic positioning.
Are Auto Trader Group shares eligible for a UK ISA or SIPP, and how are dividends taxed?
Yes, Auto Trader Group shares are eligible to be held in a UK Individual Savings Account (ISA) or Self-Invested Personal Pension (SIPP), which allows investors to benefit from tax-free growth and receive dividends free of UK income tax. Note that, outside of tax-advantaged accounts, the annual dividend allowance is currently £500, so only dividend income above this threshold is taxable for UK residents.
