Jim Cramer on AutoNation, Inc. (AN): ‘You Won’t Hear Me Criticize Any Company With That Big A Buyback’

We recently published an article titled Did Jim Cramer Get These 10 Predictions Right or Wrong? In this article, we are going to take a look at where AutoNation, Inc. (NYSE:AN) stands against the other stocks Jim Cramer recently talked about.

During the most recent episode of Mad Money, which aired on Monday, the 12th of May, Jim Cramer discussed the recent market rally and encouraged his viewers to stay invested. He also emphasized the importance of earnings, saying:

“Earnings matter again, okay? That’s what happened last night when the United States and China reached an agreement, however temporary, to hold off trade armageddon. The rollback of the exorbitant tariffs to much more reasonable levels caused the stock market to explode.”

READ ALSO: Jim Cramer’s 9 Failed Predictions From 12 Months Ago AND Jim Cramer Nailed These 12 Stock Predictions

Although Cramer was happy about the market’s recovery, he reminded his viewers that the S&P 500 is still flat on a year-to-date basis and discussed how other regions are doing:

“Now don’t get me wrong, I’m glad it happened, but I just spent a week in Europe, and it is stunning how much better the markets are doing over there.”

His final reminder was for his viewers to just stay invested in the market and avoid trying to time the market, saying:

“Bottom line: It’s better to stay in, stay on, and let her ride than to try to pick the perfect moment to trade in and out and in and out of the stock market. By the way, that’s not much of a strategy. It’s more of a game of chicken where there are no winners, just losers who think they are smarter than the average bear.”

Our Methodology

For this article, we compiled a list of 10 stocks that were discussed by Jim Cramer during the Mad Money episode that aired on the 13th of May 2024. We then calculated their performance for the past 12 months, until May 13th, 2025, market close. We have also included the hedge fund sentiment for the stocks, which we sourced from Insider Monkey’s Q4 2024 database of over 900 hedge funds. The stocks are listed in the order that Cramer mentioned them.

Please note that this article mentions Jim Cramer’s previous opinions and may not account for any changes to his opinions regarding the stocks that are mentioned. It is primarily an examination of how his previously provided opinions have panned out.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

Why AutoNation Inc (AN) Is Skyrocketing So Far In 2025?

An AutoNation-branded dealership, showcasing the wide variety of new and used vehicles on offer.

AutoNation, Inc. (NYSE:AN)

Number of Hedge Fund Holders: 43

Cramer brought up AutoNation, Inc. (NYSE:AN) to highlight how aggressive buybacks, rather than explosive earnings growth, had been driving the stock’s incredible performance at the time. He pointed out:

“AutoNation… reported a pretty good quarter, leading to yet another leg higher for the stock. […] I think it’s AutoNation’s buyback that’s been driving this one higher. […] The company’s share count has fallen from just under 90 million shares in 2020 to around 40 million now — they repurchased more than half the stock. […]

AutoNation just announced a new $1 billion buyback. […] You won’t hear me criticize any company with that big a buyback, one that’s made so much money for shareholders. I think there should have been more recognition that AutoNation’s incredible success fuels the buyback, which in turn fuels itself.”

The buyback thesis held up, with the stock advancing 13.01% since then.

AutoNation, Inc. (NYSE:AN) is one of the largest automotive retailers in the United States, selling new and used vehicles and offering repair and maintenance services. In February this year, Cramer highlighted the robust used car market as he shared:

“AutoNation, positive note today. Used cars are selling really well.”

Overall AN ranks 4th on our list of the stocks Jim Cramer recently discussed. While we acknowledge the potential of AN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than AN but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.