NEW YORK (TheStreet) -- Shares of Sonic Automotive (SAH) are up 2.18% to $24.84 after the automotive retailer announced that EchoPark is the name of its pre-owned vehicle retail store concept that will compete with CarMax (KMX) .
Operating as a subsidiary of Sonic Automotive, EchoPark will introduce a new specialty pre-owned automotive retail experience that is completely unique to the automotive industry, the company said.
Shares of CarMax are up 1.51% to $51.16.
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TheStreet Ratings team rates SONIC AUTOMOTIVE INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate SONIC AUTOMOTIVE INC (SAH) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels, good cash flow from operations, compelling growth in net income and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."