Sonic Automotive skids 22% on lower 2008 earnings forecast

Sonic Automotive Inc. (NYSE:SAH) is off 22% today after the auto retailer announced after Monday’s close that 2008 full-year earnings per share would be lower than expected. The company said earnings per share for the year ended Dec. 31 should be in the range of $1.65 to $1.85, down from a previous estimate of $2.35 to $2.50. Wall Street is expecting earnings of $2.16 per share. The company said it had lowered its earnings expectations based on the slowing of auto sales because of soaring gas prices and a weakened economy.

In today’s trading, shares of Sonic are at $8 at 10:27 a.m. ET, down $2.30 from Monday’s close.

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