AutoNation's stock has more than tripled since Jackson became CEO in 1999 after the company's founder H. Wayne Huizenga hired him from Mercedes-Benz USA, where Jackson was president.

The Fort Lauderdale, Florida-headquartered retailer has retained its No.1 position in the United States under Jackson's leadership.

His departure as CEO comes as U.S. automotive sales are cooling down after a solid run for several years following the 2008 financial crisis.

AutoNation said executive search firm Spencer Stuart would support its CEO succession process.

(Reporting by Ankit Ajmera in Bengaluru; Editing by Sai Sachin Ravikumar)