Key Points
- Insider sale: Credit Acceptance insider Nicholas Elliott sold 2,306 shares at an average price of $629.99, totaling about $1.45 million. The transaction was part of a pre-arranged Rule 10b5-1 trading plan.
- Stock performance: CACC was down 0.2% and opened at $636.74, near its 52-week high of $645.00. The stock has risen well above its 50-day and 200-day moving averages.
- Fundamentals and outlook: The company recently missed quarterly EPS and revenue expectations, while analysts currently rate the stock a Hold with an average price target of $520. Institutional ownership remains high at 81.71%.
Credit Acceptance Corporation (NASDAQ:CACC - Get Free Report) insider Nicholas Elliott sold 2,306 shares of Credit Acceptance stock in a transaction dated Friday, June 26th. The shares were sold at an average price of $629.99, for a total value of $1,452,756.94. Following the completion of the transaction, the insider owned 20,897 shares of the company's stock, valued at $13,164,901.03. The trade was a 9.94% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Credit Acceptance Stock Down 0.2%
Shares of NASDAQ:CACC opened at $636.74 on Wednesday. Credit Acceptance Corporation has a fifty-two week low of $401.90 and a fifty-two week high of $645.00. The firm's 50 day moving average price is $553.59 and its 200 day moving average price is $498.46. The company has a quick ratio of 13.62, a current ratio of 13.62 and a debt-to-equity ratio of 4.09. The stock has a market cap of $6.66 billion, a price-to-earnings ratio of 15.82 and a beta of 1.38.
Credit Acceptance (NASDAQ:CACC - Get Free Report) last posted its quarterly earnings results on Tuesday, May 5th. The credit services provider reported $10.71 EPS for the quarter, missing the consensus estimate of $10.73 by ($0.02). Credit Acceptance had a return on equity of 29.95% and a net margin of 19.49%.The firm had revenue of $406.00 million for the quarter, compared to analyst estimates of $580.77 million. During the same quarter last year, the firm earned $9.35 EPS. The company's revenue was up 1.6% on a year-over-year basis. As a group, equities research analysts predict that Credit Acceptance Corporation will post 47.5 earnings per share for the current fiscal year.
Analyst Ratings Changes
CACC has been the topic of several recent analyst reports. TD Cowen increased their target price on Credit Acceptance from $450.00 to $500.00 and gave the company a "hold" rating in a report on Wednesday, May 6th. Stephens lifted their price target on Credit Acceptance from $450.00 to $540.00 and gave the stock an "equal weight" rating in a report on Friday, April 17th. Zacks Research cut Credit Acceptance from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, May 13th. Finally, Weiss Ratings upgraded Credit Acceptance from a "hold (c)" rating to a "hold (c+)" rating in a report on Friday, May 8th. Four equities research analysts have rated the stock with a Hold rating, According to MarketBeat, Credit Acceptance currently has a consensus rating of "Hold" and an average price target of $520.00.
Get Our Latest Analysis on CACC
Institutional Inflows and Outflows
Several large investors have recently modified their holdings of the stock. M&T Bank Corp purchased a new position in shares of Credit Acceptance in the 4th quarter valued at $208,294,000. Boston Partners lifted its position in Credit Acceptance by 3.4% in the fourth quarter. Boston Partners now owns 456,253 shares of the credit services provider's stock valued at $202,373,000 after acquiring an additional 14,877 shares during the last quarter. Dimensional Fund Advisors LP lifted its position in Credit Acceptance by 3.1% in the first quarter. Dimensional Fund Advisors LP now owns 230,715 shares of the credit services provider's stock valued at $97,701,000 after acquiring an additional 6,843 shares during the last quarter. Smead Capital Management Inc. boosted its stake in Credit Acceptance by 17.0% in the second quarter. Smead Capital Management Inc. now owns 216,811 shares of the credit services provider's stock valued at $110,450,000 after acquiring an additional 31,438 shares in the last quarter. Finally, Universal Beteiligungs und Servicegesellschaft mbH boosted its stake in Credit Acceptance by 764.8% in the fourth quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 203,879 shares of the credit services provider's stock valued at $91,652,000 after acquiring an additional 180,304 shares in the last quarter. Institutional investors and hedge funds own 81.71% of the company's stock.
Credit Acceptance Company Profile
(
Get Free Report)
Credit Acceptance Corporation, founded in 1972 and headquartered in Southfield, Michigan, is a specialty finance company focused on the indirect automotive lending market. The company partners with independent and franchised auto dealers to facilitate purchase financing for consumers who may not qualify for traditional prime auto loans. By purchasing retail installment contracts originated by these dealers, Credit Acceptance provides capital and credit insurance to support vehicle sales, enabling dealers to broaden their customer base and reduce credit risk.
Through its proprietary underwriting platform and risk management strategies, Credit Acceptance evaluates borrower applications, structures credit plans, and retains servicing rights on the acquired contracts.
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