Key Points
- Major shareholder Jill Foss Watson sold 11,000 shares of Credit Acceptance on July 2 at an average price of $653.24, totaling about $7.19 million. The sale reduced her ownership by 18.23%.
- Credit Acceptance stock slipped 1.6% while trading around $646.58, near its 52-week high of $668.86. The company has a market cap of about $6.76 billion.
- Recent earnings were mixed: the company reported $10.71 EPS, narrowly missing estimates, while revenue came in well below expectations at $406 million. Analysts currently rate the stock a consensus Hold with an average target price of $557.50.
Credit Acceptance Corporation (NASDAQ:CACC - Get Free Report) major shareholder Jill Foss Watson sold 11,000 shares of the company's stock in a transaction on Thursday, July 2nd. The stock was sold at an average price of $653.24, for a total transaction of $7,185,640.00. Following the transaction, the insider owned 49,346 shares of the company's stock, valued at $32,234,781.04. This trade represents a 18.23% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Large shareholders that own more than 10% of a company's shares are required to disclose their transactions with the SEC.
Jill Foss Watson also recently made the following trade(s):
- On Tuesday, April 21st, Jill Foss Watson sold 9,450 shares of Credit Acceptance stock. The shares were sold at an average price of $538.52, for a total value of $5,089,014.00.
Credit Acceptance Trading Down 1.6%
NASDAQ CACC opened at $646.58 on Wednesday. The company has a market cap of $6.76 billion, a price-to-earnings ratio of 16.07 and a beta of 1.36. Credit Acceptance Corporation has a twelve month low of $401.90 and a twelve month high of $668.86. 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 business's fifty day moving average is $566.61 and its 200 day moving average is $505.13.
Credit Acceptance (NASDAQ:CACC - Get Free Report) last issued its earnings results on Tuesday, May 5th. The credit services provider reported $10.71 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $10.73 by ($0.02). The firm had revenue of $406.00 million during the quarter, compared to analyst estimates of $580.77 million. Credit Acceptance had a return on equity of 29.95% and a net margin of 19.49%.Credit Acceptance's revenue for the quarter was up 1.6% on a year-over-year basis. During the same period in the previous year, the company earned $9.35 EPS. As a group, sell-side analysts expect that Credit Acceptance Corporation will post 47.5 EPS for the current fiscal year.
Hedge Funds Weigh In On Credit Acceptance
Hedge funds and other institutional investors have recently made changes to their positions in the stock. CoreCap Advisors LLC increased its position in Credit Acceptance by 23,600.0% during the 2nd quarter. CoreCap Advisors LLC now owns 237 shares of the credit services provider's stock valued at $151,000 after purchasing an additional 236 shares during the period. Versant Capital Management Inc boosted its stake in shares of Credit Acceptance by 587.5% in the 2nd quarter. Versant Capital Management Inc now owns 55 shares of the credit services provider's stock valued at $35,000 after purchasing an additional 47 shares during the last quarter. Empowered Funds LLC acquired a new stake in shares of Credit Acceptance during the first quarter worth $278,000. Parallel Advisors LLC increased its position in shares of Credit Acceptance by 590.0% during the first quarter. Parallel Advisors LLC now owns 69 shares of the credit services provider's stock worth $29,000 after buying an additional 59 shares during the period. Finally, Bank of America Corp DE raised its stake in Credit Acceptance by 47.9% during the first quarter. Bank of America Corp DE now owns 44,586 shares of the credit services provider's stock worth $18,880,000 after buying an additional 14,439 shares during the last quarter. 81.71% of the stock is owned by institutional investors and hedge funds.
Analyst Upgrades and Downgrades
A number of research analysts recently issued reports on CACC shares. Weiss Ratings upgraded shares of Credit Acceptance from a "hold (c)" rating to a "hold (c+)" rating in a report on Friday, May 8th. Stephens boosted their target price on shares of 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 shares of Credit Acceptance from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, May 13th. Finally, TD Cowen raised their price target on shares of Credit Acceptance from $500.00 to $575.00 and gave the company a "hold" rating in a research note on Tuesday. Four analysts have rated the stock with a Hold rating, According to data from MarketBeat, the stock has an average rating of "Hold" and an average target price of $557.50.
Check Out Our Latest Research Report on CACC
About Credit Acceptance
(
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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