Credit Acceptance (NASDAQ:CACC) Rating Lowered to Sell at ValuEngine

Credit Acceptance (NASDAQ:CACC) was downgraded by investment analysts at ValuEngine from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Tuesday, ValuEngine reports.

A number of other brokerages have also weighed in on CACC. BidaskClub lowered shares of Credit Acceptance from a “sell” rating to a “strong sell” rating in a report on Wednesday, October 30th. BMO Capital Markets lowered their price objective on shares of Credit Acceptance to $472.00 and set an “in-line” rating for the company in a research note on Tuesday, November 5th. Finally, Credit Suisse Group upped their price objective on Credit Acceptance from $380.00 to $390.00 and gave the stock an “underperform” rating in a report on Thursday, November 14th. Four research analysts have rated the stock with a sell rating and five have issued a hold rating to the company’s stock. The company currently has an average rating of “Hold” and a consensus target price of $444.17.

Shares of CACC stock traded down $1.34 during trading hours on Tuesday, hitting $434.19. 139,400 shares of the company were exchanged, compared to its average volume of 95,059. The firm has a fifty day moving average of $439.42 and a 200 day moving average of $463.74. The company has a quick ratio of 29.49, a current ratio of 29.49 and a debt-to-equity ratio of 1.75. Credit Acceptance has a 1 year low of $356.12 and a 1 year high of $509.99. The firm has a market cap of $8.09 billion, a PE ratio of 15.29, a PEG ratio of 1.13 and a beta of 0.69.

Credit Acceptance (NASDAQ:CACC) last released its earnings results on Friday, November 1st. The credit services provider reported $8.89 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $8.86 by $0.03. Credit Acceptance had a net margin of 44.69% and a return on equity of 29.54%. The firm had revenue of $378.70 million during the quarter, compared to the consensus estimate of $380.69 million. During the same period in the previous year, the firm earned $7.56 earnings per share. Credit Acceptance’s revenue was up 14.1% compared to the same quarter last year. Analysts expect that Credit Acceptance will post 34.57 earnings per share for the current year.

In other Credit Acceptance news, CFO Kenneth Booth bought 1,250 shares of the business’s stock in a transaction dated Tuesday, November 5th. The shares were acquired at an average price of $410.61 per share, with a total value of $513,262.50. The purchase was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CEO Brett A. Roberts sold 9,937 shares of the firm’s stock in a transaction on Friday, November 8th. The shares were sold at an average price of $427.63, for a total transaction of $4,249,359.31. The disclosure for this sale can be found here. Company insiders own 5.00% of the company’s stock.

A number of institutional investors have recently made changes to their positions in the stock. Usca Ria LLC purchased a new position in Credit Acceptance in the third quarter valued at about $30,000. Pearl River Capital LLC acquired a new stake in shares of Credit Acceptance in the second quarter valued at about $42,000. NumerixS Investment Technologies Inc purchased a new stake in shares of Credit Acceptance during the 2nd quarter valued at about $97,000. Smithfield Trust Co. purchased a new stake in shares of Credit Acceptance during the 3rd quarter valued at about $96,000. Finally, Point72 Hong Kong Ltd lifted its position in Credit Acceptance by 187.1% during the 2nd quarter. Point72 Hong Kong Ltd now owns 244 shares of the credit services provider’s stock worth $118,000 after acquiring an additional 159 shares in the last quarter. 59.70% of the stock is owned by hedge funds and other institutional investors.

About Credit Acceptance

Credit Acceptance Corporation provides financing programs, and related products and services to independent and franchised automobile dealers in the United States. The company advances money to dealers in exchange for the right to service the underlying consumer loans; and buys the consumer loans from the dealers and keeps various amounts collected from the consumers.

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Analyst Recommendations for Credit Acceptance (NASDAQ:CACC)

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