Wealth Enhancement Advisory Services LLC Takes Position in Sonic Automotive, Inc. (NYSE:SAH)

Wealth Enhancement Advisory Services LLC purchased a new stake in Sonic Automotive, Inc. (NYSE:SAH) during the 3rd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm purchased 9,095 shares of the company’s stock, valued at approximately $532,000.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in SAH. Allspring Global Investments Holdings LLC bought a new stake in shares of Sonic Automotive during the 1st quarter valued at $30,000. Innealta Capital LLC acquired a new position in Sonic Automotive in the second quarter valued at about $41,000. AM Squared Ltd acquired a new position in shares of Sonic Automotive during the 2nd quarter worth about $82,000. Point72 DIFC Ltd increased its stake in shares of Sonic Automotive by 6.9% in the 2nd quarter. Point72 DIFC Ltd now owns 2,900 shares of the company’s stock valued at $158,000 after acquiring an additional 187 shares during the last quarter. Finally, Intech Investment Management LLC acquired a new stake in shares of Sonic Automotive in the 2nd quarter valued at approximately $228,000. 46.92% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on SAH. Stephens started coverage on shares of Sonic Automotive in a report on Thursday, September 12th. They issued an “equal weight” rating and a $64.00 price target for the company. Needham & Company LLC increased their price target on Sonic Automotive from $73.00 to $74.00 and gave the stock a “buy” rating in a report on Friday, October 25th. Morgan Stanley raised Sonic Automotive from an “underweight” rating to an “equal weight” rating and raised their price target for the stock from $40.00 to $58.00 in a research report on Wednesday, September 25th. JPMorgan Chase & Co. increased their target price on Sonic Automotive from $63.00 to $75.00 and gave the stock an “overweight” rating in a research note on Tuesday, September 10th. Finally, Bank of America reduced their price target on shares of Sonic Automotive from $67.00 to $66.00 and set a “buy” rating for the company in a report on Monday, October 14th. Three investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the company. According to data from MarketBeat.com, Sonic Automotive presently has an average rating of “Moderate Buy” and a consensus target price of $67.40.

Sonic Automotive Price Performance

NYSE:SAH opened at $64.63 on Friday. The stock’s 50-day simple moving average is $57.33 and its 200 day simple moving average is $57.32. Sonic Automotive, Inc. has a 52-week low of $47.82 and a 52-week high of $66.25. The company has a debt-to-equity ratio of 1.87, a quick ratio of 0.35 and a current ratio of 1.11. The company has a market cap of $2.21 billion, a P/E ratio of 11.50 and a beta of 1.61.

Sonic Automotive (NYSE:SAH) last announced its quarterly earnings data on Thursday, October 24th. The company reported $1.26 EPS for the quarter, missing analysts’ consensus estimates of $1.43 by ($0.17). The firm had revenue of $3.49 billion during the quarter, compared to the consensus estimate of $3.55 billion. Sonic Automotive had a net margin of 1.41% and a return on equity of 21.27%. The business’s revenue was down 4.2% on a year-over-year basis. During the same period last year, the business earned $2.02 EPS. As a group, sell-side analysts forecast that Sonic Automotive, Inc. will post 5.73 EPS for the current fiscal year.

Sonic Automotive Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, January 15th. Stockholders of record on Friday, December 13th will be paid a dividend of $0.35 per share. The ex-dividend date is Friday, December 13th. This represents a $1.40 dividend on an annualized basis and a dividend yield of 2.17%. This is a positive change from Sonic Automotive’s previous quarterly dividend of $0.30. Sonic Automotive’s dividend payout ratio (DPR) is 24.91%.

Sonic Automotive Company Profile

Sonic Automotive, Inc operates as an automotive retailer in the United States. It operates in three segments, Franchised Dealerships, EchoPark, and Powersports. The Franchised Dealerships segment is involved in the sale of new and used cars and light trucks, and replacement parts; provision of vehicle maintenance, manufacturer warranty repair, and paint and collision repair services; and arrangement of extended warranties, service contracts, financing, insurance, and other aftermarket products for its guests.