StockNews.com Downgrades Credit Acceptance (NASDAQ:CACC) to Hold

Credit Acceptance (NASDAQ:CACC) was downgraded by stock analysts at StockNews.com from a “buy” rating to a “hold” rating in a research note issued to investors on Tuesday.

Several other equities analysts have also weighed in on CACC. Stephens began coverage on shares of Credit Acceptance in a report on Wednesday, November 13th. They issued an “equal weight” rating and a $452.00 target price on the stock. TD Cowen reduced their price target on shares of Credit Acceptance from $400.00 to $380.00 and set a “sell” rating on the stock in a research note on Friday, November 1st.

Credit Acceptance Trading Down 2.5 %

Shares of CACC opened at $454.55 on Tuesday. Credit Acceptance has a 52-week low of $409.22 and a 52-week high of $616.66. The stock has a market cap of $5.51 billion, a PE ratio of 30.53 and a beta of 1.46. The firm’s fifty day moving average is $466.50 and its two-hundred day moving average is $478.16. The company has a quick ratio of 23.63, a current ratio of 23.63 and a debt-to-equity ratio of 3.79.

Credit Acceptance (NASDAQ:CACC) last announced its quarterly earnings results on Wednesday, October 30th. The credit services provider reported $8.79 earnings per share for the quarter, beating the consensus estimate of $7.88 by $0.91. Credit Acceptance had a net margin of 9.08% and a return on equity of 29.18%. The firm had revenue of $550.30 million for the quarter, compared to analysts’ expectations of $548.13 million. During the same quarter in the previous year, the company posted $10.70 EPS. The company’s revenue was up 15.0% compared to the same quarter last year. Research analysts forecast that Credit Acceptance will post 36.54 earnings per share for the current fiscal year.

Insider Buying and Selling at Credit Acceptance

In other news, COO Jonathan Lum sold 552 shares of the company’s stock in a transaction on Tuesday, December 17th. The shares were sold at an average price of $489.90, for a total value of $270,424.80. Following the completion of the transaction, the chief operating officer now owns 31,493 shares in the company, valued at approximately $15,428,420.70. This represents a 1.72 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Insiders own 5.30% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of the stock. HighTower Advisors LLC boosted its holdings in shares of Credit Acceptance by 5.7% in the 3rd quarter. HighTower Advisors LLC now owns 595 shares of the credit services provider’s stock valued at $263,000 after buying an additional 32 shares in the last quarter. PDT Partners LLC boosted its stake in Credit Acceptance by 1.9% during the 3rd quarter. PDT Partners LLC now owns 5,458 shares of the credit services provider’s stock worth $2,420,000 after purchasing an additional 100 shares during the period. Wedge Capital Management L L P NC lifted its stake in shares of Credit Acceptance by 4.2% in the 3rd quarter. Wedge Capital Management L L P NC now owns 2,617 shares of the credit services provider’s stock worth $1,160,000 after acquiring an additional 105 shares during the period. Lountzis Asset Management LLC lifted its stake in shares of Credit Acceptance by 22.3% in the 3rd quarter. Lountzis Asset Management LLC now owns 598 shares of the credit services provider’s stock worth $265,000 after acquiring an additional 109 shares during the period. Finally, JPMorgan Chase & Co. lifted its stake in shares of Credit Acceptance by 3.0% in the 3rd quarter. JPMorgan Chase & Co. now owns 4,082 shares of the credit services provider’s stock worth $1,810,000 after acquiring an additional 118 shares during the period. Institutional investors and hedge funds own 81.71% of the company’s stock.

Credit Acceptance Company Profile

Credit Acceptance Corporation engages in the provision of financing programs, and related products and services in the United States. The company advances money to automobile dealers in exchange for the right to service the underlying consumer loans; and buys the consumer loans from the dealers and keeps the amount collected from the consumers.