Zacks: Brokerages Anticipate Credit Acceptance Corp. (NASDAQ:CACC) Will Post Quarterly Sales of $340.93 Million

Equities analysts expect that Credit Acceptance Corp. (NASDAQ:CACC) will report sales of $340.93 million for the current quarter, Zacks Investment Research reports. Three analysts have made estimates for Credit Acceptance’s earnings, with estimates ranging from $322.90 million to $355.90 million. Credit Acceptance posted sales of $353.80 million in the same quarter last year, which suggests a negative year-over-year growth rate of 3.6%. The company is expected to announce its next earnings report on Monday, May 4th.

According to Zacks, analysts expect that Credit Acceptance will report full-year sales of $1.47 billion for the current fiscal year, with estimates ranging from $1.39 billion to $1.55 billion. For the next year, analysts expect that the business will report sales of $1.68 billion, with estimates ranging from $1.65 billion to $1.72 billion. Zacks Investment Research’s sales averages are a mean average based on a survey of analysts that cover Credit Acceptance.

Credit Acceptance (NASDAQ:CACC) last released its quarterly earnings data on Thursday, January 30th. The credit services provider reported $9.22 earnings per share (EPS) for the quarter, beating the consensus estimate of $8.85 by $0.37. Credit Acceptance had a net margin of 44.06% and a return on equity of 29.72%. The company had revenue of $385.90 million during the quarter, compared to analysts’ expectations of $385.34 million. During the same period in the previous year, the company earned $7.85 EPS. The firm’s quarterly revenue was up 12.6% on a year-over-year basis.

Several equities research analysts have recently commented on CACC shares. BMO Capital Markets reduced their price target on shares of Credit Acceptance to $472.00 and set an “in-line” rating for the company in a report on Tuesday, November 5th. ValuEngine upgraded shares of Credit Acceptance from a “sell” rating to a “hold” rating in a report on Friday, January 3rd. Janney Montgomery Scott lowered shares of Credit Acceptance from a “neutral” rating to a “sell” rating in a report on Friday, January 31st. Credit Suisse Group reiterated a “sell” rating and set a $390.00 price objective on shares of Credit Acceptance in a research note on Sunday, February 2nd. Finally, BidaskClub upgraded shares of Credit Acceptance from a “sell” rating to a “hold” rating in a research note on Friday, January 24th. Three analysts have rated the stock with a sell rating and six have issued a hold rating to the company. The stock currently has an average rating of “Hold” and an average target price of $444.17.

Shares of NASDAQ:CACC traded up $3.00 during trading hours on Tuesday, hitting $437.01. The company’s stock had a trading volume of 53,901 shares, compared to its average volume of 135,619. Credit Acceptance has a 52 week low of $385.36 and a 52 week high of $509.99. The company has a debt-to-equity ratio of 1.75, a current ratio of 29.49 and a quick ratio of 29.49. The company has a market capitalization of $7.93 billion, a price-to-earnings ratio of 12.61, a P/E/G ratio of 1.86 and a beta of 0.77. The firm’s fifty day moving average price is $442.93 and its 200 day moving average price is $449.51.

In other Credit Acceptance news, insider Charles A. Pearce sold 1,000 shares of the company’s stock in a transaction that occurred on Monday, December 16th. The shares were sold at an average price of $442.43, for a total transaction of $442,430.00. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, VP Douglas W. Busk sold 1,500 shares of the company’s stock in a transaction that occurred on Monday, February 10th. The shares were sold at an average price of $442.99, for a total transaction of $664,485.00. The disclosure for this sale can be found here. Insiders have sold a total of 146,525 shares of company stock worth $65,460,790 in the last 90 days. 5.00% of the stock is currently owned by company insiders.

Institutional investors have recently modified their holdings of the business. Morgan Stanley grew its holdings in shares of Credit Acceptance by 26.4% during the second quarter. Morgan Stanley now owns 20,771 shares of the credit services provider’s stock valued at $10,050,000 after buying an additional 4,337 shares during the last quarter. Winmill & CO. Inc. purchased a new position in shares of Credit Acceptance during the 3rd quarter worth $5,305,000. Coastal Investment Advisors Inc. boosted its stake in shares of Credit Acceptance by 13.5% during the 3rd quarter. Coastal Investment Advisors Inc. now owns 781 shares of the credit services provider’s stock worth $360,000 after acquiring an additional 93 shares during the last quarter. JLB & Associates Inc. boosted its stake in shares of Credit Acceptance by 9.2% during the 3rd quarter. JLB & Associates Inc. now owns 7,630 shares of the credit services provider’s stock worth $3,519,000 after acquiring an additional 643 shares during the last quarter. Finally, Janney Montgomery Scott LLC boosted its stake in shares of Credit Acceptance by 57.4% during the 3rd quarter. Janney Montgomery Scott LLC now owns 4,244 shares of the credit services provider’s stock worth $1,958,000 after acquiring an additional 1,547 shares during the last quarter. Institutional investors and hedge funds own 59.59% of the company’s stock.

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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