Sonic (NASDAQ:SONC) had its target price boosted by Morgan Stanley from $34.00 to $43.50 in a report released on Thursday. The firm presently has an “equal weight” rating on the restaurant operator’s stock. Morgan Stanley’s target price points to a potential upside of 0.07% from the company’s previous close.
A number of other research analysts also recently issued reports on the company. Barclays upgraded Sonic from an “underweight” rating to an “equal weight” rating in a research note on Wednesday. Stephens downgraded Sonic from an “overweight” rating to an “equal weight” rating and boosted their price objective for the company from $40.00 to $43.50 in a research note on Wednesday. Canaccord Genuity reiterated a “hold” rating and set a $33.00 price objective on shares of Sonic in a research note on Wednesday, June 27th. BidaskClub downgraded Sonic from a “strong-buy” rating to a “buy” rating in a research note on Wednesday, August 1st. Finally, Telsey Advisory Group boosted their price objective on Sonic from $32.00 to $40.00 and gave the company a “market perform” rating in a research note on Wednesday, September 12th. Twelve equities research analysts have rated the stock with a hold rating and five have given a buy rating to the company. The stock currently has a consensus rating of “Hold” and a consensus target price of $35.77.
NASDAQ SONC opened at $43.47 on Thursday. Sonic has a 52 week low of $23.22 and a 52 week high of $44.87. The stock has a market cap of $1.57 billion, a PE ratio of 34.78, a price-to-earnings-growth ratio of 1.80 and a beta of 1.53. The company has a quick ratio of 1.78, a current ratio of 1.78 and a debt-to-equity ratio of -2.62.
Sonic declared that its board has authorized a stock buyback program on Thursday, June 7th that allows the company to repurchase $500.00 million in shares. This repurchase authorization allows the restaurant operator to repurchase up to 42.2% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s board of directors believes its stock is undervalued.
In other Sonic news, VP E Edward Saroch sold 21,896 shares of the company’s stock in a transaction that occurred on Tuesday, July 17th. The stock was sold at an average price of $36.46, for a total value of $798,328.16. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Christina D. Vaughan sold 2,124 shares of the company’s stock in a transaction that occurred on Tuesday, July 17th. The stock was sold at an average price of $36.00, for a total value of $76,464.00. Following the completion of the transaction, the insider now owns 2,124 shares of the company’s stock, valued at $76,464. The disclosure for this sale can be found here. Corporate insiders own 6.24% of the company’s stock.
Hedge funds have recently bought and sold shares of the business. UBS Group AG boosted its position in shares of Sonic by 1,995.5% during the 1st quarter. UBS Group AG now owns 509,946 shares of the restaurant operator’s stock valued at $12,866,000 after acquiring an additional 485,611 shares during the last quarter. WINTON GROUP Ltd purchased a new stake in Sonic during the 2nd quarter valued at $10,600,000. Westwood Holdings Group Inc. raised its holdings in Sonic by 21.9% during the 1st quarter. Westwood Holdings Group Inc. now owns 1,118,894 shares of the restaurant operator’s stock valued at $28,230,000 after buying an additional 201,195 shares during the period. Susquehanna Fundamental Investments LLC purchased a new stake in Sonic during the 1st quarter valued at $1,735,000. Finally, JPMorgan Chase & Co. raised its holdings in Sonic by 12.8% during the 1st quarter. JPMorgan Chase & Co. now owns 552,331 shares of the restaurant operator’s stock valued at $13,935,000 after buying an additional 62,642 shares during the period.
Sonic Corp. operates and franchises a chain of quick-service drive-in restaurants in the United States. As of August 31, 2017, the company operated 3,593 Sonic Drive-Ins in 45 states, of which 228 were owned and operated by the company and 3,365 were owned and operated by franchisees. The company also owns and leases 135 properties; and sublease 53 properties to franchisees and other parties.
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