Sonic Automotive (NYSE:SAH) Downgraded to “Hold” Rating by StockNews.com

StockNews.com downgraded shares of Sonic Automotive (NYSE:SAH) from a buy rating to a hold rating in a research note released on Monday.

Several other equities analysts also recently weighed in on the company. Stephens raised their price target on Sonic Automotive from $83.00 to $92.00 and gave the company an “overweight” rating in a report on Thursday, February 13th. Needham & Company LLC reduced their price objective on shares of Sonic Automotive from $100.00 to $93.00 and set a “buy” rating for the company in a research note on Wednesday, March 19th. Finally, JPMorgan Chase & Co. lifted their target price on shares of Sonic Automotive from $74.00 to $80.00 and gave the stock an “overweight” rating in a report on Wednesday, February 19th. Two investment analysts have rated the stock with a hold rating, four have issued a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $77.80.

Sonic Automotive Price Performance

Shares of SAH opened at $61.84 on Monday. The firm’s 50-day simple moving average is $68.62 and its two-hundred day simple moving average is $63.95. Sonic Automotive has a fifty-two week low of $47.82 and a fifty-two week high of $76.78. The stock has a market cap of $2.09 billion, a PE ratio of 10.01 and a beta of 1.70. The company has a debt-to-equity ratio of 1.75, a quick ratio of 0.35 and a current ratio of 1.09.

Sonic Automotive (NYSE:SAH) last posted its quarterly earnings results on Wednesday, February 12th. The company reported $1.51 earnings per share for the quarter, topping the consensus estimate of $1.46 by $0.05. Sonic Automotive had a return on equity of 19.96% and a net margin of 1.52%. Analysts anticipate that Sonic Automotive will post 6.14 earnings per share for the current fiscal year.

Sonic Automotive Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, April 15th. Investors of record on Friday, March 14th will be issued a $0.35 dividend. The ex-dividend date is Friday, March 14th. This represents a $1.40 annualized dividend and a yield of 2.26%. Sonic Automotive’s payout ratio is 22.65%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in SAH. Smartleaf Asset Management LLC increased its position in Sonic Automotive by 515.4% during the fourth quarter. Smartleaf Asset Management LLC now owns 480 shares of the company’s stock valued at $30,000 after acquiring an additional 402 shares during the last quarter. Canada Pension Plan Investment Board purchased a new stake in shares of Sonic Automotive during the 4th quarter valued at about $51,000. R Squared Ltd bought a new position in shares of Sonic Automotive in the 4th quarter worth approximately $72,000. Point72 Asia Singapore Pte. Ltd. boosted its holdings in shares of Sonic Automotive by 100.3% in the third quarter. Point72 Asia Singapore Pte. Ltd. now owns 1,196 shares of the company’s stock worth $70,000 after buying an additional 599 shares during the last quarter. Finally, Aster Capital Management DIFC Ltd grew its position in Sonic Automotive by 1,429.7% during the fourth quarter. Aster Capital Management DIFC Ltd now owns 1,545 shares of the company’s stock valued at $98,000 after buying an additional 1,444 shares during the period. 46.92% of the stock is owned by hedge funds and other institutional investors.

About Sonic Automotive

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.