Sonic Automotive (NYSE:SAH) Rating Increased to Strong-Buy at Zacks Research

Sonic Automotive (NYSE:SAH) was upgraded by equities researchers at Zacks Research from a “hold” rating to a “strong-buy” rating in a research note issued on Tuesday,Zacks.com reports.

Other research analysts have also recently issued research reports about the stock. Morgan Stanley lifted their target price on shares of Sonic Automotive from $60.00 to $72.00 and gave the company an “equal weight” rating in a research note on Thursday, August 14th. Wall Street Zen cut shares of Sonic Automotive from a “strong-buy” rating to a “buy” rating in a research report on Saturday, June 21st. Bank of America upped their price objective on Sonic Automotive from $80.00 to $94.00 and gave the company a “buy” rating in a report on Monday, June 16th. Needham & Company LLC restated a “buy” rating and issued a $95.00 price objective on shares of Sonic Automotive in a research report on Wednesday, August 6th. Finally, Benchmark upped their price objective on shares of Sonic Automotive from $80.00 to $85.00 and gave the company a “buy” rating in a research report on Thursday, September 18th. Two equities research analysts have rated the stock with a Strong Buy rating, three have given a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $80.57.

Sonic Automotive Stock Down 0.4%

NYSE SAH opened at $78.54 on Tuesday. The company has a current ratio of 1.03, a quick ratio of 0.24 and a debt-to-equity ratio of 1.78. The stock’s 50 day moving average is $78.63 and its two-hundred day moving average is $72.00. The company has a market capitalization of $2.68 billion, a price-to-earnings ratio of 17.45 and a beta of 0.98. Sonic Automotive has a 1-year low of $52.00 and a 1-year high of $89.62.

Sonic Automotive (NYSE:SAH) last released its quarterly earnings data on Thursday, July 24th. The company reported $2.19 earnings per share for the quarter, beating analysts’ consensus estimates of $1.63 by $0.56. The company had revenue of $3.66 billion for the quarter, compared to the consensus estimate of $3.66 billion. Sonic Automotive had a return on equity of 21.40% and a net margin of 1.07%.The company’s quarterly revenue was up 5.9% on a year-over-year basis. During the same period in the previous year, the business earned $1.47 earnings per share. Equities analysts forecast that Sonic Automotive will post 6.14 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Sonic Automotive

Large investors have recently added to or reduced their stakes in the company. Northwestern Mutual Wealth Management Co. increased its holdings in Sonic Automotive by 992.5% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 437 shares of the company’s stock worth $35,000 after purchasing an additional 397 shares in the last quarter. Quarry LP bought a new position in Sonic Automotive during the 1st quarter worth about $84,000. Raymond James Financial Inc. bought a new position in Sonic Automotive during the 2nd quarter worth about $168,000. Entropy Technologies LP bought a new position in Sonic Automotive during the 2nd quarter worth about $208,000. Finally, Creative Planning bought a new position in Sonic Automotive during the 2nd quarter worth about $213,000. Institutional investors own 46.92% of the company’s stock.

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.