Head to Head Survey: Credit Acceptance (NASDAQ:CACC) versus Atlanticus Holdings Co. 6.125% Senior Notes due 2026 (NASDAQ:ATLCL)

Atlanticus Holdings Co. 6.125% Senior Notes due 2026 (NASDAQ:ATLCL) and Credit Acceptance (NASDAQ:CACC) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, analyst recommendations, valuation, institutional ownership, earnings, profitability and risk.

Valuation & Earnings

This table compares Atlanticus Holdings Co. 6.125% Senior Notes due 2026 and Credit Acceptance”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Atlanticus Holdings Co. 6.125% Senior Notes due 2026	N/A	N/A	N/A	N/A	N/A
Credit Acceptance	$2.32 billion	2.71	$423.90 million	$45.48	13.19

Credit Acceptance has higher revenue and earnings than Atlanticus Holdings Co. 6.125% Senior Notes due 2026.

Profitability

This table compares Atlanticus Holdings Co. 6.125% Senior Notes due 2026 and Credit Acceptance’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Atlanticus Holdings Co. 6.125% Senior Notes due 2026	N/A	N/A	N/A
Credit Acceptance	21.54%	31.67%	5.68%

Insider and Institutional Ownership

81.7% of Credit Acceptance shares are owned by institutional investors. 6.1% of Credit Acceptance shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and price targets for Atlanticus Holdings Co. 6.125% Senior Notes due 2026 and Credit Acceptance, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Atlanticus Holdings Co. 6.125% Senior Notes due 2026	0	0	0	0	0.00
Credit Acceptance	0	3	1	0	2.25

Credit Acceptance has a consensus price target of $570.00, suggesting a potential downside of 4.96%. Given Credit Acceptance’s stronger consensus rating and higher possible upside, analysts clearly believe Credit Acceptance is more favorable than Atlanticus Holdings Co. 6.125% Senior Notes due 2026.

Summary

Credit Acceptance beats Atlanticus Holdings Co. 6.125% Senior Notes due 2026 on 9 of the 9 factors compared between the two stocks.

About Atlanticus Holdings Co. 6.125% Senior Notes due 2026

atlanticus holdings corporation (“atlanticus”​) is a financial holding company with investments primarily in companies focused on providing financial services. our subsidiaries offer a broad array of financial products and services. www.atlanticus.com

About Credit Acceptance

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. It is also involved in the business of reinsuring coverage under vehicle service contracts sold to consumers by dealers on vehicles financed by the company. The company serves independent and franchised automobile dealers. Credit Acceptance Corporation was incorporated in 1972 and is headquartered in Southfield, Michigan.