Sonic Automotive (NYSE:SAH) Share Price Crosses Above 200 Day Moving Average – Here’s Why

Sonic Automotive, Inc. (NYSE:SAH) shares passed above its 200-day moving average during trading on Thursday . The stock has a 200-day moving average of $65.02 and traded as high as $76.64. Sonic Automotive shares last traded at $75.93, with a volume of 359,019 shares.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on SAH shares. Zacks Research raised Sonic Automotive from a “strong sell” rating to a “hold” rating in a research note on Tuesday, April 28th. Needham & Company LLC reissued a “buy” rating and issued a $90.00 price target on shares of Sonic Automotive in a research note on Tuesday, March 31st. Stephens dropped their price target on Sonic Automotive from $68.00 to $67.00 and set an “equal weight” rating on the stock in a research note on Thursday, February 19th. Citigroup lifted their price target on Sonic Automotive from $82.00 to $95.00 and gave the stock a “buy” rating in a research note on Monday, May 11th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Sonic Automotive in a research note on Friday, March 27th. Three research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $82.13.

Sonic Automotive Trading Up 3.0%

The company has a debt-to-equity ratio of 1.93, a quick ratio of 0.29 and a current ratio of 1.03. The company has a 50 day simple moving average of $69.30 and a two-hundred day simple moving average of $65.02. The company has a market cap of $2.40 billion, a PE ratio of 24.18, a PEG ratio of 1.57 and a beta of 0.89.

Sonic Automotive (NYSE:SAH) last released its earnings results on Thursday, April 30th. The company reported $1.62 earnings per share for the quarter, beating the consensus estimate of $1.40 by $0.22. Sonic Automotive had a return on equity of 22.45% and a net margin of 0.72%.The company had revenue of $3.69 billion for the quarter, compared to analysts’ expectations of $3.73 billion. During the same quarter in the previous year, the business posted $1.48 EPS. The business’s revenue for the quarter was up 1.0% on a year-over-year basis. Sell-side analysts forecast that Sonic Automotive, Inc. will post 6.8 EPS for the current year.

Sonic Automotive Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 15th. Shareholders of record on Monday, June 15th will be paid a dividend of $0.41 per share. This is a boost from Sonic Automotive’s previous quarterly dividend of $0.38. The ex-dividend date of this dividend is Monday, June 15th. This represents a $1.64 annualized dividend and a yield of 2.2%. Sonic Automotive’s dividend payout ratio (DPR) is presently 48.41%.

Hedge Funds Weigh In On Sonic Automotive

Several institutional investors and hedge funds have recently bought and sold shares of SAH. Northwestern Mutual Wealth Management Co. grew its stake in Sonic Automotive by 992.5% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 437 shares of the company’s stock valued at $35,000 after acquiring an additional 397 shares in the last quarter. Camelot Portfolios LLC purchased a new position in Sonic Automotive during the 4th quarter valued at about $41,000. Torren Management LLC purchased a new position in Sonic Automotive during the 4th quarter valued at about $50,000. Aster Capital Management DIFC Ltd purchased a new position in Sonic Automotive during the 3rd quarter valued at about $63,000. Finally, National Bank of Canada FI purchased a new position in Sonic Automotive during the 3rd quarter valued at about $78,000. Hedge funds and other institutional investors own 46.92% of the company’s stock.

Sonic Automotive Company Profile

Sonic Automotive, Inc is a publicly traded automotive retailer that operates a network of franchised new-car dealerships and used-vehicle dealerships across the United States. Headquartered in Charlotte, North Carolina, the company offers a range of services that include vehicle sales, leasing, finance and insurance products, service and parts, and collision repair. Sonic Automotive’s dealerships represent numerous major automotive brands, and the company also markets a broad selection of pre-owned vehicles under its own banner.

In addition to its core dealership operations, Sonic Automotive has developed digital retail capabilities that allow customers to research, shop and complete transactions online.