Credit Acceptance (NASDAQ:CACC) CFO Jay Martin Sells 3,000 Shares of Stock

Credit Acceptance Corporation (NASDAQ:CACC) CFO Jay Martin sold 3,000 shares of the firm’s stock in a transaction on Wednesday, June 24th. The shares were sold at an average price of $601.04, for a total transaction of $1,803,120.00. Following the sale, the chief financial officer owned 25,963 shares in the company, valued at $15,604,801.52. The trade was a 10.36% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Credit Acceptance Stock Performance

NASDAQ CACC opened at $629.62 on Friday. The firm has a market cap of $6.59 billion, a price-to-earnings ratio of 15.65 and a beta of 1.38. The company has a quick ratio of 13.62, a current ratio of 13.62 and a debt-to-equity ratio of 4.09. The business has a 50-day moving average price of $548.53 and a 200-day moving average price of $495.82. Credit Acceptance Corporation has a twelve month low of $401.90 and a twelve month high of $638.55.

Credit Acceptance (NASDAQ:CACC) last issued its earnings results on Tuesday, May 5th. The credit services provider reported $10.71 earnings per share (EPS) for the quarter, missing the consensus estimate of $10.73 by ($0.02). Credit Acceptance had a net margin of 19.49% and a return on equity of 29.95%. The business had revenue of $406.00 million for the quarter, compared to the consensus estimate of $580.77 million. During the same period last year, the business posted $9.35 EPS. The firm’s revenue for the quarter was up 1.6% compared to the same quarter last year. As a group, equities research analysts predict that Credit Acceptance Corporation will post 47.5 EPS for the current fiscal year.

Hedge Funds Weigh In On Credit Acceptance

Institutional investors and hedge funds have recently made changes to their positions in the business. M&T Bank Corp bought a new stake in shares of Credit Acceptance in the 4th quarter worth about $208,294,000. Boston Partners lifted its holdings in shares of Credit Acceptance by 3.4% in the 4th quarter. Boston Partners now owns 456,253 shares of the credit services provider’s stock valued at $202,373,000 after acquiring an additional 14,877 shares during the last quarter. Dimensional Fund Advisors LP grew its position in Credit Acceptance by 3.1% in the first quarter. Dimensional Fund Advisors LP now owns 230,715 shares of the credit services provider’s stock worth $97,701,000 after acquiring an additional 6,843 shares in the last quarter. Smead Capital Management Inc. grew its position in Credit Acceptance by 17.0% in the second quarter. Smead Capital Management Inc. now owns 216,811 shares of the credit services provider’s stock worth $110,450,000 after acquiring an additional 31,438 shares in the last quarter. Finally, Universal Beteiligungs und Servicegesellschaft mbH increased its stake in Credit Acceptance by 764.8% during the fourth quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 203,879 shares of the credit services provider’s stock worth $91,652,000 after acquiring an additional 180,304 shares during the last quarter. 81.71% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of analysts have issued reports on the stock. Zacks Research downgraded shares of Credit Acceptance from a “strong-buy” rating to a “hold” rating in a report on Wednesday, May 13th. Stephens increased their price target on Credit Acceptance from $450.00 to $540.00 and gave the company an “equal weight” rating in a research note on Friday, April 17th. TD Cowen raised their price target on Credit Acceptance from $450.00 to $500.00 and gave the company a “hold” rating in a report on Wednesday, May 6th. Finally, Weiss Ratings raised Credit Acceptance from a “hold (c)” rating to a “hold (c+)” rating in a research note on Friday, May 8th. Four analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, Credit Acceptance presently has an average rating of “Hold” and a consensus target price of $520.00.

About Credit Acceptance

Credit Acceptance Corporation, founded in 1972 and headquartered in Southfield, Michigan, is a specialty finance company focused on the indirect automotive lending market. The company partners with independent and franchised auto dealers to facilitate purchase financing for consumers who may not qualify for traditional prime auto loans. By purchasing retail installment contracts originated by these dealers, Credit Acceptance provides capital and credit insurance to support vehicle sales, enabling dealers to broaden their customer base and reduce credit risk.

Through its proprietary underwriting platform and risk management strategies, Credit Acceptance evaluates borrower applications, structures credit plans, and retains servicing rights on the acquired contracts.