Shares of KAR Auction Services Inc. (NYSE:KAR) gapped up before the market opened on Wednesday . The stock had previously closed at $42.50, but opened at $42.56. KAR Auction Services shares last traded at $42.67, with a volume of 730,551 shares.

KAR has been the subject of a number of recent analyst reports. Zacks Investment Research raised KAR Auction Services from a “hold” rating to a “buy” rating and set a $46.00 price objective for the company in a research report on Wednesday, July 6th. Northcoast Research downgraded KAR Auction Services from a “buy” rating to a “neutral” rating in a research report on Thursday, July 14th. JPMorgan Chase & Co. reaffirmed a “buy” rating on shares of KAR Auction Services in a research report on Wednesday, August 3rd. Jefferies Group lifted their target price on KAR Auction Services from $47.00 to $50.00 and gave the company a “buy” rating in a research report on Thursday, August 4th. Finally, Susquehanna initiated coverage on KAR Auction Services in a research report on Friday, August 26th. They issued a “positive” rating and a $50.00 target price for the company. Three research analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. The stock has an average rating of “Buy” and an average price target of $43.71.

The stock’s 50-day moving average is $41.74 and its 200 day moving average is $40.25. The company has a market capitalization of $5.93 billion, a price-to-earnings ratio of 26.88 and a beta of 1.48.

This story is the sole property of American Banking News and it was originally published by American Banking News. If you are reading this story on another website, that means this article was illegally copied and re-published to this website in violation of U.S. and International copyright law. The original version of this article is available at http://www.americanbankingnews.com/2016/09/21/kar-auction-services-inc-kar-shares-gap-up-to-42-56.html

KAR Auction Services (NYSE:KAR) last issued its quarterly earnings data on Tuesday, August 2nd. The company reported $0.55 earnings per share (EPS) for the quarter, missing the Thomson Reuters’ consensus estimate of $0.56 by $0.01. KAR Auction Services had a net margin of 7.79% and a return on equity of 19.03%. The company earned $771.80 million during the quarter, compared to analysts’ expectations of $757.67 million. During the same quarter in the prior year, the company earned $0.51 earnings per share. The firm’s revenue was up 17.2% compared to the same quarter last year. On average, equities analysts expect that KAR Auction Services Inc. will post $2.13 earnings per share for the current fiscal year.

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 4th. Stockholders of record on Wednesday, September 21st will be given a $0.29 dividend. The ex-dividend date of this dividend is Monday, September 19th. This represents a $1.16 annualized dividend and a dividend yield of 2.70%. KAR Auction Services’s dividend payout ratio is currently 72.50%.

In related news, EVP Benjamin Skuy sold 10,000 shares of the stock in a transaction dated Friday, September 2nd. The stock was sold at an average price of $42.74, for a total transaction of $427,400.00. Following the transaction, the executive vice president now directly owns 87,420 shares in the company, valued at $3,736,330.80. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, COO Donald S. Gottwald sold 18,125 shares of the stock in a transaction dated Wednesday, August 10th. The stock was sold at an average price of $40.38, for a total value of $731,887.50. Following the transaction, the chief operating officer now owns 1,039 shares in the company, valued at $41,954.82. The disclosure for this sale can be found here. 1.30% of the stock is owned by insiders.

A number of institutional investors have recently added to or reduced their stakes in the company. FMR LLC increased its position in KAR Auction Services by 40.3% in the second quarter. FMR LLC now owns 10,444,899 shares of the company’s stock valued at $435,970,000 after buying an additional 2,998,636 shares during the period. Vanguard Group Inc. increased its position in KAR Auction Services by 3.5% in the second quarter. Vanguard Group Inc. now owns 9,964,804 shares of the company’s stock valued at $415,932,000 after buying an additional 339,126 shares during the period. Vaughan Nelson Investment Management L.P. increased its position in KAR Auction Services by 0.9% in the second quarter. Vaughan Nelson Investment Management L.P. now owns 3,572,806 shares of the company’s stock valued at $149,129,000 after buying an additional 32,250 shares during the period. BlackRock Institutional Trust Company N.A. increased its position in KAR Auction Services by 0.3% in the second quarter. BlackRock Institutional Trust Company N.A. now owns 3,549,469 shares of the company’s stock valued at $148,155,000 after buying an additional 10,126 shares during the period. Finally, Point72 Asset Management L.P. increased its position in KAR Auction Services by 127.9% in the second quarter. Point72 Asset Management L.P. now owns 3,266,800 shares of the company’s stock valued at $136,356,000 after buying an additional 1,833,200 shares during the period.

About KAR Auction Services

KAR Auction Services, Inc is a provider of whole car auction services in North America, and salvage auction services in North America and the United Kingdom. The Company operates through three segments: ADESA, Inc (ADESA Auctions), Insurance Auto Auctions, Inc (IAA) and Automotive Finance Corporation (AFC).

5 Day Chart for NYSE:KAR

Receive News & Ratings for KAR Auction Services Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for KAR Auction Services Inc. and related companies with MarketBeat.com's FREE daily email newsletter.