Sonic Automotive (NYSE:SAH) Rating Lowered to “Hold” at Wall Street Zen

Sonic Automotive (NYSE:SAH) was downgraded by analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a report issued on Sunday.

SAH has been the topic of several other reports. Weiss Ratings reissued a “hold (c)” rating on shares of Sonic Automotive in a research note on Monday, December 29th. Citigroup upgraded Sonic Automotive from a “neutral” rating to a “buy” rating and set a $82.00 price target on the stock in a research report on Thursday, November 6th. JPMorgan Chase & Co. cut their price objective on Sonic Automotive from $76.00 to $70.00 and set an “underweight” rating for the company in a research report on Wednesday, November 5th. Morgan Stanley set a $68.00 price objective on shares of Sonic Automotive in a report on Monday, December 8th. Finally, Barclays began coverage on Sonic Automotive in a research note on Tuesday, November 11th. They issued an “equal weight” rating and a $71.00 price target on the stock. Four analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Sonic Automotive currently has an average rating of “Hold” and a consensus price target of $80.25.

Sonic Automotive Price Performance

NYSE:SAH opened at $64.64 on Friday. The company has a debt-to-equity ratio of 1.68, a current ratio of 1.02 and a quick ratio of 0.27. The company has a 50 day moving average price of $63.27 and a 200-day moving average price of $72.73. Sonic Automotive has a 1-year low of $52.00 and a 1-year high of $89.62. The firm has a market cap of $2.21 billion, a price-to-earnings ratio of 17.47 and a beta of 0.92.

Sonic Automotive (NYSE:SAH) last announced its quarterly earnings results on Thursday, October 23rd. The company reported $1.41 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.82 by ($0.41). The firm had revenue of $3.97 billion for the quarter, compared to analysts’ expectations of $3.59 billion. Sonic Automotive had a return on equity of 21.65% and a net margin of 0.86%.The business’s quarterly revenue was up 13.8% on a year-over-year basis. During the same period last year, the company posted $1.26 earnings per share. Equities research analysts forecast that Sonic Automotive will post 6.14 EPS for the current year.

Institutional Trading of Sonic Automotive

A number of large investors have recently modified their holdings of the stock. Northwestern Mutual Wealth Management Co. raised its position in Sonic Automotive by 992.5% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 437 shares of the company’s stock valued at $35,000 after purchasing an additional 397 shares in the last quarter. Aster Capital Management DIFC Ltd acquired a new position in shares of Sonic Automotive in the 3rd quarter valued at $63,000. National Bank of Canada FI acquired a new stake in shares of Sonic Automotive during the third quarter worth about $78,000. CoreCap Advisors LLC purchased a new position in shares of Sonic Automotive in the 3rd quarter valued at approximately $109,000. Finally, Raymond James Financial Inc. purchased a new position in Sonic Automotive during the 2nd quarter worth $168,000. 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.