Jay Martin Sells 4,340 Shares of Credit Acceptance (NASDAQ:CACC) Stock

Credit Acceptance Corporation (NASDAQ:CACC) CFO Jay Martin sold 4,340 shares of the business’s stock in a transaction on Monday, February 9th. The stock was sold at an average price of $512.55, for a total transaction of $2,224,467.00. Following the transaction, the chief financial officer owned 25,963 shares of the company’s stock, valued at approximately $13,307,335.65. The trade was a 14.32% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink.

Credit Acceptance Stock Down 5.0%

Shares of NASDAQ CACC opened at $485.14 on Friday. The company has a market capitalization of $5.35 billion, a price-to-earnings ratio of 13.29 and a beta of 1.27. The company has a debt-to-equity ratio of 3.94, a current ratio of 15.81 and a quick ratio of 15.81. The business has a 50-day moving average of $467.45 and a two-hundred day moving average of $474.34. Credit Acceptance Corporation has a 1 year low of $401.90 and a 1 year high of $549.75.

Credit Acceptance (NASDAQ:CACC) last released its quarterly earnings data on Thursday, January 29th. The credit services provider reported $11.35 EPS for the quarter, beating analysts’ consensus estimates of $10.30 by $1.05. Credit Acceptance had a return on equity of 28.46% and a net margin of 18.29%.The business had revenue of $408.20 million for the quarter, compared to the consensus estimate of $582.63 million. During the same quarter in the prior year, the business posted $10.17 EPS. The business’s revenue for the quarter was up 2.5% on a year-over-year basis. On average, analysts forecast that Credit Acceptance Corporation will post 53.24 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

CACC has been the subject of several research analyst reports. TD Cowen upped their target price on shares of Credit Acceptance from $460.00 to $470.00 and gave the company a “hold” rating in a report on Friday, January 30th. Zacks Research raised shares of Credit Acceptance from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, February 3rd. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Credit Acceptance in a research note on Wednesday, January 21st. One research analyst has rated the stock with a Strong Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $470.00.

Hedge Funds Weigh In On Credit Acceptance

A number of institutional investors have recently modified their holdings of the business. Dimensional Fund Advisors LP grew its position in Credit Acceptance by 9.8% during the 4th quarter. Dimensional Fund Advisors LP now owns 223,872 shares of the credit services provider’s stock worth $99,284,000 after purchasing an additional 20,011 shares during the last quarter. Inceptionr LLC acquired a new stake in shares of Credit Acceptance during the fourth quarter worth about $446,000. Janney Montgomery Scott LLC grew its holdings in shares of Credit Acceptance by 4.6% during the fourth quarter. Janney Montgomery Scott LLC now owns 571 shares of the credit services provider’s stock worth $253,000 after buying an additional 25 shares during the last quarter. Illinois Municipal Retirement Fund increased its position in Credit Acceptance by 290.3% in the 4th quarter. Illinois Municipal Retirement Fund now owns 5,824 shares of the credit services provider’s stock valued at $2,583,000 after acquiring an additional 4,332 shares during the period. Finally, Havemeyer Place LP purchased a new stake in Credit Acceptance during the 4th quarter valued at approximately $86,000. 81.71% of the stock is owned by institutional investors and hedge funds.

Credit Acceptance Company Profile

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.