Paul Rusnak Buys 11,481 Shares of Sonic Automotive (NYSE:SAH) Stock

Sonic Automotive, Inc. (NYSE:SAH) major shareholder Paul Rusnak acquired 11,481 shares of Sonic Automotive stock in a transaction on Tuesday, February 17th. The shares were bought at an average cost of $59.95 per share, with a total value of $688,285.95. Following the completion of the transaction, the insider owned 5,100,000 shares of the company’s stock, valued at approximately $305,745,000. This trade represents a 0.23% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Major shareholders that own more than 10% of a company’s stock are required to disclose their sales and purchases with the SEC.

Sonic Automotive Price Performance

Shares of SAH opened at $64.56 on Friday. The company’s 50-day moving average is $62.58 and its 200-day moving average is $68.89. 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 firm has a market capitalization of $2.21 billion, a PE ratio of 19.04 and a beta of 0.93. Sonic Automotive, Inc. has a fifty-two week low of $52.00 and a fifty-two week high of $89.62.

Sonic Automotive (NYSE:SAH) last announced its quarterly earnings results on Wednesday, February 18th. The company reported $1.52 EPS for the quarter, missing analysts’ consensus estimates of $1.53 by ($0.01). Sonic Automotive had a net margin of 0.78% and a return on equity of 21.56%. The company had revenue of $3.87 billion during the quarter, compared to analyst estimates of $3.94 billion. During the same quarter last year, the company posted $1.51 EPS. The firm’s quarterly revenue was down .6% on a year-over-year basis. Equities analysts forecast that Sonic Automotive, Inc. will post 6.14 EPS for the current year.

Sonic Automotive Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, April 15th. Investors of record on Friday, March 13th will be paid a $0.38 dividend. The ex-dividend date is Friday, March 13th. This represents a $1.52 annualized dividend and a yield of 2.4%. Sonic Automotive’s payout ratio is 41.08%.

Analyst Ratings Changes

SAH has been the subject of a number of recent research reports. Stephens reduced their target price on shares of Sonic Automotive from $68.00 to $67.00 and set an “equal weight” rating for the company in a research report on Thursday. Barclays cut their price objective on shares of Sonic Automotive from $71.00 to $69.00 and set an “equal weight” rating for the company in a report on Wednesday, January 21st. Needham & Company LLC reaffirmed a “buy” rating and set a $90.00 target price on shares of Sonic Automotive in a report on Thursday. JPMorgan Chase & Co. dropped their price target on shares of Sonic Automotive from $70.00 to $67.00 and set an “underweight” rating for the company in a research report on Friday, January 16th. Finally, Citigroup raised 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. Four research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Sonic Automotive has an average rating of “Hold” and a consensus target price of $77.75.

Trending Headlines about Sonic Automotive

Here are the key news stories impacting Sonic Automotive this week:

• Positive Sentiment: Large insider accumulation — Paul P. Rusnak bought multiple blocks of shares in February (totaling tens of thousands across filings), increasing his stake to ~5.1M shares; repeated buys from a major holder tend to support sentiment. SEC Filing: Insider Purchases
• Positive Sentiment: Dividend declared — Sonic announced a quarterly dividend of $0.38/share (ex-dividend March 13; payable April 15), implying a ~2.4% yield and a ~41% payout ratio that can attract income-oriented buyers.
• Positive Sentiment: Record gross profit flagged on the call — Management highlighted record gross profit in Q4, supporting a margin-recovery narrative despite top-line pressure. Investing.com: Record Gross Profit
• Neutral Sentiment: Earnings materials available — Slides and the full earnings call transcript are posted for deeper analysis of F&I, used-vehicle trends and inventory; analysts will parse these for guidance and margin drivers. Earnings Call Transcript
• Neutral Sentiment: Analyst mix — Needham reaffirmed a Buy and a $90 target (large upside vs. current levels), showing bullish conviction from some desks. Benzinga: Needham Reaffirmation
• Negative Sentiment: Q4 slight miss — Sonic reported $1.52 EPS (missed consensus by $0.01) and revenues of $3.87B (below estimates ~ $3.94B), with revenue down ~0.6% YoY and low net margins (~0.9%); this gives short-term bearish talking points on demand. Zacks: Q4 Miss
• Negative Sentiment: Price-target trim by Stephens — Stephens cut its target to $67 and set an Equal Weight rating, which is a near-term headwind for sentiment versus higher targets. The Fly: Stephens Cut

Institutional Trading of Sonic Automotive

Large investors have recently made changes to their positions in the company. Y Intercept Hong Kong Ltd acquired a new stake in shares of Sonic Automotive during the 3rd quarter valued at $647,000. Jackson Creek Investment Advisors LLC raised its position in Sonic Automotive by 311.2% in the third quarter. Jackson Creek Investment Advisors LLC now owns 23,571 shares of the company’s stock valued at $1,794,000 after purchasing an additional 17,839 shares during the last quarter. CWA Asset Management Group LLC acquired a new stake in shares of Sonic Automotive during the third quarter valued at about $2,006,000. Bryce Point Capital LLC acquired a new stake in shares of Sonic Automotive during the second quarter valued at about $793,000. Finally, Brandywine Global Investment Management LLC grew its holdings in shares of Sonic Automotive by 30.3% during the second quarter. Brandywine Global Investment Management LLC now owns 94,468 shares of the company’s stock worth $7,551,000 after purchasing an additional 21,960 shares during the last quarter. Institutional investors and hedge funds own 46.92% of the company’s stock.

About Sonic Automotive

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.