Sonic Automotive (NYSE:SAH) Lifted to Equal Weight at Morgan Stanley

Morgan Stanley upgraded shares of Sonic Automotive (NYSE:SAH) from an underweight rating to an equal weight rating in a report issued on Wednesday morning, Marketbeat reports. The brokerage currently has $58.00 price target on the stock, up from their previous price target of $40.00.

A number of other equities analysts have also weighed in on SAH. JPMorgan Chase & Co. boosted their price objective on shares of Sonic Automotive from $63.00 to $75.00 and gave the company an overweight rating in a research report on Tuesday, September 10th. Stephens assumed coverage on Sonic Automotive in a report on Thursday, September 12th. They issued an equal weight rating and a $64.00 price target for the company. Bank of America decreased their price objective on Sonic Automotive from $68.00 to $67.00 and set a buy rating on the stock in a report on Monday, July 22nd. Finally, Needham & Company LLC started coverage on Sonic Automotive in a research note on Tuesday, August 20th. They issued a buy rating and a $73.00 target price for the company. Three equities research analysts have rated the stock with a hold rating and four have given a buy rating to the company. According to MarketBeat, Sonic Automotive currently has a consensus rating of Moderate Buy and a consensus target price of $66.50.

Sonic Automotive Trading Up 1.7 %

Shares of Sonic Automotive stock opened at $59.06 on Wednesday. Sonic Automotive has a 1 year low of $41.19 and a 1 year high of $64.68. The company has a debt-to-equity ratio of 2.04, a current ratio of 1.10 and a quick ratio of 0.36. The business has a 50 day moving average price of $58.48 and a 200 day moving average price of $56.35. The company has a market capitalization of $2.02 billion, a P/E ratio of 12.10 and a beta of 1.61.

Sonic Automotive (NYSE:SAH) last released its quarterly earnings results on Monday, August 5th. The company reported $1.47 earnings per share for the quarter, topping analysts’ consensus estimates of $1.38 by $0.09. The company had revenue of $3.45 billion during the quarter, compared to analysts’ expectations of $3.56 billion. Sonic Automotive had a return on equity of 25.31% and a net margin of 1.35%. The business’s revenue for the quarter was down 5.5% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.83 earnings per share. Sell-side analysts anticipate that Sonic Automotive will post 5.79 EPS for the current fiscal year.

Sonic Automotive Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, October 15th. Investors of record on Friday, September 13th will be given a $0.30 dividend. This represents a $1.20 annualized dividend and a dividend yield of 2.03%. The ex-dividend date of this dividend is Friday, September 13th. Sonic Automotive’s dividend payout ratio (DPR) is currently 24.59%.

Insider Activity at Sonic Automotive

In other Sonic Automotive news, CFO Heath Byrd sold 19,827 shares of the company’s stock in a transaction dated Thursday, July 18th. The stock was sold at an average price of $60.00, for a total transaction of $1,189,620.00. Following the completion of the sale, the chief financial officer now directly owns 173,618 shares in the company, valued at $10,417,080. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 40.95% of the stock is owned by insiders.

Hedge Funds Weigh In On Sonic Automotive

A number of hedge funds have recently made changes to their positions in SAH. Allspring Global Investments Holdings LLC purchased a new stake in shares of Sonic Automotive during the 1st quarter valued at about $30,000. Innealta Capital LLC purchased a new stake in shares of Sonic Automotive during the second quarter valued at approximately $41,000. AM Squared Ltd acquired a new position in shares of Sonic Automotive during the second quarter worth $82,000. TFO Wealth Partners LLC boosted its stake in shares of Sonic Automotive by 35,366.7% in the fourth quarter. TFO Wealth Partners LLC now owns 2,128 shares of the company’s stock valued at $120,000 after purchasing an additional 2,122 shares during the period. Finally, Point72 DIFC Ltd grew its holdings in Sonic Automotive by 6.9% during the 2nd quarter. Point72 DIFC Ltd now owns 2,900 shares of the company’s stock valued at $158,000 after purchasing an additional 187 shares in the last quarter. Hedge funds and other institutional investors own 46.92% of the company’s stock.

About Sonic Automotive

Sonic Automotive, Inc operates as an automotive retailer in the United States. It operates in three segments, Franchised Dealerships, EchoPark, and Powersports. The Franchised Dealerships segment is involved in the sale of new and used cars and light trucks, and replacement parts; provision of vehicle maintenance, manufacturer warranty repair, and paint and collision repair services; and arrangement of extended warranties, service contracts, financing, insurance, and other aftermarket products for its guests.