Credit Acceptance (NASDAQ:CACC) CFO Sells $2,224,467.00 in Stock

Credit Acceptance Corporation (NASDAQ:CACC) CFO Jay Martin sold 4,340 shares of the stock in a transaction on Monday, February 9th. The stock was sold at an average price of $512.55, for a total value of $2,224,467.00. Following the completion of the transaction, the chief financial officer owned 25,963 shares in the company, valued at approximately $13,307,335.65. This represents a 14.32% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link.

Credit Acceptance Stock Performance

NASDAQ CACC opened at $483.98 on Friday. The company has a market cap of $5.34 billion, a P/E ratio of 13.26 and a beta of 1.27. The company has a fifty day simple moving average of $467.83 and a 200 day simple moving average of $474.12. The company has a current ratio of 15.81, a quick ratio of 15.81 and a debt-to-equity ratio of 3.94. Credit Acceptance Corporation has a 12-month low of $401.90 and a 12-month 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 earnings per share for the quarter, beating analysts’ consensus estimates of $10.30 by $1.05. The firm had revenue of $408.20 million for the quarter, compared to analyst estimates of $582.63 million. Credit Acceptance had a net margin of 18.29% and a return on equity of 28.46%. The business’s quarterly revenue was up 2.5% compared to the same quarter last year. During the same period last year, the firm earned $10.17 earnings per share. Sell-side analysts predict that Credit Acceptance Corporation will post 53.24 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on CACC. TD Cowen increased their price objective on Credit Acceptance from $460.00 to $470.00 and gave the stock a “hold” rating in a research note on Friday, January 30th. Zacks Research upgraded Credit Acceptance from a “hold” rating to a “strong-buy” rating in a 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 assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $470.00.

Hedge Funds Weigh In On Credit Acceptance

Institutional investors have recently modified their holdings of the business. State of Wyoming purchased a new position in Credit Acceptance in the fourth quarter worth $27,000. Kestra Advisory Services LLC purchased a new stake in shares of Credit Acceptance during the 4th quarter valued at $27,000. Allworth Financial LP raised its stake in shares of Credit Acceptance by 141.9% during the 3rd quarter. Allworth Financial LP now owns 104 shares of the credit services provider’s stock worth $49,000 after purchasing an additional 61 shares during the period. Vestcor Inc purchased a new position in shares of Credit Acceptance in the 3rd quarter worth about $50,000. Finally, Covestor Ltd boosted its holdings in shares of Credit Acceptance by 775.0% in the 4th quarter. Covestor Ltd now owns 175 shares of the credit services provider’s stock worth $78,000 after buying an additional 155 shares during the last quarter. 81.71% of the stock is owned by institutional investors.

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.