Erin Kerber Sells 5,720 Shares of Credit Acceptance (NASDAQ:CACC) Stock

Credit Acceptance Corporation (NASDAQ:CACC) insider Erin Kerber sold 5,720 shares of the stock in a transaction on Friday, June 26th. The shares were sold at an average price of $629.80, for a total value of $3,602,456.00. Following the completion of the sale, the insider owned 25,711 shares of the company’s stock, valued at $16,192,787.80. The trade was a 18.20% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Credit Acceptance Trading Down 0.2%

CACC traded down $1.49 during midday trading on Tuesday, hitting $636.74. 110,294 shares of the company were exchanged, compared to its average volume of 191,478. The firm has a market capitalization of $6.66 billion, a P/E ratio of 15.82 and a beta of 1.38. Credit Acceptance Corporation has a 1-year low of $401.90 and a 1-year high of $645.00. The firm’s 50 day moving average price is $551.40 and its 200-day moving average price is $497.32. The company has a quick ratio of 13.62, a current ratio of 13.62 and a debt-to-equity ratio of 4.09.

Credit Acceptance (NASDAQ:CACC) last released its quarterly earnings results on Tuesday, May 5th. The credit services provider reported $10.71 EPS for the quarter, missing analysts’ consensus estimates of $10.73 by ($0.02). Credit Acceptance had a net margin of 19.49% and a return on equity of 29.95%. The company had revenue of $406.00 million during the quarter, compared to the consensus estimate of $580.77 million. During the same quarter last year, the firm posted $9.35 EPS. The company’s quarterly revenue was up 1.6% on a year-over-year basis. As a group, equities analysts forecast that Credit Acceptance Corporation will post 47.5 EPS for the current fiscal year.

Institutional Investors Weigh In On Credit Acceptance

Hedge funds have recently added to or reduced their stakes in the business. Empowered Funds LLC acquired a new stake in shares of Credit Acceptance during the 1st quarter worth approximately $278,000. Parallel Advisors LLC boosted its stake in Credit Acceptance by 590.0% during the first quarter. Parallel Advisors LLC now owns 69 shares of the credit services provider’s stock worth $29,000 after acquiring an additional 59 shares in the last quarter. Bank of America Corp DE boosted its stake in Credit Acceptance by 47.9% during the first quarter. Bank of America Corp DE now owns 44,586 shares of the credit services provider’s stock worth $18,880,000 after acquiring an additional 14,439 shares in the last quarter. Altshuler Shaham Ltd grew its holdings in Credit Acceptance by 37.3% in the first quarter. Altshuler Shaham Ltd now owns 70 shares of the credit services provider’s stock worth $30,000 after purchasing an additional 19 shares during the period. Finally, California State Teachers Retirement System grew its holdings in Credit Acceptance by 19.9% in the first quarter. California State Teachers Retirement System now owns 6,308 shares of the credit services provider’s stock worth $2,671,000 after purchasing an additional 1,046 shares during the period. 81.71% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several research analysts have issued reports on the stock. Zacks Research lowered shares of Credit Acceptance from a “strong-buy” rating to a “hold” rating in a report on Wednesday, May 13th. Stephens increased their price objective on shares of Credit Acceptance from $450.00 to $540.00 and gave the stock an “equal weight” rating in a research report on Friday, April 17th. Weiss Ratings raised shares of Credit Acceptance from a “hold (c)” rating to a “hold (c+)” rating in a research note on Friday, May 8th. Finally, TD Cowen upped their price target on shares of Credit Acceptance from $450.00 to $500.00 and gave the company a “hold” rating in a research report on Wednesday, May 6th. Four equities research analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, Credit Acceptance has an average rating of “Hold” and a consensus target price of $520.00.

About Credit Acceptance

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.