StockNews.com Upgrades Credit Acceptance (NASDAQ:CACC) to “Buy”

Credit Acceptance (NASDAQ:CACC) was upgraded by analysts at StockNews.com from a “hold” rating to a “buy” rating in a note issued to investors on Tuesday.

Separately, TD Cowen lowered their price objective on Credit Acceptance from $400.00 to $380.00 and set a “sell” rating for the company in a research note on Friday, November 1st.

Credit Acceptance Trading Up 0.5 %

NASDAQ CACC opened at $442.00 on Tuesday. The company has a quick ratio of 23.63, a current ratio of 23.63 and a debt-to-equity ratio of 3.79. Credit Acceptance has a 52 week low of $409.22 and a 52 week high of $616.66. The business has a 50 day moving average price of $449.28 and a 200-day moving average price of $484.00. The company has a market cap of $5.35 billion, a price-to-earnings ratio of 29.68 and a beta of 1.42.

Credit Acceptance (NASDAQ:CACC) last released its quarterly earnings data on Wednesday, October 30th. The credit services provider reported $8.79 earnings per share for the quarter, beating analysts’ consensus estimates of $7.88 by $0.91. Credit Acceptance had a net margin of 9.08% and a return on equity of 29.18%. The firm had revenue of $550.30 million for the quarter, compared to analyst estimates of $548.13 million. During the same period last year, the firm earned $10.70 earnings per share. The business’s quarterly revenue was up 15.0% compared to the same quarter last year. As a group, equities analysts expect that Credit Acceptance will post 37.14 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Thomas W. Smith sold 1,200 shares of the business’s stock in a transaction dated Monday, September 9th. The shares were sold at an average price of $451.01, for a total value of $541,212.00. Following the transaction, the insider now directly owns 74,450 shares of the company’s stock, valued at approximately $33,577,694.50. The trade was a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 5.30% of the company’s stock.

Institutional Trading of Credit Acceptance

Several hedge funds have recently made changes to their positions in CACC. Janney Montgomery Scott LLC boosted its holdings in Credit Acceptance by 27.9% in the 1st quarter. Janney Montgomery Scott LLC now owns 573 shares of the credit services provider’s stock worth $316,000 after buying an additional 125 shares during the period. Quantbot Technologies LP grew its position in shares of Credit Acceptance by 85.8% in the first quarter. Quantbot Technologies LP now owns 1,304 shares of the credit services provider’s stock valued at $719,000 after purchasing an additional 602 shares in the last quarter. Russell Investments Group Ltd. raised its stake in shares of Credit Acceptance by 821.9% during the 1st quarter. Russell Investments Group Ltd. now owns 3,282 shares of the credit services provider’s stock valued at $1,810,000 after purchasing an additional 2,926 shares during the period. Entropy Technologies LP purchased a new stake in Credit Acceptance during the 1st quarter worth about $771,000. Finally, Edgestream Partners L.P. bought a new position in Credit Acceptance in the 1st quarter worth about $1,494,000. 81.71% of the stock is currently owned by institutional investors.

About Credit Acceptance

Credit Acceptance Corporation engages in the provision of financing programs, and related products and services in the United States. The company advances money to automobile dealers in exchange for the right to service the underlying consumer loans; and buys the consumer loans from the dealers and keeps the amount collected from the consumers.