Sonic Automotive, Inc. (NYSE:SAH) Receives Consensus Recommendation of “Reduce” from Analysts

Shares of Sonic Automotive, Inc. (NYSE:SAH) have been assigned a consensus recommendation of “Reduce” from the four analysts that are presently covering the stock, Marketbeat reports. Three investment analysts have rated the stock with a sell rating and one has issued a buy rating on the company. The average 12-month price target among analysts that have issued ratings on the stock in the last year is $53.40.

A number of research firms recently issued reports on SAH. Bank of America reduced their price objective on Sonic Automotive from $60.00 to $55.00 and set an “underperform” rating for the company in a research report on Thursday, February 29th. Morgan Stanley boosted their price objective on Sonic Automotive from $35.00 to $40.00 and gave the company an “underweight” rating in a research report on Thursday, February 29th. TheStreet upgraded Sonic Automotive from a “c+” rating to a “b” rating in a research report on Wednesday, March 6th. Finally, StockNews.com lowered Sonic Automotive from a “buy” rating to a “hold” rating in a research report on Thursday, January 11th.

Sonic Automotive Price Performance

Shares of NYSE SAH opened at $56.66 on Friday. Sonic Automotive has a twelve month low of $39.02 and a twelve month high of $60.24. The company has a current ratio of 1.10, a quick ratio of 0.41 and a debt-to-equity ratio of 2.10. The company has a market capitalization of $1.93 billion, a price-to-earnings ratio of 11.40 and a beta of 1.82. The business has a 50 day simple moving average of $52.33 and a 200-day simple moving average of $51.86.

Sonic Automotive (NYSE:SAH) last released its quarterly earnings data on Wednesday, February 14th. The company reported $1.63 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.80 by ($0.17). Sonic Automotive had a net margin of 1.24% and a return on equity of 28.06%. The company had revenue of $3.58 billion for the quarter, compared to analyst estimates of $3.61 billion. During the same quarter in the prior year, the firm earned $2.61 EPS. The company’s revenue for the quarter was down .2% compared to the same quarter last year. As a group, equities research analysts expect that Sonic Automotive will post 5.62 earnings per share for the current year.

Sonic Automotive Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, April 15th. Shareholders of record on Friday, March 15th were given a dividend of $0.30 per share. The ex-dividend date of this dividend was Thursday, March 14th. This represents a $1.20 dividend on an annualized basis and a yield of 2.12%. Sonic Automotive’s dividend payout ratio (DPR) is presently 24.14%.

Institutional Trading of Sonic Automotive

Several institutional investors have recently modified their holdings of the company. Illinois Municipal Retirement Fund lifted its holdings in shares of Sonic Automotive by 3.4% in the fourth quarter. Illinois Municipal Retirement Fund now owns 9,596 shares of the company’s stock valued at $539,000 after buying an additional 315 shares during the period. Zurcher Kantonalbank Zurich Cantonalbank lifted its holdings in shares of Sonic Automotive by 16.6% in the fourth quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 3,132 shares of the company’s stock valued at $176,000 after buying an additional 447 shares during the period. Allspring Global Investments Holdings LLC acquired a new stake in shares of Sonic Automotive in the first quarter valued at $30,000. Aigen Investment Management LP lifted its holdings in shares of Sonic Automotive by 6.5% in the fourth quarter. Aigen Investment Management LP now owns 9,946 shares of the company’s stock valued at $559,000 after buying an additional 611 shares during the period. Finally, Mitsubishi UFJ Trust & Banking Corp lifted its holdings in shares of Sonic Automotive by 12.4% in the third quarter. Mitsubishi UFJ Trust & Banking Corp now owns 6,128 shares of the company’s stock valued at $293,000 after buying an additional 678 shares during the period. Institutional investors and hedge funds own 46.92% of the company’s stock.

Sonic Automotive Company Profile

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.