JPMorgan Chase & Co. Issues Pessimistic Forecast for Sonic Automotive (NYSE:SAH) Stock Price

Sonic Automotive (NYSE:SAH) had its target price cut by analysts at JPMorgan Chase & Co. from $70.00 to $67.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm presently has an “underweight” rating on the stock. JPMorgan Chase & Co.‘s price objective would indicate a potential upside of 6.00% from the stock’s previous close.

A number of other research firms have also weighed in on SAH. Morgan Stanley set a $68.00 target price on Sonic Automotive in a report on Monday, December 8th. Wall Street Zen cut Sonic Automotive from a “buy” rating to a “hold” rating in a research report on Sunday, January 11th. Barclays began coverage on shares of Sonic Automotive in a research note on Tuesday, November 11th. They set an “equal weight” rating and a $71.00 price target on the stock. Zacks Research raised Sonic Automotive from a “strong sell” rating to a “hold” rating in a research note on Tuesday. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Sonic Automotive in a research note on Monday, December 29th. Four investment analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company presently has an average rating of “Hold” and an average target price of $79.88.

Sonic Automotive Stock Performance

SAH traded down $1.15 on Friday, hitting $63.21. The company’s stock had a trading volume of 17,521 shares, compared to its average volume of 149,673. Sonic Automotive has a 12 month low of $52.00 and a 12 month high of $89.62. The firm has a market cap of $2.16 billion, a P/E ratio of 17.08 and a beta of 0.92. The company has a quick ratio of 0.27, a current ratio of 1.02 and a debt-to-equity ratio of 1.68. The company’s 50 day simple moving average is $63.46 and its 200-day simple moving average is $72.31.

Sonic Automotive (NYSE:SAH) last issued its earnings results on Thursday, October 23rd. The company reported $1.41 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.82 by ($0.41). The business had revenue of $3.97 billion for the quarter, compared to the consensus estimate of $3.59 billion. Sonic Automotive had a net margin of 0.86% and a return on equity of 21.65%. The company’s revenue was up 13.8% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.26 EPS. Analysts forecast that Sonic Automotive will post 6.14 EPS for the current year.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the business. Northwestern Mutual Wealth Management Co. lifted its position in Sonic Automotive by 992.5% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 437 shares of the company’s stock valued at $35,000 after acquiring an additional 397 shares in the last quarter. Aster Capital Management DIFC Ltd purchased a new stake in shares of Sonic Automotive during the 3rd quarter valued at about $63,000. National Bank of Canada FI bought a new stake in shares of Sonic Automotive in the third quarter worth approximately $78,000. CoreCap Advisors LLC purchased a new position in shares of Sonic Automotive during the third quarter valued at approximately $109,000. Finally, Raymond James Financial Inc. purchased a new stake in Sonic Automotive in the second quarter worth approximately $168,000. 46.92% of the stock is currently owned by institutional investors.

About Sonic Automotive

Sonic Automotive, Inc is a publicly traded automotive retailer that operates a network of franchised new-car dealerships and used-vehicle dealerships across the United States. Headquartered in Charlotte, North Carolina, the company offers a range of services that include vehicle sales, leasing, finance and insurance products, service and parts, and collision repair. Sonic Automotive’s dealerships represent numerous major automotive brands, and the company also markets a broad selection of pre-owned vehicles under its own banner.

In addition to its core dealership operations, Sonic Automotive has developed digital retail capabilities that allow customers to research, shop and complete transactions online.