Credit Acceptance Corporation $CACC is Goodnow Investment Group LLC’s 9th Largest Position

Goodnow Investment Group LLC reduced its position in Credit Acceptance Corporation (NASDAQ:CACC) by 2.3% in the fourth quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 116,791 shares of the credit services provider’s stock after selling 2,810 shares during the period. Credit Acceptance makes up about 4.8% of Goodnow Investment Group LLC’s holdings, making the stock its 9th biggest holding. Goodnow Investment Group LLC’s holdings in Credit Acceptance were worth $51,792,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in CACC. Entropy Technologies LP bought a new position in shares of Credit Acceptance during the fourth quarter worth about $479,000. Kestra Advisory Services LLC bought a new position in shares of Credit Acceptance during the fourth quarter worth about $27,000. Marshall Wace LLP bought a new position in shares of Credit Acceptance during the fourth quarter worth about $1,470,000. The Manufacturers Life Insurance Company lifted its position in shares of Credit Acceptance by 3.3% during the fourth quarter. The Manufacturers Life Insurance Company now owns 1,722 shares of the credit services provider’s stock worth $764,000 after purchasing an additional 55 shares during the last quarter. Finally, First Trust Advisors LP lifted its position in shares of Credit Acceptance by 66.0% during the fourth quarter. First Trust Advisors LP now owns 34,230 shares of the credit services provider’s stock worth $15,180,000 after purchasing an additional 13,612 shares during the last quarter. 81.71% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

CACC has been the topic of several research analyst reports. Zacks Research cut shares of Credit Acceptance from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, May 13th. TD Cowen increased their price target on shares of Credit Acceptance from $450.00 to $500.00 and gave the stock a “hold” rating in a research report on Wednesday, May 6th. Weiss Ratings raised shares of Credit Acceptance from a “hold (c)” rating to a “hold (c+)” rating in a research report on Friday, May 8th. Finally, Stephens increased their price target 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. Four analysts have rated the stock with a Hold rating, Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $520.00.

Insider Activity

In related news, Director Kenneth Booth sold 4,000 shares of the stock in a transaction dated Monday, April 20th. The shares were sold at an average price of $534.00, for a total transaction of $2,136,000.00. Following the sale, the director owned 22,832 shares in the company, valued at $12,192,288. This represents a 14.91% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Ravi Mohan Valiyaveettil sold 1,262 shares of the stock in a transaction dated Wednesday, May 6th. The stock was sold at an average price of $550.00, for a total transaction of $694,100.00. Following the sale, the chief technology officer owned 25,985 shares in the company, valued at approximately $14,291,750. This trade represents a 4.63% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 26,527 shares of company stock valued at $14,203,265 over the last quarter. Corporate insiders own 6.10% of the company’s stock.

Credit Acceptance Stock Performance

Shares of CACC stock opened at $572.79 on Tuesday. The company has a debt-to-equity ratio of 4.09, a quick ratio of 13.62 and a current ratio of 13.62. Credit Acceptance Corporation has a one year low of $401.90 and a one year high of $579.79. The company’s 50-day simple moving average is $525.45 and its 200-day simple moving average is $487.83. The stock has a market capitalization of $5.99 billion, a price-to-earnings ratio of 14.23 and a beta of 1.38.

Credit Acceptance (NASDAQ:CACC) last released its quarterly earnings data on Tuesday, May 5th. The credit services provider reported $10.71 earnings per share for the quarter, missing the consensus estimate of $10.73 by ($0.02). The business had revenue of $406.00 million for the quarter, compared to analyst estimates of $580.77 million. Credit Acceptance had a return on equity of 29.95% and a net margin of 19.49%.Credit Acceptance’s revenue was up 1.6% compared to the same quarter last year. During the same quarter last year, the company earned $9.35 EPS. Equities analysts anticipate that Credit Acceptance Corporation will post 47.5 earnings per share for the current fiscal year.

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.