Credit Acceptance (NASDAQ:CACC) Insider Erin Kerber Sells 2,937 Shares

Credit Acceptance Corporation (NASDAQ:CACC) insider Erin Kerber sold 2,937 shares of the firm’s stock in a transaction dated Thursday, June 25th. The shares were sold at an average price of $627.19, for a total value of $1,842,057.03. Following the completion of the transaction, the insider owned 25,711 shares of the company’s stock, valued at $16,125,682.09. The trade was a 10.25% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Credit Acceptance Stock Performance

CACC opened at $629.62 on Friday. The business’s 50-day simple moving average is $548.53 and its 200 day simple moving average is $495.82. Credit Acceptance Corporation has a 52-week low of $401.90 and a 52-week high of $638.55. The company has a debt-to-equity ratio of 4.09, a quick ratio of 13.62 and a current ratio of 13.62. The firm has a market capitalization of $6.59 billion, a PE ratio of 15.65 and a beta of 1.38.

Credit Acceptance (NASDAQ:CACC) last posted its quarterly earnings results on Tuesday, May 5th. The credit services provider reported $10.71 earnings per share 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 in the prior year, the business earned $9.35 earnings per share. The firm’s revenue for the quarter was up 1.6% compared to the same quarter last year. As a group, sell-side analysts expect that Credit Acceptance Corporation will post 47.5 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Credit Acceptance

Institutional investors and hedge funds have recently modified their holdings of the stock. State of Wyoming bought a new stake in shares of Credit Acceptance during the 4th quarter worth about $27,000. Kestra Advisory Services LLC bought a new position in Credit Acceptance in the 4th quarter valued at about $27,000. Parallel Advisors LLC raised its holdings in Credit Acceptance by 590.0% in the 1st quarter. Parallel Advisors LLC now owns 69 shares of the credit services provider’s stock valued at $29,000 after acquiring an additional 59 shares during the period. Altshuler Shaham Ltd lifted its position in Credit Acceptance by 37.3% during the first quarter. Altshuler Shaham Ltd now owns 70 shares of the credit services provider’s stock worth $30,000 after acquiring an additional 19 shares during the last quarter. Finally, Rockefeller Capital Management L.P. lifted its position in Credit Acceptance by 53.3% during the fourth quarter. Rockefeller Capital Management L.P. now owns 69 shares of the credit services provider’s stock worth $31,000 after acquiring an additional 24 shares during the last quarter. 81.71% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of research analysts have recently commented on the stock. Zacks Research downgraded shares of Credit Acceptance from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, May 13th. Stephens raised their target price on shares of Credit Acceptance from $450.00 to $540.00 and gave the company an “equal weight” rating in a research note on Friday, April 17th. Weiss Ratings upgraded Credit Acceptance from a “hold (c)” rating to a “hold (c+)” rating in a report on Friday, May 8th. Finally, TD Cowen boosted their price target on Credit Acceptance from $450.00 to $500.00 and gave the stock a “hold” rating in a research report on Wednesday, May 6th. Four analysts have rated the stock with a Hold rating, According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $520.00.

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.