Wendy Rummler Sells 5,236 Shares of Credit Acceptance (NASDAQ:CACC) Stock

Credit Acceptance Corporation (NASDAQ:CACC) insider Wendy Rummler sold 5,236 shares of the firm’s stock in a transaction dated Friday, January 30th. The stock was sold at an average price of $493.44, for a total value of $2,583,651.84. Following the transaction, the insider directly owned 20,772 shares in the company, valued at approximately $10,249,735.68. This represents a 20.13% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

Credit Acceptance Stock Down 2.4%

CACC opened at $495.07 on Friday. Credit Acceptance Corporation has a 52 week low of $401.90 and a 52 week high of $549.75. The business has a 50 day moving average price of $463.60 and a two-hundred day moving average price of $474.86. The company has a quick ratio of 15.81, a current ratio of 15.81 and a debt-to-equity ratio of 3.94. The company has a market cap of $5.46 billion, a PE ratio of 13.56 and a beta of 1.27.

Credit Acceptance (NASDAQ:CACC) last released its earnings results on Thursday, January 29th. The credit services provider reported $11.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $10.30 by $1.05. Credit Acceptance had a return on equity of 28.46% and a net margin of 18.29%.The business had revenue of $408.20 million for the quarter, compared to analyst estimates of $582.63 million. During the same quarter in the previous year, the company posted $10.17 earnings per share. The company’s revenue for the quarter was up 2.5% compared to the same quarter last year. As a group, research analysts anticipate that Credit Acceptance Corporation will post 53.24 EPS for the current year.

Analyst Ratings Changes

A number of brokerages have recently issued reports on CACC. TD Cowen boosted their price target on shares of Credit Acceptance from $460.00 to $470.00 and gave the stock a “hold” rating in a research note on Friday, January 30th. Zacks Research raised Credit Acceptance from a “hold” rating to a “strong-buy” rating in a report on Tuesday. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Credit Acceptance in a research note on Wednesday, January 21st. One equities research analyst has rated the stock with a Strong Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $470.00.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Sequoia Financial Advisors LLC increased its holdings in Credit Acceptance by 3.0% in the fourth quarter. Sequoia Financial Advisors LLC now owns 8,698 shares of the credit services provider’s stock valued at $3,857,000 after buying an additional 256 shares in the last quarter. M&T Bank Corp acquired a new stake in shares of Credit Acceptance in the 4th quarter worth approximately $451,000. Universal Beteiligungs und Servicegesellschaft mbH increased its stake in Credit Acceptance by 764.8% in the 4th quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 203,879 shares of the credit services provider’s stock valued at $91,652,000 after purchasing an additional 180,304 shares in the last quarter. State of Alaska Department of Revenue purchased a new position in Credit Acceptance in the 4th quarter valued at approximately $462,000. Finally, Lodestone Wealth Management LLC raised its holdings in Credit Acceptance by 10.1% during the fourth quarter. Lodestone Wealth Management LLC now owns 1,356 shares of the credit services provider’s stock worth $601,000 after purchasing an additional 124 shares during the last quarter. 81.71% of the stock is currently owned by institutional investors and hedge funds.

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.