Zacks: Analysts Expect KAR Auction Services, Inc (NYSE:KAR) Will Announce Quarterly Sales of $838.61 Million
Wall Street analysts expect KAR Auction Services, Inc (NYSE:KAR) to announce sales of $838.61 million for the current quarter, according to Zacks. Four analysts have provided estimates for KAR Auction Services’ earnings, with the highest sales estimate coming in at $856.64 million and the lowest estimate coming in at $809.90 million. KAR Auction Services posted sales of $773.80 million during the same quarter last year, which would indicate a positive year-over-year growth rate of 8.4%. The company is expected to issue its next earnings report on Thursday, November 2nd.
According to Zacks, analysts expect that KAR Auction Services will report full-year sales of $838.61 million for the current financial year, with estimates ranging from $3.38 billion to $3.44 billion. For the next financial year, analysts forecast that the company will post sales of $3.63 billion per share, with estimates ranging from $3.58 billion to $3.71 billion. Zacks Investment Research’s sales averages are a mean average based on a survey of analysts that follow KAR Auction Services.
KAR Auction Services (NYSE:KAR) last released its quarterly earnings results on Tuesday, August 8th. The specialty retailer reported $0.65 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $0.58 by $0.07. The firm had revenue of $858 million for the quarter, compared to the consensus estimate of $850.67 million. KAR Auction Services had a return on equity of 21.46% and a net margin of 6.83%. The company’s revenue for the quarter was up 8.8% on a year-over-year basis. During the same period last year, the business posted $0.55 EPS.
Several research analysts have recently weighed in on the stock. Zacks Investment Research upgraded shares of KAR Auction Services from a “sell” rating to a “hold” rating in a research note on Friday. BidaskClub downgraded shares of KAR Auction Services from a “hold” rating to a “sell” rating in a research note on Saturday, June 17th. Finally, Gabelli assumed coverage on shares of KAR Auction Services in a research note on Tuesday, July 4th. They issued a “buy” rating and a $62.00 target price for the company. Two equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the stock. The company presently has a consensus rating of “Buy” and a consensus target price of $54.33.
KAR Auction Services (KAR) opened at 43.04 on Friday. KAR Auction Services has a 52-week low of $38.16 and a 52-week high of $47.03. The stock has a market capitalization of $5.91 billion, a P/E ratio of 26.40 and a beta of 1.12. The company’s 50-day moving average price is $41.68 and its 200 day moving average price is $43.43.
The company also recently announced a quarterly dividend, which will be paid on Tuesday, October 3rd. Stockholders of record on Wednesday, September 20th will be paid a $0.32 dividend. The ex-dividend date of this dividend is Tuesday, September 19th. This represents a $1.28 annualized dividend and a dividend yield of 2.97%. KAR Auction Services’s dividend payout ratio (DPR) is presently 78.53%.
In other news, CEO John W. Kett sold 9,913 shares of the company’s stock in a transaction on Thursday, June 1st. The shares were sold at an average price of $43.92, for a total value of $435,378.96. Following the completion of the transaction, the chief executive officer now directly owns 51,805 shares in the company, valued at $2,275,275.60. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO John W. Kett sold 10,011 shares of the company’s stock in a transaction on Tuesday, August 1st. The shares were sold at an average price of $42.01, for a total transaction of $420,562.11. Following the completion of the transaction, the chief executive officer now owns 65,982 shares of the company’s stock, valued at $2,771,903.82. The disclosure for this sale can be found here. Insiders sold 29,932 shares of company stock valued at $1,276,878 over the last 90 days. Insiders own 1.30% of the company’s stock.
Hedge funds and other institutional investors have recently made changes to their positions in the stock. Acrospire Investment Management LLC bought a new position in KAR Auction Services during the second quarter worth approximately $118,000. Toronto Dominion Bank increased its position in KAR Auction Services by 7.2% in the first quarter. Toronto Dominion Bank now owns 2,830 shares of the specialty retailer’s stock worth $124,000 after buying an additional 190 shares during the period. Tower Research Capital LLC TRC increased its position in KAR Auction Services by 378.4% in the first quarter. Tower Research Capital LLC TRC now owns 2,966 shares of the specialty retailer’s stock worth $130,000 after buying an additional 2,346 shares during the period. CENTRAL TRUST Co bought a new position in KAR Auction Services during the second quarter worth approximately $150,000. Finally, SG Americas Securities LLC bought a new position in KAR Auction Services during the first quarter worth approximately $162,000.
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About KAR Auction Services
KAR Auction Services, Inc is a provider of whole car auction services in North America, and salvage auction services in North America and the United Kingdom. The Company operates through three segments: ADESA, Inc (ADESA Auctions or ADESA), Insurance Auto Auctions, Inc (IAA) and Automotive Finance Corporation (AFC).
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