Jay Martin Sells 4,340 Shares of Credit Acceptance (NASDAQ:CACC) Stock

Credit Acceptance Corporation (NASDAQ:CACC) CFO Jay Martin sold 4,340 shares of Credit Acceptance stock in a transaction that occurred on Monday, February 9th. The shares were sold at an average price of $512.55, for a total value of $2,224,467.00. Following the completion of the transaction, the chief financial officer owned 25,963 shares of the company’s stock, valued at approximately $13,307,335.65. The trade was a 14.32% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link.

Credit Acceptance Stock Performance

Shares of Credit Acceptance stock traded up $3.35 during trading on Wednesday, hitting $510.71. 175,265 shares of the stock were exchanged, compared to its average volume of 194,309. The company has a debt-to-equity ratio of 3.94, a quick ratio of 15.81 and a current ratio of 15.81. Credit Acceptance Corporation has a 12 month low of $401.90 and a 12 month high of $549.75. The stock’s fifty day moving average is $466.24 and its 200 day moving average is $474.00. The stock has a market cap of $5.63 billion, a PE ratio of 13.99 and a beta of 1.27.

Credit Acceptance (NASDAQ:CACC) last posted its earnings results on Thursday, January 29th. The credit services provider reported $11.35 EPS for the quarter, topping the consensus estimate of $10.30 by $1.05. The firm had revenue of $408.20 million during the quarter, compared to analysts’ expectations of $582.63 million. Credit Acceptance had a net margin of 18.29% and a return on equity of 28.46%. Credit Acceptance’s quarterly revenue was up 2.5% on a year-over-year basis. During the same quarter in the prior year, the firm earned $10.17 EPS. As a group, sell-side analysts anticipate that Credit Acceptance Corporation will post 53.24 EPS for the current year.

Wall Street Analyst Weigh In

CACC has been the topic of a number of research analyst reports. Zacks Research raised Credit Acceptance from a “hold” rating to a “strong-buy” rating in a report on Tuesday, February 3rd. TD Cowen raised their target price on shares of Credit Acceptance from $460.00 to $470.00 and gave the company a “hold” rating in a research note on Friday, January 30th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Credit Acceptance in a research note on Wednesday, January 21st. One investment analyst has rated the stock with a Strong Buy rating and two have issued a Hold rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $470.00.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. M&T Bank Corp purchased a new position in shares of Credit Acceptance in the fourth quarter worth approximately $208,294,000. Boston Partners acquired a new position in Credit Acceptance in the 3rd quarter worth approximately $206,327,000. Universal Beteiligungs und Servicegesellschaft mbH grew its position in Credit Acceptance by 764.8% during the 4th quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 203,879 shares of the credit services provider’s stock worth $91,652,000 after purchasing an additional 180,304 shares in the last quarter. First Trust Advisors LP purchased a new position in Credit Acceptance during the 2nd quarter worth approximately $26,422,000. Finally, Smead Capital Management Inc. raised its stake in Credit Acceptance by 17.0% during the 2nd quarter. Smead Capital Management Inc. now owns 216,811 shares of the credit services provider’s stock valued at $110,450,000 after purchasing an additional 31,438 shares during the period. 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.