Paralel Advisors LLC Purchases Shares of 5,455 Credit Acceptance Corporation $CACC

Paralel Advisors LLC acquired a new position in Credit Acceptance Corporation (NASDAQ:CACC) during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund acquired 5,455 shares of the credit services provider’s stock, valued at approximately $3,473,000.

Several other hedge funds have also modified their holdings of CACC. State of Alaska Department of Revenue bought a new stake in Credit Acceptance in the fourth quarter worth $462,000. SG Americas Securities LLC lifted its position in Credit Acceptance by 429.9% during the first quarter. SG Americas Securities LLC now owns 12,835 shares of the credit services provider’s stock valued at $5,435,000 after purchasing an additional 10,413 shares during the last quarter. Geo Capital Gestora de Recursos Ltd purchased a new position in shares of Credit Acceptance in the 4th quarter worth $1,842,000. Bank of America Corp DE grew its stake in shares of Credit Acceptance by 47.9% in the 1st quarter. Bank of America Corp DE now owns 44,586 shares of the credit services provider’s stock worth $18,880,000 after buying an additional 14,439 shares in the last quarter. Finally, Impact Partnership Wealth LLC bought a new stake in shares of Credit Acceptance in the 4th quarter worth about $441,000. 81.71% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on CACC. Zacks Research cut shares of Credit Acceptance from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, May 13th. Weiss Ratings raised Credit Acceptance from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, July 16th. Finally, TD Cowen boosted their price objective on Credit Acceptance from $575.00 to $600.00 and gave the stock a “hold” rating in a research note on Wednesday, August 5th. One research analyst has rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $570.00.

Credit Acceptance Stock Up 0.5%

NASDAQ CACC opened at $585.88 on Friday. The company has a quick ratio of 14.89, a current ratio of 14.89 and a debt-to-equity ratio of 3.84. Credit Acceptance Corporation has a 52 week low of $401.90 and a 52 week high of $668.86. The firm has a market capitalization of $6.13 billion, a price-to-earnings ratio of 12.88 and a beta of 1.37. The company has a fifty day moving average of $598.85 and a two-hundred day moving average of $535.37.

Credit Acceptance (NASDAQ:CACC) last released its earnings results on Tuesday, August 4th. The credit services provider reported $12.12 earnings per share (EPS) for the quarter, missing the consensus estimate of $12.20 by ($0.08). Credit Acceptance had a return on equity of 31.67% and a net margin of 21.54%.The firm had revenue of $415.00 million during the quarter, compared to the consensus estimate of $588.07 million. During the same quarter last year, the business posted $10.05 EPS. Credit Acceptance’s revenue was up .6% compared to the same quarter last year. On average, analysts predict that Credit Acceptance Corporation will post 47.8 earnings per share for the current year.

Insider Buying and Selling

In other Credit Acceptance news, COO Jonathan Lum sold 6,000 shares of the firm’s stock in a transaction dated Wednesday, June 24th. The shares were sold at an average price of $600.00, for a total value of $3,600,000.00. Following the completion of the sale, the chief operating officer owned 31,609 shares of the company’s stock, valued at $18,965,400. This trade represents a 15.95% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Erin J. Kerber sold 5,720 shares of the business’s stock in a transaction that occurred on Friday, June 26th. The shares were sold at an average price of $629.80, for a total value of $3,602,456.00. Following the transaction, the insider owned 25,711 shares of the company’s stock, valued at $16,192,787.80. This trade represents a 18.20% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 44,289 shares of company stock worth $27,525,241 over the last three months. 6.10% of the stock is currently owned by company insiders.

Credit Acceptance 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.