$388.58 Million in Sales Expected for Credit Acceptance Corp. (NASDAQ:CACC) This Quarter

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Analysts expect that Credit Acceptance Corp. (NASDAQ:CACC) will report $388.58 million in sales for the current quarter, according to Zacks Investment Research. Two analysts have provided estimates for Credit Acceptance’s earnings, with the highest sales estimate coming in at $389.45 million and the lowest estimate coming in at $387.70 million. Credit Acceptance reported sales of $342.80 million in the same quarter last year, which indicates a positive year over year growth rate of 13.4%. The company is scheduled to announce its next earnings report on Wednesday, January 29th.

On average, analysts expect that Credit Acceptance will report full-year sales of $1.49 billion for the current financial year. For the next year, analysts expect that the firm will post sales of $1.53 billion, with estimates ranging from $1.40 billion to $1.67 billion. Zacks Investment Research’s sales calculations are an average based on a survey of sell-side research firms that cover Credit Acceptance.

Credit Acceptance (NASDAQ:CACC) last issued its quarterly earnings results on Friday, November 1st. The credit services provider reported $8.89 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $8.86 by $0.03. Credit Acceptance had a return on equity of 29.54% and a net margin of 44.69%. The business had revenue of $378.70 million during the quarter, compared to analyst estimates of $380.69 million. During the same quarter in the prior year, the business posted $7.56 EPS. Credit Acceptance’s revenue for the quarter was up 14.1% compared to the same quarter last year.

A number of research analysts have recently weighed in on CACC shares. BMO Capital Markets cut their price objective on Credit Acceptance to $472.00 and set an “in-line” rating for the company in a research report on Tuesday, November 5th. BidaskClub lowered Credit Acceptance from a “sell” rating to a “strong sell” rating in a research report on Wednesday, October 30th. ValuEngine lowered Credit Acceptance from a “hold” rating to a “sell” rating in a research report on Tuesday, December 3rd. Finally, Credit Suisse Group raised their price objective on Credit Acceptance from $380.00 to $390.00 and gave the company an “underperform” rating in a research report on Thursday, November 14th. Four equities research analysts have rated the stock with a sell rating and five have assigned a hold rating to the company. Credit Acceptance has an average rating of “Hold” and a consensus price target of $444.17.

In other news, CFO Kenneth Booth purchased 1,250 shares of the business’s stock in a transaction on Tuesday, November 5th. The shares were acquired at an average cost of $410.61 per share, with a total value of $513,262.50. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Charles A. Pearce sold 1,000 shares of Credit Acceptance stock in a transaction on Monday, December 16th. The stock was sold at an average price of $442.43, for a total transaction of $442,430.00. The disclosure for this sale can be found here. 5.00% of the stock is owned by company insiders.

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Beck Mack & Oliver LLC grew its holdings in Credit Acceptance by 4.1% in the second quarter. Beck Mack & Oliver LLC now owns 295,742 shares of the credit services provider’s stock worth $143,089,000 after purchasing an additional 11,692 shares during the last quarter. Nuveen Asset Management LLC lifted its stake in shares of Credit Acceptance by 390.9% during the second quarter. Nuveen Asset Management LLC now owns 163,973 shares of the credit services provider’s stock worth $79,336,000 after buying an additional 130,573 shares during the period. Goodnow Investment Group LLC lifted its stake in shares of Credit Acceptance by 0.5% during the second quarter. Goodnow Investment Group LLC now owns 149,575 shares of the credit services provider’s stock worth $72,369,000 after buying an additional 745 shares during the period. AQR Capital Management LLC lifted its stake in shares of Credit Acceptance by 13.5% during the second quarter. AQR Capital Management LLC now owns 139,580 shares of the credit services provider’s stock worth $66,155,000 after buying an additional 16,649 shares during the period. Finally, APG Asset Management N.V. lifted its stake in shares of Credit Acceptance by 553.9% during the second quarter. APG Asset Management N.V. now owns 83,700 shares of the credit services provider’s stock worth $35,561,000 after buying an additional 70,900 shares during the period. 59.63% of the stock is currently owned by institutional investors and hedge funds.

Shares of Credit Acceptance stock traded up $2.71 during trading on Friday, reaching $442.33. 269,504 shares of the stock traded hands, compared to its average volume of 111,103. The company has a market capitalization of $8.26 billion, a price-to-earnings ratio of 15.58, a P/E/G ratio of 1.15 and a beta of 0.69. The business has a fifty day simple moving average of $436.74 and a two-hundred day simple moving average of $458.87. The company has a debt-to-equity ratio of 1.75, a current ratio of 29.49 and a quick ratio of 29.49. Credit Acceptance has a 52-week low of $373.06 and a 52-week high of $509.99.

About Credit Acceptance

Credit Acceptance Corporation provides financing programs, and related products and services to independent and franchised automobile dealers in the United States. The company advances money to dealers in exchange for the right to service the underlying consumer loans; and buys the consumer loans from the dealers and keeps various amounts collected from the consumers.

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