Zacks Research Upgrades Sonic Automotive (NYSE:SAH) to “Hold”

Sonic Automotive (NYSE:SAH) was upgraded by research analysts at Zacks Research from a “strong sell” rating to a “hold” rating in a research report issued to clients and investors on Tuesday,Zacks.com reports.

A number of other analysts have also recently weighed in on SAH. Needham & Company LLC cut their price objective on shares of Sonic Automotive from $95.00 to $90.00 and set a “buy” rating on the stock in a report on Friday, October 24th. Morgan Stanley set a $68.00 target price on shares of Sonic Automotive in a research note on Monday, December 8th. JPMorgan Chase & Co. decreased their price target on shares of Sonic Automotive from $76.00 to $70.00 and set an “underweight” rating on the stock in a research note on Wednesday, November 5th. Citigroup raised shares of Sonic Automotive from a “neutral” rating to a “buy” rating and set a $82.00 price objective for the company in a research report on Thursday, November 6th. Finally, Benchmark raised their target price on shares of Sonic Automotive from $80.00 to $85.00 and gave the stock a “buy” rating in a research report on Thursday, September 18th. Four research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $80.25.

Sonic Automotive Stock Down 0.7%

Sonic Automotive stock traded down $0.47 during midday trading on Tuesday, reaching $62.63. The company’s stock had a trading volume of 2,277 shares, compared to its average volume of 132,798. Sonic Automotive has a 52-week low of $52.00 and a 52-week high of $89.62. The company has a debt-to-equity ratio of 1.68, a current ratio of 1.02 and a quick ratio of 0.27. The stock has a market capitalization of $2.14 billion, a P/E ratio of 16.86 and a beta of 0.92. The stock’s 50-day simple moving average is $63.37 and its 200-day simple moving average is $72.37.

Sonic Automotive (NYSE:SAH) last announced its earnings results on Thursday, October 23rd. The company reported $1.41 earnings per share for the quarter, missing the consensus estimate of $1.82 by ($0.41). The business had revenue of $3.97 billion for the quarter, compared to analyst estimates of $3.59 billion. Sonic Automotive had a return on equity of 21.65% and a net margin of 0.86%.The company’s quarterly revenue was up 13.8% compared to the same quarter last year. During the same period in the previous year, the company earned $1.26 earnings per share. On average, sell-side analysts expect that Sonic Automotive will post 6.14 EPS for the current year.

Institutional Investors Weigh In On Sonic Automotive

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Voya Investment Management LLC lifted its stake in Sonic Automotive by 1.9% during the first quarter. Voya Investment Management LLC now owns 7,451 shares of the company’s stock valued at $424,000 after buying an additional 136 shares in the last quarter. Nisa Investment Advisors LLC boosted its position in Sonic Automotive by 3.8% in the second quarter. Nisa Investment Advisors LLC now owns 4,509 shares of the company’s stock valued at $362,000 after buying an additional 165 shares in the last quarter. Oliver Luxxe Assets LLC increased its holdings in Sonic Automotive by 0.9% during the 2nd quarter. Oliver Luxxe Assets LLC now owns 23,141 shares of the company’s stock valued at $1,850,000 after purchasing an additional 205 shares in the last quarter. Wealth Enhancement Advisory Services LLC grew its position in shares of Sonic Automotive by 1.9% during the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 14,426 shares of the company’s stock worth $924,000 after buying an additional 273 shares during the period. Finally, Creative Planning boosted its stake in Sonic Automotive by 12.4% in the third quarter. Creative Planning now owns 3,000 shares of the company’s stock valued at $228,000 after acquiring an additional 332 shares during the last quarter. 46.92% of the stock is owned by institutional investors and hedge funds.

About Sonic Automotive

Sonic Automotive, Inc is a publicly traded automotive retailer that operates a network of franchised new-car dealerships and used-vehicle dealerships across the United States. Headquartered in Charlotte, North Carolina, the company offers a range of services that include vehicle sales, leasing, finance and insurance products, service and parts, and collision repair. Sonic Automotive’s dealerships represent numerous major automotive brands, and the company also markets a broad selection of pre-owned vehicles under its own banner.

In addition to its core dealership operations, Sonic Automotive has developed digital retail capabilities that allow customers to research, shop and complete transactions online.