Credit Acceptance (NASDAQ:CACC) CFO Sells $1,576,890.00 in Stock

Credit Acceptance Corporation (NASDAQ:CACC) CFO Jay Martin sold 3,000 shares of the stock in a transaction that occurred on Friday, April 17th. The stock was sold at an average price of $525.63, for a total value of $1,576,890.00. Following the completion of the transaction, the chief financial officer directly owned 25,963 shares of the company’s stock, valued at $13,646,931.69. This trade represents a 10.36% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Credit Acceptance Price Performance

CACC traded down $21.48 during trading on Tuesday, reaching $521.23. The stock had a trading volume of 141,254 shares, compared to its average volume of 205,115. The firm has a market capitalization of $5.60 billion, a price-to-earnings ratio of 14.28 and a beta of 1.32. The company has a quick ratio of 16.91, a current ratio of 16.91 and a debt-to-equity ratio of 4.10. Credit Acceptance Corporation has a 1-year low of $401.90 and a 1-year high of $549.75. The stock has a 50 day moving average of $472.73 and a two-hundred day moving average of $467.39.

Credit Acceptance (NASDAQ:CACC) last released its earnings results on Thursday, January 29th. The credit services provider reported $11.35 earnings per share for the quarter, topping analysts’ consensus estimates of $10.30 by $1.05. The firm had revenue of $408.20 million during the quarter, compared to the consensus estimate of $582.63 million. Credit Acceptance had a return on equity of 28.86% and a net margin of 18.29%.The firm’s revenue for the quarter was up 2.5% compared to the same quarter last year. During the same period in the prior year, the firm posted $10.17 earnings per share. As a group, equities analysts anticipate that Credit Acceptance Corporation will post 47 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on the company. Weiss Ratings reissued a “hold (c)” rating on shares of Credit Acceptance in a research note on Wednesday, January 21st. Stephens raised their price objective on Credit Acceptance from $450.00 to $540.00 and gave the stock an “equal weight” rating in a research note on Friday. TD Cowen raised their price objective on Credit Acceptance from $460.00 to $470.00 and gave the stock a “hold” rating in a research note on Friday, January 30th. Finally, Zacks Research raised Credit Acceptance from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, February 3rd. One analyst has rated the stock with a Strong Buy rating and three have assigned a Hold rating to the company’s stock. According to MarketBeat, Credit Acceptance has a consensus rating of “Moderate Buy” and a consensus price target of $505.00.

Institutional Trading of Credit Acceptance

A number of hedge funds have recently modified their holdings of the business. Global Retirement Partners LLC lifted its holdings in shares of Credit Acceptance by 2.7% in the third quarter. Global Retirement Partners LLC now owns 882 shares of the credit services provider’s stock valued at $412,000 after purchasing an additional 23 shares in the last quarter. Rockefeller Capital Management L.P. lifted its holdings in shares of Credit Acceptance by 53.3% in the fourth quarter. Rockefeller Capital Management L.P. now owns 69 shares of the credit services provider’s stock valued at $31,000 after purchasing an additional 24 shares in the last quarter. Janney Montgomery Scott LLC lifted its holdings in shares of Credit Acceptance by 4.6% in the fourth quarter. Janney Montgomery Scott LLC now owns 571 shares of the credit services provider’s stock valued at $253,000 after purchasing an additional 25 shares in the last quarter. Cetera Investment Advisers lifted its holdings in shares of Credit Acceptance by 6.3% in the fourth quarter. Cetera Investment Advisers now owns 508 shares of the credit services provider’s stock valued at $225,000 after purchasing an additional 30 shares in the last quarter. Finally, Russell Investments Group Ltd. lifted its holdings in shares of Credit Acceptance by 5.3% in the third quarter. Russell Investments Group Ltd. now owns 721 shares of the credit services provider’s stock valued at $337,000 after purchasing an additional 36 shares in the last quarter. Hedge funds and other institutional investors own 81.71% of the company’s stock.

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.