Brokerages Set Sonic Automotive, Inc. (NYSE:SAH) Price Target at $53.40

Shares of Sonic Automotive, Inc. (NYSE:SAH) have been given an average rating of “Reduce” by the four ratings firms that are currently covering the company, MarketBeat.com reports. Three investment analysts have rated the stock with a sell recommendation and one has assigned a buy recommendation to the company. The average 1 year price objective among brokers that have covered the stock in the last year is $53.40.

A number of equities research analysts recently weighed in on SAH shares. Morgan Stanley upped their target price on shares of Sonic Automotive from $35.00 to $40.00 and gave the stock an “underweight” rating in a report on Thursday, February 29th. Bank of America cut their price objective on shares of Sonic Automotive from $60.00 to $55.00 and set an “underperform” rating for the company in a research report on Thursday, February 29th. StockNews.com downgraded Sonic Automotive from a “buy” rating to a “hold” rating in a research report on Thursday, January 11th. Finally, TheStreet upgraded shares of Sonic Automotive from a “c+” rating to a “b” rating in a research report on Wednesday, March 6th.

Sonic Automotive Price Performance

Sonic Automotive stock opened at $56.94 on Monday. The company has a market capitalization of $1.93 billion, a PE ratio of 11.46 and a beta of 1.82. The stock has a 50-day moving average price of $53.03 and a two-hundred day moving average price of $51.53. The company has a current ratio of 1.10, a quick ratio of 0.41 and a debt-to-equity ratio of 2.10. Sonic Automotive has a 12 month low of $39.02 and a 12 month high of $60.24.

Sonic Automotive (NYSE:SAH) last issued its earnings results on Wednesday, February 14th. The company reported $1.63 earnings per share for the quarter, missing analysts’ consensus estimates of $1.80 by ($0.17). Sonic Automotive had a return on equity of 28.06% and a net margin of 1.24%. The business had revenue of $3.58 billion during the quarter, compared to the consensus estimate of $3.61 billion. During the same quarter in the previous year, the firm posted $2.61 earnings per share. The company’s revenue for the quarter was down .2% compared to the same quarter last year. Analysts expect that Sonic Automotive will post 5.75 EPS for the current year.

Sonic Automotive Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, April 15th. Stockholders of record on Friday, March 15th will be issued a $0.30 dividend. The ex-dividend date is Thursday, March 14th. This represents a $1.20 annualized dividend and a dividend yield of 2.11%. Sonic Automotive’s dividend payout ratio is currently 24.14%.

Institutional Investors Weigh In On Sonic Automotive

Several institutional investors have recently bought and sold shares of SAH. Price T Rowe Associates Inc. MD grew its holdings in Sonic Automotive by 1.7% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 12,348 shares of the company’s stock worth $695,000 after acquiring an additional 209 shares during the last quarter. FMR LLC grew its stake in shares of Sonic Automotive by 0.9% in the first quarter. FMR LLC now owns 29,209 shares of the company’s stock worth $1,587,000 after purchasing an additional 258 shares during the last quarter. Captrust Financial Advisors increased its holdings in Sonic Automotive by 5.2% during the 2nd quarter. Captrust Financial Advisors now owns 5,720 shares of the company’s stock valued at $210,000 after purchasing an additional 281 shares during the period. Royal Bank of Canada raised its position in Sonic Automotive by 2.9% during the 3rd quarter. Royal Bank of Canada now owns 10,486 shares of the company’s stock valued at $501,000 after purchasing an additional 296 shares during the last quarter. Finally, Commonwealth of Pennsylvania Public School Empls Retrmt SYS lifted its holdings in Sonic Automotive by 1.7% in the 2nd quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 17,979 shares of the company’s stock worth $857,000 after buying an additional 304 shares during the period. 46.92% of the stock is currently owned by hedge funds and other institutional investors.

Sonic Automotive Company Profile

Sonic Automotive, Inc operates as an automotive retailer in the United States. It operates in three segments, Franchised Dealerships, EchoPark, and Powersports. The Franchised Dealerships segment is involved in the sale of new and used cars and light trucks, and replacement parts; provision of vehicle maintenance, manufacturer warranty repair, and paint and collision repair services; and arrangement of extended warranties, service contracts, financing, insurance, and other aftermarket products for its guests.