Credit Acceptance (NASDAQ:CACC) Insider Sells $1,842,057.03 in Stock

Credit Acceptance Corporation (NASDAQ:CACC) insider Erin Kerber sold 2,937 shares of Credit Acceptance stock in a transaction dated Thursday, June 25th. The shares were sold at an average price of $627.19, for a total transaction of $1,842,057.03. Following the completion of the sale, the insider directly owned 25,711 shares in the company, valued at approximately $16,125,682.09. The trade was a 10.25% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Credit Acceptance Trading Up 0.1%

NASDAQ CACC opened at $629.62 on Monday. The stock has a market capitalization of $6.59 billion, a P/E ratio of 15.65 and a beta of 1.38. Credit Acceptance Corporation has a 52-week low of $401.90 and a 52-week high of $638.55. The firm has a 50-day moving average price of $548.53 and a 200 day moving average price of $496.07. The company has a quick ratio of 13.62, a current ratio of 13.62 and a debt-to-equity ratio of 4.09.

Credit Acceptance (NASDAQ:CACC) last announced its quarterly earnings data on Tuesday, May 5th. The credit services provider reported $10.71 earnings per share for the quarter, missing analysts’ consensus estimates of $10.73 by ($0.02). Credit Acceptance had a net margin of 19.49% and a return on equity of 29.95%. The business had revenue of $406.00 million during the quarter, compared to analysts’ expectations of $580.77 million. During the same period in the prior year, the firm posted $9.35 EPS. Credit Acceptance’s revenue for the quarter was up 1.6% compared to the same quarter last year. Equities research analysts expect that Credit Acceptance Corporation will post 47.5 EPS for the current year.

Analysts Set New Price Targets

A number of analysts recently weighed in on CACC shares. Zacks Research downgraded Credit Acceptance from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, May 13th. Weiss Ratings upgraded Credit Acceptance from a “hold (c)” rating to a “hold (c+)” rating in a research report on Friday, May 8th. TD Cowen raised their target price on Credit Acceptance from $450.00 to $500.00 and gave the company a “hold” rating in a report on Wednesday, May 6th. Finally, Stephens boosted their target price on shares of Credit Acceptance from $450.00 to $540.00 and gave the stock an “equal weight” rating in a research report on Friday, April 17th. Four investment analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, Credit Acceptance presently has a consensus rating of “Hold” and an average price target of $520.00.

Institutional Investors Weigh In On Credit Acceptance

A number of hedge funds and other institutional investors have recently modified their holdings of CACC. State of Wyoming acquired a new stake in shares of Credit Acceptance during the 4th quarter valued at approximately $27,000. Kestra Advisory Services LLC acquired a new stake in shares of Credit Acceptance in the 4th quarter worth approximately $27,000. Rockefeller Capital Management L.P. grew its holdings in shares of Credit Acceptance by 53.3% in the 4th quarter. Rockefeller Capital Management L.P. now owns 69 shares of the credit services provider’s stock worth $31,000 after acquiring an additional 24 shares during the period. Parallel Advisors LLC increased its stake in Credit Acceptance by 590.0% in the 1st quarter. Parallel Advisors LLC now owns 69 shares of the credit services provider’s stock valued at $29,000 after purchasing an additional 59 shares in the last quarter. Finally, Altshuler Shaham Ltd increased its stake in Credit Acceptance by 37.3% in the 1st quarter. Altshuler Shaham Ltd now owns 70 shares of the credit services provider’s stock valued at $30,000 after purchasing an additional 19 shares in the last quarter. 81.71% of the stock is currently owned by institutional investors and hedge funds.

About Credit Acceptance

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.