Hyperion Capital Advisors LP Purchases New Position in Credit Acceptance Corporation $CACC

Hyperion Capital Advisors LP purchased a new position in Credit Acceptance Corporation (NASDAQ:CACC) in the 2nd quarter, HoldingsChannel reports. The firm purchased 7,150 shares of the credit services provider’s stock, valued at approximately $4,553,000. Credit Acceptance comprises approximately 2.1% of Hyperion Capital Advisors LP’s portfolio, making the stock its 16th largest holding.

Several other large investors also recently added to or reduced their stakes in the stock. BlackRock Inc. purchased a new stake in Credit Acceptance during the second quarter valued at approximately $408,849,000. Boston Partners raised its holdings in Credit Acceptance by 3.4% during the 4th quarter. Boston Partners now owns 456,253 shares of the credit services provider’s stock valued at $202,373,000 after buying an additional 14,877 shares during the period. Dimensional Fund Advisors LP raised its holdings in Credit Acceptance by 3.1% during the 1st quarter. Dimensional Fund Advisors LP now owns 230,715 shares of the credit services provider’s stock valued at $97,701,000 after buying an additional 6,843 shares during the period. Smead Capital Management Inc. lifted its position in Credit Acceptance by 17.0% in the second quarter. Smead Capital Management Inc. now owns 216,811 shares of the credit services provider’s stock worth $110,450,000 after buying an additional 31,438 shares during the last quarter. Finally, Smith Thomas W purchased a new position in Credit Acceptance during the fourth quarter worth $42,083,000. 81.71% of the stock is owned by institutional investors.

Analysts Set New Price Targets

A number of research analysts have weighed in on the stock. Weiss Ratings upgraded shares of Credit Acceptance from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, July 16th. Zacks Research lowered shares of Credit Acceptance from a “strong-buy” rating to a “hold” rating in a report on Wednesday, May 13th. Finally, TD Cowen lifted their price target on shares of Credit Acceptance from $575.00 to $600.00 and gave the stock a “hold” rating in a research note on Wednesday, August 5th. One investment analyst has rated the stock with a Buy rating and three have given a Hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $570.00.

Insider Activity

In other news, CFO Jay D. Martin sold 3,000 shares of the company’s stock in a transaction dated Wednesday, June 24th. The shares were sold at an average price of $601.04, for a total value of $1,803,120.00. Following the transaction, the chief financial officer directly owned 25,963 shares in the company, valued at approximately $15,604,801.52. This represents a 10.36% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, major shareholder Jill Foss Watson sold 11,000 shares of the company’s stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $653.24, for a total transaction of $7,185,640.00. Following the completion of the transaction, the insider owned 49,346 shares in the company, valued at approximately $32,234,781.04. The trade was a 18.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 44,289 shares of company stock valued at $27,525,241. Insiders own 6.10% of the company’s stock.

Credit Acceptance Trading Up 0.3%

Shares of NASDAQ CACC opened at $603.07 on Tuesday. Credit Acceptance Corporation has a fifty-two week low of $401.90 and a fifty-two week high of $668.86. The company has a debt-to-equity ratio of 3.84, a quick ratio of 14.89 and a current ratio of 14.89. The company has a market cap of $6.31 billion, a price-to-earnings ratio of 13.26 and a beta of 1.37. The business’s 50 day moving average price is $600.52 and its 200-day moving average price is $536.75.

Credit Acceptance (NASDAQ:CACC) last posted its quarterly earnings data on Tuesday, August 4th. The credit services provider reported $12.12 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $12.20 by ($0.08). The business had revenue of $415.00 million for the quarter, compared to analysts’ expectations of $588.07 million. Credit Acceptance had a net margin of 21.54% and a return on equity of 31.67%. Credit Acceptance’s revenue was up .6% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $10.05 EPS. On average, sell-side analysts expect that Credit Acceptance Corporation will post 47.8 earnings per share for the current year.

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.