TD Cowen Trims Credit Acceptance (NASDAQ:CACC) Target Price to $420.00

Credit Acceptance (NASDAQ:CACC) had its target price reduced by research analysts at TD Cowen from $465.00 to $420.00 in a research note issued to investors on Thursday, Benzinga reports. The firm currently has a “sell” rating on the credit services provider’s stock. TD Cowen’s price objective points to a potential downside of 17.04% from the company’s current price.

Separately, StockNews.com upgraded shares of Credit Acceptance from a “hold” rating to a “buy” rating in a research report on Wednesday, February 28th. One analyst has rated the stock with a sell rating, two have given a hold rating and one has given a buy rating to the company. According to data from MarketBeat, Credit Acceptance presently has a consensus rating of “Hold” and an average target price of $402.33.

Credit Acceptance Stock Performance

Shares of NASDAQ CACC traded up $5.12 during trading hours on Thursday, reaching $506.28. 50,001 shares of the stock were exchanged, compared to its average volume of 63,271. The stock’s fifty day simple moving average is $542.73 and its 200 day simple moving average is $510.16. The firm has a market capitalization of $6.13 billion, a price-to-earnings ratio of 25.98 and a beta of 1.44. Credit Acceptance has a 52 week low of $379.77 and a 52 week high of $616.66. The company has a debt-to-equity ratio of 3.29, a quick ratio of 15.71 and a current ratio of 13.79.

Credit Acceptance (NASDAQ:CACC) last posted its quarterly earnings data on Tuesday, April 30th. The credit services provider reported $9.28 earnings per share for the quarter, topping the consensus estimate of $6.81 by $2.47. The firm had revenue of $508.00 million for the quarter, compared to analysts’ expectations of $497.71 million. Credit Acceptance had a return on equity of 30.70% and a net margin of 12.83%. The company’s quarterly revenue was up 11.9% compared to the same quarter last year. During the same quarter last year, the business earned $9.71 EPS. Sell-side analysts predict that Credit Acceptance will post 40.95 EPS for the current year.

Insider Buying and Selling

In related news, insider Douglas W. Busk sold 2,500 shares of the company’s stock in a transaction dated Thursday, March 21st. The shares were sold at an average price of $572.58, for a total transaction of $1,431,450.00. Following the completion of the sale, the insider now owns 3,112 shares of the company’s stock, valued at $1,781,868.96. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 4.20% of the stock is owned by company insiders.

Institutional Investors Weigh In On Credit Acceptance

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Whittier Trust Co. acquired a new position in shares of Credit Acceptance during the 4th quarter worth $74,000. National Bank of Canada FI raised its stake in Credit Acceptance by 242.3% during the fourth quarter. National Bank of Canada FI now owns 243 shares of the credit services provider’s stock worth $131,000 after acquiring an additional 172 shares in the last quarter. Harbor Capital Advisors Inc. boosted its stake in shares of Credit Acceptance by 15.8% in the 4th quarter. Harbor Capital Advisors Inc. now owns 338 shares of the credit services provider’s stock valued at $180,000 after purchasing an additional 46 shares in the last quarter. Panagora Asset Management Inc. bought a new stake in shares of Credit Acceptance during the 4th quarter valued at approximately $210,000. Finally, Beacon Pointe Advisors LLC acquired a new position in Credit Acceptance during the 4th quarter worth approximately $211,000. 81.71% of the stock is currently owned by institutional investors.

About Credit Acceptance

Credit Acceptance Corporation engages in the provision of financing programs, and related products and services in the United States. The company advances money to automobile dealers in exchange for the right to service the underlying consumer loans; and buys the consumer loans from the dealers and keeps the amount collected from the consumers.