Seaport Res Ptn Lowers Sonic Automotive (NYSE:SAH) to Neutral

Sonic Automotive (NYSE:SAH – Get Rating) was downgraded by equities research analysts at Seaport Res Ptn from a “buy” rating to a “neutral” rating in a research report issued on Friday, Zacks.com reports. Seaport Res Ptn also issued estimates for Sonic Automotive’s Q4 2022 earnings at $2.92 EPS, FY2022 earnings at $10.41 EPS and FY2023 earnings at $9.30 EPS.

Several other equities research analysts have also issued reports on the company. JPMorgan Chase & Co. lowered Sonic Automotive from an “overweight” rating to a “neutral” rating and dropped their price target for the stock from $70.00 to $57.00 in a research note on Thursday, April 7th. Morgan Stanley lifted their price objective on Sonic Automotive from $40.00 to $43.00 and gave the stock an “underweight” rating in a report on Tuesday, March 8th. Zacks Investment Research downgraded Sonic Automotive from a “strong-buy” rating to a “hold” rating and set a $52.00 price objective on the stock. in a report on Thursday, March 10th. Finally, StockNews.com downgraded Sonic Automotive from a “buy” rating to a “hold” rating in a report on Friday, April 8th. One research analyst has rated the stock with a sell rating and four have given a hold rating to the company’s stock. According to data from MarketBeat, Sonic Automotive has an average rating of “Hold” and a consensus price target of $50.67.

NYSE:SAH opened at $42.55 on Friday. The firm has a market capitalization of $1.71 billion, a price-to-earnings ratio of 5.27 and a beta of 2.20. Sonic Automotive has a 52-week low of $38.64 and a 52-week high of $58.00. The stock has a fifty day moving average of $46.44 and a 200 day moving average of $48.44. The company has a debt-to-equity ratio of 1.53, a quick ratio of 0.44 and a current ratio of 1.10.

Sonic Automotive (NYSE:SAH – Get Rating) last posted its quarterly earnings data on Thursday, April 28th. The company reported $2.33 earnings per share (EPS) for the quarter, missing the Thomson Reuters’ consensus estimate of $2.37 by ($0.04). Sonic Automotive had a net margin of 2.81% and a return on equity of 37.99%. The business had revenue of $3.59 billion for the quarter, compared to the consensus estimate of $3.70 billion. During the same period in the prior year, the business posted $1.23 EPS. Sonic Automotive’s quarterly revenue was up 28.7% on a year-over-year basis. Equities analysts forecast that Sonic Automotive will post 10.26 earnings per share for the current fiscal year.

In other news, major shareholder Paul P. Rusnak acquired 127,475 shares of the business’s stock in a transaction on Wednesday, April 6th. The shares were acquired at an average cost of $41.89 per share, with a total value of $5,339,927.75. Following the transaction, the insider now owns 5,000,000 shares in the company, valued at approximately $209,450,000. The acquisition was disclosed in a legal filing with the SEC, which is available at this link. Also, President Jeff Dyke sold 6,395 shares of Sonic Automotive stock in a transaction that occurred on Friday, March 4th. The shares were sold at an average price of $52.37, for a total value of $334,906.15. The disclosure for this sale can be found here. 36.07% of the stock is owned by insiders.

A number of institutional investors have recently bought and sold shares of the business. Capital Investment Advisory Services LLC boosted its position in Sonic Automotive by 4.7% during the 4th quarter. Capital Investment Advisory Services LLC now owns 4,482 shares of the company’s stock valued at $222,000 after acquiring an additional 200 shares in the last quarter. NorthCrest Asset Manangement LLC boosted its position in Sonic Automotive by 1.4% during the 1st quarter. NorthCrest Asset Manangement LLC now owns 18,000 shares of the company’s stock valued at $765,000 after acquiring an additional 250 shares in the last quarter. Counterpoint Mutual Funds LLC bought a new stake in Sonic Automotive during the 4th quarter valued at approximately $27,000. Dark Forest Capital Management LP bought a new stake in Sonic Automotive during the 3rd quarter valued at approximately $38,000. Finally, California State Teachers Retirement System boosted its position in shares of Sonic Automotive by 2.6% in the 4th quarter. California State Teachers Retirement System now owns 30,703 shares of the company’s stock worth $1,518,000 after purchasing an additional 775 shares in the last quarter. 56.65% of the stock is currently owned by institutional investors and hedge funds.

Sonic Automotive Company Profile (Get Rating)

Sonic Automotive, Inc operates as an automotive retailer in the United States. It operates in two segments, Franchised Dealerships and EchoPark. 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.

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