Principal Financial Group Inc. Boosts Stake in Sonic Automotive, Inc. (NYSE:SAH)

Principal Financial Group Inc. raised its position in Sonic Automotive, Inc. (NYSE:SAH) by 2.6% during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 72,902 shares of the company’s stock after purchasing an additional 1,851 shares during the period. Principal Financial Group Inc. owned 0.22% of Sonic Automotive worth $4,152,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds and other institutional investors have also made changes to their positions in the company. Phocas Financial Corp. raised its position in Sonic Automotive by 86.6% during the fourth quarter. Phocas Financial Corp. now owns 116,343 shares of the company’s stock worth $7,370,000 after acquiring an additional 54,008 shares during the last quarter. Voloridge Investment Management LLC grew its position in shares of Sonic Automotive by 110.9% in the 4th quarter. Voloridge Investment Management LLC now owns 69,766 shares of the company’s stock worth $4,420,000 after acquiring an additional 36,691 shares in the last quarter. HITE Hedge Asset Management LLC grew its stake in Sonic Automotive by 105.2% during the 4th quarter. HITE Hedge Asset Management LLC now owns 58,526 shares of the company’s stock worth $3,708,000 after buying an additional 30,002 shares during the last quarter. JPMorgan Chase & Co. raised its stake in Sonic Automotive by 52.1% during the 4th quarter. JPMorgan Chase & Co. now owns 80,957 shares of the company’s stock valued at $5,129,000 after acquiring an additional 27,726 shares in the last quarter. Finally, Balyasny Asset Management L.P. bought a new stake in Sonic Automotive during the fourth quarter worth approximately $1,341,000. Institutional investors and hedge funds own 46.92% of the company’s stock.

Sonic Automotive Stock Down 10.6%

Shares of SAH stock opened at $76.17 on Friday. Sonic Automotive, Inc. has a twelve month low of $52.00 and a twelve month high of $89.62. The company has a current ratio of 1.09, a quick ratio of 0.38 and a debt-to-equity ratio of 1.67. The stock has a 50 day moving average of $76.31 and a 200 day moving average of $68.86. The stock has a market cap of $2.59 billion, a P/E ratio of 10.85, a P/E/G ratio of 0.75 and a beta of 1.04.

Sonic Automotive (NYSE:SAH) last posted its earnings results on Thursday, April 24th. The company reported $1.48 EPS for the quarter, beating the consensus estimate of $1.46 by $0.02. Sonic Automotive had a return on equity of 19.42% and a net margin of 1.69%. The firm had revenue of $3.65 billion for the quarter, compared to analyst estimates of $3.47 billion. During the same quarter in the prior year, the company posted $1.36 earnings per share. Sonic Automotive’s revenue for the quarter was up 7.9% compared to the same quarter last year. As a group, sell-side analysts expect that Sonic Automotive, Inc. will post 6.14 EPS for the current year.

Sonic Automotive Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, July 15th. Stockholders of record on Friday, June 13th were given a $0.35 dividend. This represents a $1.40 annualized dividend and a dividend yield of 1.84%. The ex-dividend date was Friday, June 13th. Sonic Automotive’s payout ratio is currently 19.94%.

Insider Activity at Sonic Automotive

In related news, President Jeff Dyke sold 576 shares of Sonic Automotive stock in a transaction on Monday, June 2nd. The shares were sold at an average price of $70.02, for a total value of $40,331.52. Following the completion of the sale, the president owned 605,393 shares in the company, valued at approximately $42,389,617.86. The trade was a 0.10% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. In the last quarter, insiders sold 50,000 shares of company stock worth $3,502,062. Company insiders own 42.65% of the company’s stock.

Wall Street Analyst Weigh In

Several brokerages recently weighed in on SAH. Stephens lowered shares of Sonic Automotive from an “overweight” rating to an “equal weight” rating and raised their price objective for the company from $72.00 to $82.00 in a research report on Thursday. Citigroup began coverage on shares of Sonic Automotive in a report on Wednesday, April 23rd. They issued a “neutral” rating and a $64.00 target price on the stock. Benchmark began coverage on shares of Sonic Automotive in a research note on Wednesday, May 28th. They issued a “buy” rating and a $76.00 target price for the company. Bank of America lifted their price target on Sonic Automotive from $80.00 to $94.00 and gave the company a “buy” rating in a research note on Monday, June 16th. Finally, Needham & Company LLC reduced their target price on Sonic Automotive from $93.00 to $74.00 and set a “buy” rating for the company in a research note on Thursday, April 24th. One research analyst has rated the stock with a sell rating, three have given a hold rating, four have given a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $74.29.

About Sonic Automotive

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.