Sonic Automotive (NYSE:SAH) Rating Lowered to Equal Weight at Stephens

Sonic Automotive (NYSE:SAH) was downgraded by analysts at Stephens from an “overweight” rating to an “equal weight” rating in a note issued to investors on Thursday, Marketbeat Ratings reports. They currently have a $82.00 price target on the stock, up from their previous price target of $72.00. Stephens’ price target points to a potential upside of 6.67% from the company’s current price.

A number of other research firms have also commented on SAH. Benchmark began coverage on shares of Sonic Automotive in a research report on Wednesday, May 28th. They issued a “buy” rating and a $76.00 price objective for the company. Wall Street Zen lowered shares of Sonic Automotive from a “strong-buy” rating to a “buy” rating in a research report on Saturday, June 21st. Needham & Company LLC lowered their target price on shares of Sonic Automotive from $93.00 to $74.00 and set a “buy” rating on the stock in a research note on Thursday, April 24th. Bank of America raised their target price on shares of Sonic Automotive from $80.00 to $94.00 and gave the company a “buy” rating in a research note on Monday, June 16th. Finally, JPMorgan Chase & Co. lowered their target price on shares of Sonic Automotive from $80.00 to $65.00 and set an “overweight” rating on the stock in a research note on Thursday, March 27th. One investment analyst has rated the stock with a sell rating, three have given a hold rating, four have issued a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, Sonic Automotive presently has an average rating of “Moderate Buy” and an average price target of $74.29.

Sonic Automotive Price Performance

SAH stock opened at $76.87 on Thursday. The firm has a 50 day moving average of $76.55 and a 200-day moving average of $68.95. The company has a current ratio of 1.09, a quick ratio of 0.38 and a debt-to-equity ratio of 1.67. Sonic Automotive has a 12 month low of $52.00 and a 12 month high of $89.62. The firm has a market capitalization of $2.61 billion, a P/E ratio of 10.95, a price-to-earnings-growth ratio of 0.67 and a beta of 1.04.

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

Insider Activity at Sonic Automotive

In other Sonic Automotive news, President Jeff Dyke sold 31,152 shares of Sonic Automotive stock in a transaction that occurred on Friday, May 30th. The shares were sold at an average price of $70.05, for a total transaction of $2,182,197.60. Following the transaction, the president directly owned 605,969 shares of the company’s stock, valued at approximately $42,448,128.45. This trade represents a 4.89% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Insiders have sold 50,000 shares of company stock worth $3,502,062 over the last quarter. Company insiders own 42.65% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Janney Montgomery Scott LLC purchased a new position in shares of Sonic Automotive during the second quarter worth approximately $2,202,000. State of Alaska Department of Revenue raised its stake in shares of Sonic Automotive by 6.4% during the second quarter. State of Alaska Department of Revenue now owns 8,622 shares of the company’s stock worth $688,000 after acquiring an additional 517 shares in the last quarter. Harrell Investment Partners LLC purchased a new position in shares of Sonic Automotive during the second quarter worth approximately $240,000. Counterpoint Mutual Funds LLC purchased a new position in shares of Sonic Automotive during the second quarter worth approximately $360,000. Finally, Oliver Luxxe Assets LLC increased its stake in shares of Sonic Automotive by 0.9% in the second quarter. Oliver Luxxe Assets LLC now owns 23,141 shares of the company’s stock worth $1,850,000 after buying an additional 205 shares during the period. 46.92% of the stock is owned by hedge funds and other institutional investors.

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.