Sonic Automotive, Inc. (NYSE:SAH) Receives $83.71 Average PT from Brokerages

Sonic Automotive, Inc. (NYSE:SAH) has been assigned an average rating of “Moderate Buy” from the ten brokerages that are currently covering the company, MarketBeat reports. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating, three have assigned a buy rating and two have given a strong buy rating to the company. The average 12-month target price among analysts that have issued a report on the stock in the last year is $83.7143.

Several brokerages have recently issued reports on SAH. Needham & Company LLC reaffirmed a “buy” rating and set a $95.00 price target on shares of Sonic Automotive in a research note on Thursday, October 2nd. Stephens downgraded Sonic Automotive from an “overweight” rating to an “equal weight” rating and upped their price objective for the company from $72.00 to $82.00 in a report on Thursday, July 17th. Morgan Stanley upped their price objective on Sonic Automotive from $60.00 to $72.00 and gave the company an “equal weight” rating in a report on Thursday, August 14th. Weiss Ratings reiterated a “hold (c)” rating on shares of Sonic Automotive in a report on Wednesday, October 8th. Finally, Wall Street Zen downgraded Sonic Automotive from a “buy” rating to a “hold” rating in a report on Saturday, October 18th.

Institutional Investors Weigh In On Sonic Automotive

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SAH. Northwestern Mutual Wealth Management Co. increased its holdings in shares of Sonic Automotive by 992.5% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 437 shares of the company’s stock worth $35,000 after acquiring an additional 397 shares in the last quarter. Quarry LP bought a new stake in shares of Sonic Automotive in the first quarter worth about $84,000. CoreCap Advisors LLC bought a new stake in shares of Sonic Automotive in the third quarter worth about $109,000. Raymond James Financial Inc. bought a new stake in shares of Sonic Automotive in the second quarter worth about $168,000. Finally, Entropy Technologies LP bought a new stake in shares of Sonic Automotive in the second quarter worth about $208,000. Institutional investors own 46.92% of the company’s stock.

Sonic Automotive Trading Down 15.8%

Shares of SAH opened at $65.50 on Tuesday. The company has a quick ratio of 0.24, a current ratio of 1.03 and a debt-to-equity ratio of 1.78. 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 $2.24 billion, a PE ratio of 14.56 and a beta of 0.95. The stock’s fifty day simple moving average is $78.11 and its 200-day simple moving average is $74.09.

Sonic Automotive (NYSE:SAH) last issued its quarterly earnings results on Thursday, October 23rd. The company reported $1.41 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.82 by ($0.41). Sonic Automotive had a net margin of 1.07% and a return on equity of 21.40%. The firm had revenue of $3.97 billion for the quarter, compared to analyst estimates of $3.59 billion. During the same period last year, the company earned $1.26 EPS. The company’s revenue was up 13.8% compared to the same quarter last year. As a group, research analysts predict that Sonic Automotive will post 6.14 earnings per share for the current year.

Sonic Automotive Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, January 15th. Investors of record on Monday, December 15th will be issued a $0.38 dividend. This represents a $1.52 dividend on an annualized basis and a yield of 2.3%. The ex-dividend date is Monday, December 15th. Sonic Automotive’s dividend payout ratio is currently 33.78%.

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.