Jill Foss Watson Sells 9,450 Shares of Credit Acceptance (NASDAQ:CACC) Stock

Credit Acceptance Corporation (NASDAQ:CACC) major shareholder Jill Foss Watson sold 9,450 shares of the firm’s stock in a transaction that occurred on Tuesday, April 21st. The shares were sold at an average price of $538.52, for a total transaction of $5,089,014.00. Following the completion of the sale, the insider owned 92,107 shares in the company, valued at $49,601,461.64. The trade was a 9.31% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Large shareholders that own more than 10% of a company’s stock are required to disclose their sales and purchases with the SEC.

Credit Acceptance Stock Performance

CACC opened at $517.75 on Friday. The company has a current ratio of 16.91, a quick ratio of 16.91 and a debt-to-equity ratio of 4.10. The business’s 50 day moving average is $473.98 and its 200-day moving average is $468.39. The stock has a market cap of $5.57 billion, a PE ratio of 14.18 and a beta of 1.32. Credit Acceptance Corporation has a twelve month low of $401.90 and a twelve month high of $549.75.

Credit Acceptance (NASDAQ:CACC) last issued its quarterly earnings data on Thursday, January 29th. The credit services provider reported $11.35 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $10.30 by $1.05. Credit Acceptance had a return on equity of 28.86% and a net margin of 18.29%.The business had revenue of $408.20 million during the quarter, compared to analyst estimates of $582.63 million. During the same period in the prior year, the company posted $10.17 EPS. The business’s revenue for the quarter was up 2.5% compared to the same quarter last year. On average, analysts predict that Credit Acceptance Corporation will post 47 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on CACC shares. Zacks Research raised shares of Credit Acceptance from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, February 3rd. TD Cowen boosted their target price on Credit Acceptance from $460.00 to $470.00 and gave the stock a “hold” rating in a report on Friday, January 30th. Weiss Ratings restated a “hold (c)” rating on shares of Credit Acceptance in a research report on Monday. Finally, Stephens increased their price target on Credit Acceptance from $450.00 to $540.00 and gave the company an “equal weight” rating in a research note on Friday, April 17th. One equities research analyst has rated the stock with a Strong Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $505.00.

Hedge Funds Weigh In On Credit Acceptance

Several large investors have recently made changes to their positions in CACC. Royal Bank of Canada raised its holdings in shares of Credit Acceptance by 31.6% in the 1st quarter. Royal Bank of Canada now owns 1,916 shares of the credit services provider’s stock worth $989,000 after purchasing an additional 460 shares in the last quarter. AQR Capital Management LLC boosted its holdings in Credit Acceptance by 230.6% during the first quarter. AQR Capital Management LLC now owns 7,885 shares of the credit services provider’s stock worth $3,961,000 after buying an additional 5,500 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in Credit Acceptance by 3.9% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 23,886 shares of the credit services provider’s stock worth $12,334,000 after buying an additional 900 shares in the last quarter. Creative Planning grew its position in Credit Acceptance by 35.6% in the second quarter. Creative Planning now owns 529 shares of the credit services provider’s stock worth $269,000 after buying an additional 139 shares during the last quarter. Finally, JPMorgan Chase & Co. increased its holdings in shares of Credit Acceptance by 4.8% in the second quarter. JPMorgan Chase & Co. now owns 5,077 shares of the credit services provider’s stock valued at $2,586,000 after buying an additional 232 shares in the last quarter. Institutional investors own 81.71% of the company’s stock.

About Credit Acceptance

Credit Acceptance Corporation, founded in 1972 and headquartered in Southfield, Michigan, is a specialty finance company focused on the indirect automotive lending market. The company partners with independent and franchised auto dealers to facilitate purchase financing for consumers who may not qualify for traditional prime auto loans. By purchasing retail installment contracts originated by these dealers, Credit Acceptance provides capital and credit insurance to support vehicle sales, enabling dealers to broaden their customer base and reduce credit risk.

Through its proprietary underwriting platform and risk management strategies, Credit Acceptance evaluates borrower applications, structures credit plans, and retains servicing rights on the acquired contracts.