Credit Acceptance (NASDAQ:CACC) Major Shareholder Sells $7,185,640.00 in Stock

Credit Acceptance Corporation (NASDAQ:CACC) major shareholder Jill Foss Watson sold 11,000 shares of the firm’s stock in a transaction on Thursday, July 2nd. The stock was sold at an average price of $653.24, for a total value of $7,185,640.00. Following the completion of the sale, the insider directly owned 49,346 shares of the company’s stock, valued at $32,234,781.04. This represents a 18.23% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Major shareholders that own 10% or more of a company’s stock are required to disclose their transactions with the SEC.

Jill Foss Watson also recently made the following trade(s):

• On Tuesday, April 21st, Jill Foss Watson sold 9,450 shares of Credit Acceptance stock. The stock was sold at an average price of $538.52, for a total value of $5,089,014.00.

Credit Acceptance Stock Performance

CACC traded down $10.62 during trading hours on Tuesday, hitting $646.58. The stock had a trading volume of 145,093 shares, compared to its average volume of 190,460. The company’s fifty day simple moving average is $563.96 and its 200 day simple moving average is $503.80. Credit Acceptance Corporation has a 1 year low of $401.90 and a 1 year high of $668.86. The stock has a market cap of $6.76 billion, a PE ratio of 16.07 and a beta of 1.36. The company has a quick ratio of 13.62, a current ratio of 13.62 and a debt-to-equity ratio of 4.09.

Credit Acceptance (NASDAQ:CACC) last released its quarterly earnings data on Tuesday, May 5th. The credit services provider reported $10.71 EPS for the quarter, missing the consensus estimate of $10.73 by ($0.02). Credit Acceptance had a net margin of 19.49% and a return on equity of 29.95%. The business had revenue of $406.00 million for the quarter, compared to analysts’ expectations of $580.77 million. During the same period last year, the company earned $9.35 earnings per share. Credit Acceptance’s revenue for the quarter was up 1.6% compared to the same quarter last year. Equities analysts anticipate that Credit Acceptance Corporation will post 47.5 earnings per share for the current year.

Analysts Set New Price Targets

CACC has been the subject of a number of recent research reports. TD Cowen lifted their price objective on shares of Credit Acceptance from $500.00 to $575.00 and gave the company a “hold” rating in a research note on Tuesday. Stephens raised their price target on Credit Acceptance from $450.00 to $540.00 and gave the stock an “equal weight” rating in a report on Friday, April 17th. Zacks Research cut Credit Acceptance from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, May 13th. Finally, Weiss Ratings upgraded Credit Acceptance from a “hold (c)” rating to a “hold (c+)” rating in a research note on Friday, May 8th. Four equities research analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, Credit Acceptance has an average rating of “Hold” and an average target price of $557.50.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. M&T Bank Corp bought a new position in shares of Credit Acceptance in the fourth quarter worth $208,294,000. Boston Partners boosted its stake in Credit Acceptance by 3.4% during the fourth quarter. Boston Partners now owns 456,253 shares of the credit services provider’s stock valued at $202,373,000 after buying an additional 14,877 shares during the period. Dimensional Fund Advisors LP grew its position in Credit Acceptance by 3.1% during the first quarter. Dimensional Fund Advisors LP now owns 230,715 shares of the credit services provider’s stock worth $97,701,000 after buying an additional 6,843 shares in the last quarter. Smead Capital Management Inc. grew its position in Credit Acceptance by 17.0% during the second quarter. Smead Capital Management Inc. now owns 216,811 shares of the credit services provider’s stock worth $110,450,000 after buying an additional 31,438 shares in the last quarter. Finally, Universal Beteiligungs und Servicegesellschaft mbH increased its stake in Credit Acceptance by 764.8% in the 4th quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 203,879 shares of the credit services provider’s stock worth $91,652,000 after acquiring an additional 180,304 shares during the last quarter. 81.71% of the stock is owned by institutional investors.

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.