Credit Acceptance (NASDAQ:CACC) COO Jonathan Lum Sells 6,000 Shares of Stock

Credit Acceptance Corporation (NASDAQ:CACC) COO Jonathan Lum sold 6,000 shares of Credit Acceptance stock in a transaction that occurred on Wednesday, June 24th. The shares were sold at an average price of $600.00, for a total transaction of $3,600,000.00. Following the sale, the chief operating officer owned 31,609 shares of the company’s stock, valued at approximately $18,965,400. The trade was a 15.95% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Jonathan Lum also recently made the following trade(s):

• On Monday, April 20th, Jonathan Lum sold 3,000 shares of Credit Acceptance stock. The shares were sold at an average price of $535.00, for a total transaction of $1,605,000.00.

Credit Acceptance Stock Up 0.9%

NASDAQ:CACC opened at $629.62 on Friday. The company has a debt-to-equity ratio of 4.09, a current ratio of 13.62 and a quick ratio of 13.62. The company’s fifty day moving average price is $548.53 and its 200-day moving average price is $495.82. Credit Acceptance Corporation has a 1-year low of $401.90 and a 1-year high of $638.55. The firm has a market capitalization of $6.59 billion, a P/E ratio of 15.65 and a beta of 1.38.

Credit Acceptance (NASDAQ:CACC) last posted its earnings results on Tuesday, May 5th. The credit services provider reported $10.71 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates 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 analyst estimates of $580.77 million. During the same quarter in the prior year, the firm earned $9.35 earnings per share. The company’s revenue for the quarter was up 1.6% on a year-over-year basis. As a group, equities research analysts anticipate that Credit Acceptance Corporation will post 47.5 EPS for the current year.

Analysts Set New Price Targets

Several brokerages have recently issued reports on CACC. Stephens boosted their price objective on Credit Acceptance from $450.00 to $540.00 and gave the company an “equal weight” rating in a report on Friday, April 17th. TD Cowen lifted their price target on Credit Acceptance from $450.00 to $500.00 and gave the company a “hold” rating in a research report on Wednesday, May 6th. Zacks Research downgraded Credit Acceptance from a “strong-buy” rating to a “hold” rating in a report on Wednesday, May 13th. Finally, Weiss Ratings upgraded Credit Acceptance from a “hold (c)” rating to a “hold (c+)” rating in a research report on Friday, May 8th. Four investment analysts have rated the stock with a Hold rating, Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $520.00.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. State of Wyoming acquired a new position in shares of Credit Acceptance in the fourth quarter worth about $27,000. Kestra Advisory Services LLC acquired a new stake in shares of Credit Acceptance during the 4th quarter valued at about $27,000. Parallel Advisors LLC increased its stake in shares of Credit Acceptance by 590.0% in the 1st quarter. Parallel Advisors LLC now owns 69 shares of the credit services provider’s stock valued at $29,000 after purchasing an additional 59 shares in the last quarter. Altshuler Shaham Ltd increased its stake in shares of Credit Acceptance by 37.3% in the 1st quarter. Altshuler Shaham Ltd now owns 70 shares of the credit services provider’s stock valued at $30,000 after purchasing an additional 19 shares in the last quarter. Finally, Rockefeller Capital Management L.P. increased its stake in shares of Credit Acceptance by 53.3% in the 4th quarter. Rockefeller Capital Management L.P. now owns 69 shares of the credit services provider’s stock valued at $31,000 after purchasing an additional 24 shares in the last quarter. Hedge funds and other institutional investors own 81.71% of the company’s stock.

Credit Acceptance Company Profile

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.