Sonic Automotive (NYSE:SAH) Raised to Strong-Buy at Seaport Res Ptn

Seaport Res Ptn upgraded shares of Sonic Automotive (NYSE:SAH) from a hold rating to a strong-buy rating in a research note released on Thursday,Zacks.com reports.

SAH has been the subject of several other research reports. Stephens started coverage on shares of Sonic Automotive in a research report on Thursday, September 12th. They set an “equal weight” rating and a $64.00 price target for the company. Bank of America dropped their target price on shares of Sonic Automotive from $67.00 to $66.00 and set a “buy” rating for the company in a research report on Monday, October 14th. JPMorgan Chase & Co. increased their target price on Sonic Automotive from $63.00 to $75.00 and gave the company an “overweight” rating in a research note on Tuesday, September 10th. Needham & Company LLC boosted their target price on Sonic Automotive from $73.00 to $74.00 and gave the stock a “buy” rating in a research report on Friday, October 25th. Finally, Morgan Stanley upgraded shares of Sonic Automotive from an “underweight” rating to an “equal weight” rating and increased their price target for the company from $40.00 to $58.00 in a research report on Wednesday, September 25th. Three equities research analysts have rated the stock with a hold rating, three have given a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, Sonic Automotive presently has a consensus rating of “Moderate Buy” and a consensus price target of $67.40.

Sonic Automotive Stock Up 5.3 %

Shares of SAH opened at $66.57 on Thursday. The business’s fifty day moving average price is $58.72 and its two-hundred day moving average price is $57.84. The firm has a market capitalization of $2.28 billion, a price-to-earnings ratio of 11.85 and a beta of 1.61. Sonic Automotive has a 52 week low of $47.82 and a 52 week high of $67.15. The company has a debt-to-equity ratio of 1.87, a quick ratio of 0.35 and a current ratio of 1.11.

Sonic Automotive (NYSE:SAH) last posted its quarterly earnings results on Thursday, October 24th. The company reported $1.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.43 by ($0.17). The firm had revenue of $3.49 billion during the quarter, compared to the consensus estimate of $3.55 billion. Sonic Automotive had a net margin of 1.41% and a return on equity of 21.27%. Sonic Automotive’s revenue was down 4.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.02 EPS. On average, analysts predict that Sonic Automotive will post 5.63 earnings per share for the current year.

Sonic Automotive Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, January 15th. Investors of record on Friday, December 13th will be paid a dividend of $0.35 per share. This represents a $1.40 dividend on an annualized basis and a yield of 2.10%. This is a boost from Sonic Automotive’s previous quarterly dividend of $0.30. The ex-dividend date of this dividend is Friday, December 13th. Sonic Automotive’s dividend payout ratio is presently 21.35%.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of SAH. Innealta Capital LLC bought a new stake in shares of Sonic Automotive during the second quarter worth $41,000. Point72 Asia Singapore Pte. Ltd. boosted its stake in Sonic Automotive by 100.3% in the 3rd quarter. Point72 Asia Singapore Pte. Ltd. now owns 1,196 shares of the company’s stock worth $70,000 after purchasing an additional 599 shares during the period. AM Squared Ltd bought a new position in Sonic Automotive during the 2nd quarter worth about $82,000. Point72 DIFC Ltd raised its stake in shares of Sonic Automotive by 6.9% in the 2nd quarter. Point72 DIFC Ltd now owns 2,900 shares of the company’s stock valued at $158,000 after purchasing an additional 187 shares during the period. Finally, Intech Investment Management LLC bought a new stake in shares of Sonic Automotive in the second quarter valued at about $228,000. Institutional investors own 46.92% of the company’s stock.

Sonic Automotive Company Profile

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.