Squarepoint Ops LLC Cuts Stake in Credit Acceptance Corporation $CACC

Squarepoint Ops LLC cut its position in Credit Acceptance Corporation (NASDAQ:CACC) by 17.1% in the 2nd quarter, according to its most recent disclosure with the SEC. The fund owned 45,167 shares of the credit services provider’s stock after selling 9,293 shares during the period. Squarepoint Ops LLC’s holdings in Credit Acceptance were worth $28,760,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also recently made changes to their positions in the company. California State Teachers Retirement System raised its stake in shares of Credit Acceptance by 62,332.4% in the second quarter. California State Teachers Retirement System now owns 3,938,237 shares of the credit services provider’s stock worth $2,507,633,000 after purchasing an additional 3,931,929 shares during the last quarter. BlackRock Inc. purchased a new stake in shares of Credit Acceptance during the second quarter valued at $408,849,000. Boston Partners bought a new stake in Credit Acceptance in the 3rd quarter worth about $206,327,000. Goodnow Investment Group LLC purchased a new position in Credit Acceptance in the 2nd quarter worth about $67,578,000. Finally, Smith Thomas W purchased a new position in Credit Acceptance in the 4th quarter worth about $42,083,000. Institutional investors own 81.71% of the company’s stock.

Insider Buying and Selling at Credit Acceptance

In other Credit Acceptance news, major shareholder Jill Watson sold 11,000 shares of the firm’s stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $653.24, for a total transaction of $7,185,640.00. Following the completion of the transaction, the insider owned 49,346 shares in the company, valued at $32,234,781.04. This trade represents a 18.23% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, insider Erin J. Kerber sold 5,720 shares of the company’s stock in a transaction that occurred on Friday, June 26th. The stock was sold at an average price of $629.80, for a total value of $3,602,456.00. Following the sale, the insider directly owned 25,711 shares in the company, valued at $16,192,787.80. This trade represents a 18.20% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 44,289 shares of company stock worth $27,525,241. Insiders own 6.10% of the company’s stock.

Credit Acceptance Price Performance

Shares of Credit Acceptance stock opened at $593.78 on Wednesday. Credit Acceptance Corporation has a one year low of $401.90 and a one year high of $668.86. The stock’s fifty day moving average is $600.61 and its 200 day moving average is $544.62. The stock has a market cap of $6.21 billion, a P/E ratio of 13.06 and a beta of 1.35. The company has a debt-to-equity ratio of 3.84, a quick ratio of 14.89 and a current ratio of 14.89.

Credit Acceptance (NASDAQ:CACC) last announced its quarterly earnings data on Tuesday, August 4th. The credit services provider reported $12.12 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $12.20 by ($0.08). The company had revenue of $415.00 million for the quarter, compared to the consensus estimate of $588.07 million. Credit Acceptance had a net margin of 21.54% and a return on equity of 31.67%. The company’s revenue was up .6% compared to the same quarter last year. During the same quarter last year, the firm posted $10.05 earnings per share. Sell-side analysts anticipate that Credit Acceptance Corporation will post 47.8 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of brokerages recently weighed in on CACC. Weiss Ratings upgraded shares of Credit Acceptance from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, July 16th. TD Cowen lifted their target price on shares of Credit Acceptance from $575.00 to $600.00 and gave the stock a “hold” rating in a research report on Wednesday, August 5th. Finally, Zacks Research lowered shares of Credit Acceptance from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, May 13th. One investment analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat.com, Credit Acceptance presently has a consensus rating of “Hold” and an average price target of $570.00.

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.