Credit Acceptance Corporation $CACC Shares Sold by Smead Capital Management Inc.

Smead Capital Management Inc. reduced its position in Credit Acceptance Corporation (NASDAQ:CACC) by 7.1% in the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 201,402 shares of the credit services provider’s stock after selling 15,409 shares during the quarter. Credit Acceptance makes up about 1.8% of Smead Capital Management Inc.’s investment portfolio, making the stock its 24th biggest holding. Smead Capital Management Inc.’s holdings in Credit Acceptance were worth $94,040,000 at the end of the most recent reporting period.

A number of other large investors also recently bought and sold shares of the company. Allianz Asset Management GmbH raised its holdings in shares of Credit Acceptance by 21.3% during the third quarter. Allianz Asset Management GmbH now owns 29,095 shares of the credit services provider’s stock worth $13,585,000 after purchasing an additional 5,107 shares during the period. Universal Beteiligungs und Servicegesellschaft mbH boosted its holdings in shares of Credit Acceptance by 16.9% in the 3rd quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 23,575 shares of the credit services provider’s stock valued at $11,008,000 after buying an additional 3,400 shares during the period. Envestnet Asset Management Inc. grew its position in shares of Credit Acceptance by 6.8% during the 2nd quarter. Envestnet Asset Management Inc. now owns 32,407 shares of the credit services provider’s stock valued at $16,509,000 after buying an additional 2,056 shares during the last quarter. SG Americas Securities LLC raised its stake in Credit Acceptance by 430.3% during the third quarter. SG Americas Securities LLC now owns 2,418 shares of the credit services provider’s stock worth $1,129,000 after acquiring an additional 1,962 shares during the period. Finally, Global Retirement Partners LLC acquired a new stake in Credit Acceptance during the second quarter worth about $438,000. Institutional investors own 81.71% of the company’s stock.

Insider Activity at Credit Acceptance

In related news, CFO Jay D. Martin sold 4,340 shares of the company’s stock in a transaction dated Monday, February 9th. The shares were sold at an average price of $512.55, for a total value of $2,224,467.00. Following the completion of the sale, the chief financial officer owned 25,963 shares of the company’s stock, valued at $13,307,335.65. This represents a 14.32% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Wendy A. Rummler sold 5,236 shares of the stock in a transaction dated Friday, January 30th. The shares were sold at an average price of $493.44, for a total transaction of $2,583,651.84. Following the completion of the transaction, the insider owned 20,772 shares of the company’s stock, valued at $10,249,735.68. This represents a 20.13% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 11,576 shares of company stock worth $5,824,119 over the last ninety days. 6.60% of the stock is currently owned by corporate insiders.

Credit Acceptance Stock Performance

Shares of NASDAQ CACC opened at $495.34 on Friday. Credit Acceptance Corporation has a 12-month low of $401.90 and a 12-month high of $549.75. The company has a market cap of $5.32 billion, a PE ratio of 13.57 and a beta of 1.27. The stock has a 50 day simple moving average of $470.13 and a 200-day simple moving average of $474.50. The company has a current ratio of 16.91, a quick ratio of 15.81 and a debt-to-equity ratio of 4.10.

Credit Acceptance (NASDAQ:CACC) last announced its earnings results on Thursday, January 29th. The credit services provider reported $11.35 earnings per share for the quarter, beating the consensus estimate of $10.30 by $1.05. Credit Acceptance had a return on equity of 28.86% and a net margin of 18.29%.The firm had revenue of $408.20 million for the quarter, compared to the consensus estimate of $582.63 million. During the same quarter in the previous year, the business earned $10.17 EPS. The firm’s revenue for the quarter was up 2.5% on a year-over-year basis. On average, equities research analysts forecast that Credit Acceptance Corporation will post 53.24 EPS for the current year.

Wall Street Analyst Weigh In

A number of equities analysts have commented on CACC shares. TD Cowen lifted their target price on Credit Acceptance from $460.00 to $470.00 and gave the company a “hold” rating in a research note on Friday, January 30th. Weiss Ratings reissued a “hold (c)” rating on shares of Credit Acceptance in a report on Wednesday, January 21st. Finally, Zacks Research upgraded Credit Acceptance from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, February 3rd. One investment analyst has rated the stock with a Strong Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, Credit Acceptance currently has an average rating of “Moderate Buy” and a consensus target price of $470.00.

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.