Credit Acceptance (NASDAQ:CACC) Share Price Crosses Above 200 Day Moving Average – Here’s What Happened

Credit Acceptance Corporation (NASDAQ:CACC) crossed above its 200-day moving average during trading on Tuesday . The stock has a 200-day moving average of $533.82 and traded as high as $579.60. Credit Acceptance shares last traded at $570.54, with a volume of 86,479 shares trading hands.

Analyst Ratings Changes

Several brokerages have recently commented on CACC. TD Cowen increased their price objective on Credit Acceptance from $575.00 to $600.00 and gave the company a “hold” rating in a research report on Wednesday, August 5th. Weiss Ratings upgraded Credit Acceptance from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, July 16th. Finally, Zacks Research lowered 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 issued a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $570.00.

Credit Acceptance Trading Down 0.4%

The firm has a 50-day moving average of $597.59 and a 200-day moving average of $533.82. The company has a debt-to-equity ratio of 3.84, a quick ratio of 14.89 and a current ratio of 14.89. The firm has a market capitalization of $5.97 billion, a P/E ratio of 12.54 and a beta of 1.37.

Credit Acceptance (NASDAQ:CACC) last announced its quarterly earnings data on Tuesday, August 4th. The credit services provider reported $12.12 earnings per share for the quarter, missing the consensus estimate of $12.20 by ($0.08). The company had revenue of $415.00 million during 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 business’s revenue for the quarter was up .6% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $10.05 EPS. On average, equities research analysts anticipate that Credit Acceptance Corporation will post 47.8 EPS for the current fiscal year.

Insider Buying and Selling

In other Credit Acceptance news, insider Nicholas J. Elliott sold 3,487 shares of the stock in a transaction on Wednesday, June 24th. The shares were sold at an average price of $601.01, for a total transaction of $2,095,721.87. Following the completion of the sale, the insider owned 20,897 shares of the company’s stock, valued at $12,559,305.97. This represents a 14.30% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Erin J. Kerber sold 8,656 shares of the firm’s stock in a transaction on Wednesday, June 24th. The stock was sold at an average price of $600.94, for a total transaction of $5,201,736.64. Following the completion of the sale, the insider directly owned 25,711 shares in the company, valued at approximately $15,450,768.34. This trade represents a 25.19% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 44,289 shares of company stock valued at $27,525,241 over the last quarter. Company insiders own 6.10% of the company’s stock.

Hedge Funds Weigh In On Credit Acceptance

Several hedge funds and other institutional investors have recently modified their holdings of CACC. Altshuler Shaham Ltd boosted its holdings in shares of Credit Acceptance by 37.3% during the first quarter. Altshuler Shaham Ltd now owns 70 shares of the credit services provider’s stock worth $30,000 after purchasing an additional 19 shares during the period. Pictet Asset Management Holding SA grew its stake in shares of Credit Acceptance by 2.1% in the first quarter. Pictet Asset Management Holding SA now owns 990 shares of the credit services provider’s stock worth $419,000 after purchasing an additional 20 shares during the last quarter. Rockefeller Capital Management L.P. increased its holdings in Credit Acceptance by 53.3% during 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 during the period. Janney Montgomery Scott LLC increased its holdings in Credit Acceptance by 4.6% during the 4th quarter. Janney Montgomery Scott LLC now owns 571 shares of the credit services provider’s stock valued at $253,000 after purchasing an additional 25 shares during the period. Finally, Cetera Investment Advisers raised its position in Credit Acceptance by 6.3% during the 4th quarter. Cetera Investment Advisers now owns 508 shares of the credit services provider’s stock valued at $225,000 after purchasing an additional 30 shares during the last quarter. 81.71% of the stock is owned by institutional investors.

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.