Insider Buying: Sonic Automotive (NYSE:SAH) Major Shareholder Acquires $67,028.10 in Stock

Sonic Automotive, Inc. (NYSE:SAH) major shareholder Paul Rusnak bought 1,119 shares of Sonic Automotive stock in a transaction on Tuesday, October 6th. The stock was purchased at an average price of $59.90 per share, with a total value of $67,028.10. Following the completion of the acquisition, the insider directly owned 5,150,520 shares of the company’s stock, valued at $308,516,148. This represents a 0.02% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Large shareholders that own at least 10% of a company’s shares are required to disclose their sales and purchases with the SEC.

Sonic Automotive Stock Down 1.9%

NYSE:SAH opened at $60.35 on Friday. The company has a debt-to-equity ratio of 1.88, a quick ratio of 0.25 and a current ratio of 1.01. The stock has a market capitalization of $1.91 billion, a P/E ratio of 9.63, a P/E/G ratio of 1.00 and a beta of 0.92. The company’s 50-day simple moving average is $73.63 and its 200-day simple moving average is $78.09. Sonic Automotive, Inc. has a fifty-two week low of $54.11 and a fifty-two week high of $113.67.

Sonic Automotive (NYSE:SAH) last posted its earnings results on Thursday, July 30th. The company reported $1.82 EPS for the quarter, beating analysts’ consensus estimates of $1.75 by $0.07. Sonic Automotive had a net margin of 1.37% and a return on equity of 20.75%. The company had revenue of $3.93 billion during the quarter, compared to analysts’ expectations of $3.78 billion. During the same quarter in the prior year, the company posted $2.19 earnings per share. Sonic Automotive’s revenue for the quarter was up 7.6% compared to the same quarter last year. On average, equities analysts anticipate that Sonic Automotive, Inc. will post 6.81 earnings per share for the current fiscal year.

Sonic Automotive Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Investors of record on Tuesday, September 15th will be given a dividend of $0.41 per share. This represents a $1.64 annualized dividend and a yield of 2.7%. The ex-dividend date of this dividend is Tuesday, September 15th. Sonic Automotive’s dividend payout ratio is currently 26.16%.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on SAH. UBS Group cut their price objective on shares of Sonic Automotive from $107.00 to $74.00 and set a “buy” rating on the stock in a report on Wednesday. Bank of America raised their price target on shares of Sonic Automotive from $91.00 to $108.00 and gave the stock a “buy” rating in a report on Thursday, July 9th. Barclays dropped their price objective on shares of Sonic Automotive from $87.00 to $75.00 and set an “equal weight” rating on the stock in a report on Tuesday. Morgan Stanley reduced their target price on Sonic Automotive from $72.00 to $57.00 and set an “underweight” rating for the company in a research note on Monday, October 5th. Finally, Needham & Company LLC lifted their price target on Sonic Automotive from $90.00 to $139.00 and gave the stock a “buy” rating in a research report on Friday, July 31st. Five research analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $90.12.

Institutional Trading of Sonic Automotive

Several institutional investors and hedge funds have recently bought and sold shares of the business. A&I Financial Services LLC boosted its holdings in shares of Sonic Automotive by 0.9% in the 2nd quarter. A&I Financial Services LLC now owns 11,755 shares of the company’s stock valued at $997,000 after acquiring an additional 109 shares during the last quarter. CoreCap Advisors LLC raised its holdings in shares of Sonic Automotive by 15.5% during the third quarter. CoreCap Advisors LLC now owns 1,550 shares of the company’s stock worth $94,000 after purchasing an additional 208 shares during the last quarter. Northwestern Mutual Wealth Management Co. lifted its position in Sonic Automotive by 14.5% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 4,594 shares of the company’s stock valued at $390,000 after purchasing an additional 582 shares during the period. Ameritas Advisory Services LLC purchased a new stake in Sonic Automotive in the second quarter valued at $88,000. Finally, State of Wyoming purchased a new stake in Sonic Automotive in the first quarter valued at $79,000. 46.92% of the stock is currently owned by institutional investors and hedge funds.

Sonic Automotive Company Profile

Sonic Automotive, Inc is an automotive retailer headquartered in Charlotte, North Carolina. The company operates franchised dealerships that sell new and used cars and light trucks from a range of manufacturers, along with related automotive products and services.

Its dealership operations provide vehicle financing and insurance products, parts and maintenance services, collision repair, and other after-sales support. Sonic Automotive also operates EchoPark Automotive, a used-vehicle retail business focused on providing a broad selection of pre-owned vehicles and related services.

Founded in 1997 by automotive entrepreneur O.