AutoCanada (TSE:ACQ) Lowered to "Hold" Rating by Canaccord Genuity Group

Key Points

• Canaccord Genuity downgraded AutoCanada from a "buy" to a "hold" and cut its price target from C$42 to C$22, a target the firm says implies roughly a 29% upside from the prior close.
• Shares fell about 15% to C$17 on heavy volume; the company reported C($0.06) EPS last quarter, has negative margins and a very high debt-to-equity ratio (~376), indicating financial strain.
• Analysts are mixed (three Buys, four Holds), with a consensus rating of Hold and a consensus price target of C$28.46.

AutoCanada (TSE:ACQ - Get Free Report) was downgraded by Canaccord Genuity Group from a "buy" rating to a "hold" rating in a research report issued on Thursday,BayStreet.CA reports. They currently have a C$22.00 price objective on the stock, down from their previous price objective of C$42.00. Canaccord Genuity Group's price objective indicates a potential upside of 29.41% from the company's previous close.

Other equities analysts also recently issued research reports about the stock. Royal Bank Of Canada lowered their target price on shares of AutoCanada from C$28.00 to C$18.00 in a research note on Thursday. National Bank Financial decreased their price target on AutoCanada from C$31.00 to C$29.00 and set an "outperform" rating for the company in a report on Monday, December 15th. ATB Cormark Capital Markets lowered their price objective on AutoCanada from C$25.00 to C$22.00 and set a "sector perform" rating for the company in a research report on Thursday. Acumen Capital boosted their price objective on AutoCanada from C$35.50 to C$39.25 and gave the company a "speculative buy" rating in a research note on Tuesday, January 27th. Finally, Canadian Imperial Bank of Commerce upped their target price on AutoCanada from C$30.00 to C$34.00 in a research report on Thursday, February 5th. Three investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of C$28.46.

AutoCanada Trading Down 15.0%

ACQ stock traded down C$3.01 during trading on Thursday, hitting C$17.00. The company had a trading volume of 336,948 shares, compared to its average volume of 64,532. The stock has a market cap of C$392.68 million, a PE ratio of -42.50, a PEG ratio of 0.30 and a beta of 1.76. The business has a 50-day moving average of C$25.77 and a 200-day moving average of C$26.26. The company has a current ratio of 1.09, a quick ratio of 0.25 and a debt-to-equity ratio of 376.45. AutoCanada has a one year low of C$14.00 and a one year high of C$35.48.

AutoCanada (TSE:ACQ - Get Free Report) last released its quarterly earnings results on Wednesday, March 18th. The company reported C($0.06) earnings per share (EPS) for the quarter. AutoCanada had a negative return on equity of 1.67% and a negative net margin of 0.18%.The firm had revenue of C$1.12 billion for the quarter. Research analysts predict that AutoCanada will post 2.4311927 earnings per share for the current fiscal year.

About AutoCanada

AutoCanada Inc operates car dealerships in Canada. The company offers new and used vehicles, spare parts, maintenance services, and customer financing. AutoCanada retails brands such as Chrysler, Dodge, Jeep, Ram, Cadillac, Chevrolet, Buick, GMC, Audi, Volkswagen, BMW, Mini, Infiniti, Nissan, Hyundai, Kia, Fiat, Mitsubishi, and Subaru. The majority of revenue is generated in the new-vehicles sales segment.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.