Bank of America Corp DE Boosts Stock Position in Credit Acceptance Corporation $CACC

Bank of America Corp DE raised its stake in shares of Credit Acceptance Corporation (NASDAQ:CACC - Free Report) by 47.9% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 44,586 shares of the credit services provider's stock after purchasing an additional 14,439 shares during the period. Bank of America Corp DE owned 0.43% of Credit Acceptance worth $18,880,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also modified their holdings of the company. State of Alaska Department of Revenue acquired a new position in shares of Credit Acceptance during the 4th quarter worth $462,000. SG Americas Securities LLC increased its holdings in Credit Acceptance by 429.9% in the first quarter. SG Americas Securities LLC now owns 12,835 shares of the credit services provider's stock valued at $5,435,000 after buying an additional 10,413 shares in the last quarter. M&T Bank Corp acquired a new stake in shares of Credit Acceptance during the 4th quarter valued at approximately $208,294,000. Geo Capital Gestora de Recursos Ltd purchased a new stake in shares of Credit Acceptance during the 4th quarter worth approximately $1,842,000. Finally, Impact Partnership Wealth LLC acquired a new stake in shares of Credit Acceptance in the 4th quarter worth approximately $441,000. Hedge funds and other institutional investors own 81.71% of the company's stock.

Credit Acceptance Stock Up 2.2%

Shares of NASDAQ CACC opened at $583.05 on Thursday. The stock's 50-day simple moving average is $598.11 and its 200-day simple moving average is $534.75. Credit Acceptance Corporation has a 1 year low of $401.90 and a 1 year high of $668.86. The firm has a market cap of $6.10 billion, a price-to-earnings ratio of 12.82 and a beta of 1.37. 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 - Get Free Report) last issued its earnings results 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). Credit Acceptance had a return on equity of 31.67% and a net margin of 21.54%.The business had revenue of $415.00 million during the quarter, compared to the consensus estimate of $588.07 million. During the same period in the prior year, the business earned $10.05 EPS. The business's revenue was up .6% on a year-over-year basis. As a group, equities analysts anticipate that Credit Acceptance Corporation will post 47.8 earnings per share for the current fiscal year.

Analyst Ratings Changes

A number of research analysts have recently weighed in on CACC shares. Weiss Ratings upgraded 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 report on Wednesday, May 13th. One analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat.com, Credit Acceptance currently has an average rating of "Hold" and an average price target of $570.00.

Insider Buying and Selling

In related news, major shareholder Jill Foss Watson sold 11,000 shares of the firm's stock in a transaction on Thursday, July 2nd. The shares were sold at an average price of $653.24, for a total value of $7,185,640.00. Following the transaction, the insider directly owned 49,346 shares in the company, valued at approximately $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 Nicholas J. Elliott sold 2,306 shares of the company's stock in a transaction on Friday, June 26th. The shares were sold at an average price of $629.99, for a total value of $1,452,756.94. Following the completion of the transaction, the insider owned 20,897 shares of the company's stock, valued at $13,164,901.03. The trade was a 9.94% 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 ninety days, insiders have sold 44,289 shares of company stock valued at $27,525,241. 6.10% of the stock is owned by corporate insiders.

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.

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source