Cubist Systematic Strategies LLC Purchases 43,089 Shares of Sonic Automotive, Inc. $SAH

Key Points

• Cubist Systematic Strategies LLC has increased its holdings in Sonic Automotive by 208.4%, owning 63,769 shares valued at approximately $3.63 million as of the latest SEC filing.
• Analysts have mixed ratings on Sonic Automotive stock, with a consensus rating of "Hold" and a target price of $79.86, while recent upgrades have set target prices between $72 and $95.
• Sonic Automotive recently increased its quarterly dividend to $0.38, representing a boost from the previous dividend and indicating a 1.8% yield with a payout ratio of 31.11%.

Cubist Systematic Strategies LLC boosted its holdings in Sonic Automotive, Inc. (NYSE:SAH - Free Report) by 208.4% during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 63,769 shares of the company's stock after acquiring an additional 43,089 shares during the quarter. Cubist Systematic Strategies LLC owned 0.19% of Sonic Automotive worth $3,632,000 at the end of the most recent quarter.

Other large investors have also recently added to or reduced their stakes in the company. Quarry LP bought a new position in Sonic Automotive during the 1st quarter valued at $84,000. Cetera Investment Advisers bought a new position in Sonic Automotive during the 1st quarter valued at $218,000. Eisler Capital Management Ltd. bought a new position in Sonic Automotive during the 1st quarter valued at $219,000. ProShare Advisors LLC bought a new stake in shares of Sonic Automotive during the 4th quarter worth $282,000. Finally, Gotham Asset Management LLC bought a new stake in shares of Sonic Automotive during the 4th quarter worth $288,000. 46.92% of the stock is currently owned by institutional investors and hedge funds.

Sonic Automotive Stock Performance

Shares of NYSE:SAH traded down $0.76 during midday trading on Wednesday, hitting $82.54. The company's stock had a trading volume of 20,377 shares, compared to its average volume of 223,800. Sonic Automotive, Inc. has a fifty-two week low of $52.00 and a fifty-two week high of $89.62. The stock has a market capitalization of $2.82 billion, a price-to-earnings ratio of 18.29 and a beta of 0.98. The stock's 50 day simple moving average is $80.27 and its 200 day simple moving average is $71.13. The company has a debt-to-equity ratio of 1.78, a quick ratio of 0.24 and a current ratio of 1.03.

Sonic Automotive (NYSE:SAH - Get Free Report) last released its earnings results on Thursday, July 24th. The company reported $2.19 earnings per share for the quarter, topping analysts' consensus estimates of $1.63 by $0.56. Sonic Automotive had a return on equity of 21.40% and a net margin of 1.07%.The business had revenue of $3.66 billion for the quarter, compared to the consensus estimate of $3.66 billion. During the same period last year, the business earned $1.47 earnings per share. The firm's revenue for the quarter was up 5.9% compared to the same quarter last year. As a group, research analysts anticipate that Sonic Automotive, Inc. will post 6.14 earnings per share for the current year.

Sonic Automotive Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 15th. Shareholders of record on Monday, September 15th will be issued a dividend of $0.38 per share. The ex-dividend date of this dividend is Monday, September 15th. This is a positive change from Sonic Automotive's previous quarterly dividend of $0.35. This represents a $1.52 dividend on an annualized basis and a yield of 1.8%. Sonic Automotive's dividend payout ratio (DPR) is presently 31.11%.

Analysts Set New Price Targets

Several research firms have recently weighed in on SAH. Stephens lowered Sonic Automotive from an "overweight" rating to an "equal weight" rating and raised their price objective for the stock from $72.00 to $82.00 in a research note on Thursday, July 17th. Zacks Research lowered Sonic Automotive from a "strong-buy" rating to a "hold" rating in a report on Friday, August 22nd. JPMorgan Chase & Co. restated an "underweight" rating and issued a $72.00 target price (up previously from $65.00) on shares of Sonic Automotive in a report on Thursday, July 17th. Benchmark increased their price objective on Sonic Automotive from $76.00 to $80.00 and gave the stock a "buy" rating in a report on Friday, July 25th. Finally, Wall Street Zen lowered Sonic Automotive from a "strong-buy" rating to a "buy" rating in a report on Saturday, June 21st. One research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of "Hold" and a consensus target price of $79.86.

Sonic Automotive Company Profile

Sonic Automotive, Inc operates as an automotive retailer in the United States. It operates in three segments, Franchised Dealerships, EchoPark, and Powersports. The Franchised Dealerships segment is involved in the sale of new and used cars and light trucks, and replacement parts; provision of vehicle maintenance, manufacturer warranty repair, and paint and collision repair services; and arrangement of extended warranties, service contracts, financing, insurance, and other aftermarket products for its guests.