Sonic Automotive, Inc. (NYSE:SAH) Stake Lessened by GSA Capital Partners LLP

Key Points

• GSA Capital Partners LLP has reduced its holdings in Sonic Automotive, Inc. by 24.9%, now owning 11,977 shares worth approximately $682,000.
• The company announced a quarterly dividend increase from $0.35 to $0.38 per share, with a 2.1% dividend yield for investors of record on September 15th.
• Sonic Automotive reported $2.19 EPS for the latest quarter, exceeding expectations, and has a projected 6.14 EPS for the current fiscal year.

GSA Capital Partners LLP reduced its position in Sonic Automotive, Inc. (NYSE:SAH - Free Report) by 24.9% in the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 11,977 shares of the company's stock after selling 3,961 shares during the period. GSA Capital Partners LLP's holdings in Sonic Automotive were worth $682,000 at the end of the most recent reporting period.

Several other institutional investors have also added to or reduced their stakes in the business. Commonwealth Equity Services LLC purchased a new position in Sonic Automotive during the fourth quarter valued at $252,000. American Century Companies Inc. increased its holdings in Sonic Automotive by 1.9% in the 4th quarter. American Century Companies Inc. now owns 20,596 shares of the company's stock valued at $1,305,000 after acquiring an additional 390 shares during the last quarter. Sei Investments Co. boosted its stake in Sonic Automotive by 47.7% during the fourth quarter. Sei Investments Co. now owns 9,248 shares of the company's stock valued at $586,000 after buying an additional 2,986 shares during the last quarter. KLP Kapitalforvaltning AS bought a new position in shares of Sonic Automotive in the 4th quarter valued at about $185,000. Finally, Vanguard Group Inc. boosted its stake in Sonic Automotive by 1.3% during the fourth quarter. Vanguard Group Inc. now owns 1,557,344 shares of the company's stock worth $98,658,000 after buying an additional 20,058 shares during the period. 46.92% of the stock is currently owned by hedge funds and other institutional investors.

Insider Transactions at Sonic Automotive

In related news, President Jeff Dyke sold 31,152 shares of the stock in a transaction on Friday, May 30th. The stock was sold at an average price of $70.05, for a total value of $2,182,197.60. Following the transaction, the president owned 605,969 shares of the company's stock, valued at $42,448,128.45. This represents a 4.89% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Insiders sold 50,000 shares of company stock valued at $3,502,062 in the last ninety days. Company insiders own 42.65% of the company's stock.

Analyst Ratings Changes

A number of analysts have recently issued reports on SAH shares. JPMorgan Chase & Co. reissued an "underweight" rating and set a $72.00 target price (up from $65.00) on shares of Sonic Automotive in a research note on Thursday, July 17th. Stephens lowered Sonic Automotive from an "overweight" rating to an "equal weight" rating and boosted their price target for the stock from $72.00 to $82.00 in a research report on Thursday, July 17th. Benchmark boosted their target price on shares of Sonic Automotive from $76.00 to $80.00 and gave the stock a "buy" rating in a report on Friday, July 25th. Wall Street Zen downgraded shares of Sonic Automotive from a "strong-buy" rating to a "buy" rating in a research report on Saturday, June 21st. Finally, Bank of America increased their target price on shares of Sonic Automotive from $80.00 to $94.00 and gave the company a "buy" rating in a research report on Monday, June 16th. One research analyst has rated the stock with a sell rating, three have issued a hold rating, four have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $77.86.

Sonic Automotive Price Performance

NYSE SAH traded down $0.83 on Friday, hitting $71.52. The company had a trading volume of 291,821 shares, compared to its average volume of 289,954. Sonic Automotive, Inc. has a 12-month low of $52.00 and a 12-month high of $89.62. The company's fifty day moving average price is $78.00 and its 200-day moving average price is $69.77. The company has a debt-to-equity ratio of 1.78, a current ratio of 1.03 and a quick ratio of 0.24. The company has a market capitalization of $2.44 billion, a PE ratio of 15.89 and a beta of 0.99.

Sonic Automotive (NYSE:SAH - Get Free Report) last posted its quarterly earnings results on Thursday, July 24th. The company reported $2.19 earnings per share (EPS) for the quarter, beating 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 during the quarter, compared to analyst estimates of $3.66 billion. During the same period in the prior year, the business earned $1.47 earnings per share. The business's revenue was up 5.9% compared to the same quarter last year. As a group, analysts predict that Sonic Automotive, Inc. will post 6.14 earnings per share for the current year.

Sonic Automotive Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 15th. Investors of record on Monday, September 15th will be issued a $0.38 dividend. This represents a $1.52 dividend on an annualized basis and a yield of 2.1%. This is a boost from Sonic Automotive's previous quarterly dividend of $0.35. The ex-dividend date is Monday, September 15th. Sonic Automotive's dividend payout ratio (DPR) is 31.11%.

Sonic Automotive 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.