Philadelphia Financial Management of San Francisco LLC Buys Shares of 35,791 Credit Acceptance Corporation $CACC

Key Points

• Philadelphia Financial Management acquired 35,791 shares of Credit Acceptance Corporation, valued at approximately $18.48 million, making it the 5th largest position in their investment portfolio.
• Insiders at Credit Acceptance have recently sold significant shares, including a transaction by major shareholder Jill Foss Watson, who sold 20,000 shares for about $10.8 million.
• Credit Acceptance reported $8.56 earnings per share for its latest quarter, missing expectations, but had a revenue of $583.8 million, slightly exceeding analyst forecasts.

Philadelphia Financial Management of San Francisco LLC purchased a new stake in Credit Acceptance Corporation (NASDAQ:CACC - Free Report) in the first quarter, according to its most recent filing with the Securities & Exchange Commission. The firm purchased 35,791 shares of the credit services provider's stock, valued at approximately $18,481,000. Credit Acceptance comprises 3.6% of Philadelphia Financial Management of San Francisco LLC's holdings, making the stock its 5th biggest holding. Philadelphia Financial Management of San Francisco LLC owned about 0.31% of Credit Acceptance at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Teacher Retirement System of Texas purchased a new stake in Credit Acceptance in the first quarter valued at about $794,000. Northern Trust Corp raised its stake in shares of Credit Acceptance by 7.9% in the fourth quarter. Northern Trust Corp now owns 37,772 shares of the credit services provider's stock worth $17,732,000 after purchasing an additional 2,773 shares during the last quarter. CX Institutional purchased a new position in shares of Credit Acceptance in the first quarter worth about $36,000. Cubist Systematic Strategies LLC purchased a new position in shares of Credit Acceptance in the fourth quarter worth about $313,000. Finally, Comerica Bank raised its stake in shares of Credit Acceptance by 24.4% in the fourth quarter. Comerica Bank now owns 983 shares of the credit services provider's stock worth $462,000 after purchasing an additional 193 shares during the last quarter. 81.71% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling

In other Credit Acceptance news, insider Andrew K. Rostami sold 375 shares of the firm's stock in a transaction that occurred on Friday, June 20th. The stock was sold at an average price of $505.29, for a total value of $189,483.75. Following the sale, the insider directly owned 25,478 shares of the company's stock, valued at approximately $12,873,778.62. This trade represents a 1.45% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Daniel A. Ulatowski sold 53 shares of the firm's stock in a transaction that occurred on Monday, August 25th. The shares were sold at an average price of $508.50, for a total value of $26,950.50. The disclosure for this sale can be found here. Insiders sold 30,072 shares of company stock valued at $15,943,779 in the last three months. 6.60% of the stock is currently owned by insiders.

Credit Acceptance Stock Performance

Shares of NASDAQ:CACC traded up $8.73 during trading on Thursday, hitting $525.14. The stock had a trading volume of 52,125 shares, compared to its average volume of 114,455. The stock has a market capitalization of $5.90 billion, a price-to-earnings ratio of 15.15 and a beta of 1.25. Credit Acceptance Corporation has a 12-month low of $414.15 and a 12-month high of $560.00. The stock has a 50-day simple moving average of $501.37 and a two-hundred day simple moving average of $494.82. The company has a quick ratio of 22.03, a current ratio of 22.03 and a debt-to-equity ratio of 4.16.

Credit Acceptance (NASDAQ:CACC - Get Free Report) last posted its earnings results on Thursday, July 31st. The credit services provider reported $8.56 EPS for the quarter, missing the consensus estimate of $9.84 by ($1.28). The company had revenue of $583.80 million for the quarter, compared to analyst estimates of $583.30 million. Credit Acceptance had a return on equity of 27.06% and a net margin of 18.69%.The firm's revenue was up 8.5% on a year-over-year basis. During the same period last year, the business earned $10.29 earnings per share. On average, equities research analysts expect that Credit Acceptance Corporation will post 53.24 earnings per share for the current fiscal year.

Credit Acceptance Profile

Credit Acceptance Corporation engages in the provision of financing programs, and related products and services in the United States. The company advances money to automobile dealers in exchange for the right to service the underlying consumer loans; and buys the consumer loans from the dealers and keeps the amount collected from the consumers.