Ruane Cunniff & Goldfarb L.P. Has $332.07 Million Holdings in Credit Acceptance Corporation $CACC

Key Points

• Ruane Cunniff & Goldfarb L.P. decreased its stake in Credit Acceptance Corporation by 1.9%, now holding 643,101 shares, making it the 8th largest position in their portfolio.
• Insider trading activity included Daniel A. Ulatowski selling 53 shares and Andrew K. Rostami selling 375 shares, contributing to a total of 36,428 shares sold in the last 90 days.
• Credit Acceptance reported $8.56 earnings per share, missing estimates, while posting a revenue of $583.80 million, indicating an 8.5% increase year-over-year.

Ruane Cunniff & Goldfarb L.P. reduced its position in Credit Acceptance Corporation (NASDAQ:CACC - Free Report) by 1.9% during the first quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 643,101 shares of the credit services provider's stock after selling 12,170 shares during the period. Credit Acceptance accounts for about 6.0% of Ruane Cunniff & Goldfarb L.P.'s portfolio, making the stock its 8th largest position. Ruane Cunniff & Goldfarb L.P. owned approximately 5.54% of Credit Acceptance worth $332,065,000 at the end of the most recent reporting period.

Several other hedge funds also recently added to or reduced their stakes in the business. Stifel Financial Corp purchased a new position in shares of Credit Acceptance in the 4th quarter valued at approximately $859,000. Northern Trust Corp lifted its holdings in Credit Acceptance by 7.9% in the fourth quarter. Northern Trust Corp now owns 37,772 shares of the credit services provider's stock valued at $17,732,000 after acquiring an additional 2,773 shares during the period. Comerica Bank grew its position in Credit Acceptance by 24.4% during the fourth quarter. Comerica Bank now owns 983 shares of the credit services provider's stock valued at $462,000 after buying an additional 193 shares during the period. BNP Paribas Financial Markets grew its holdings in Credit Acceptance by 623.9% in the fourth quarter. BNP Paribas Financial Markets now owns 1,694 shares of the credit services provider's stock valued at $795,000 after purchasing an additional 1,460 shares during the period. Finally, Brevan Howard Capital Management LP purchased a new stake in shares of Credit Acceptance during the fourth quarter worth about $399,000. 81.71% of the stock is owned by institutional investors and hedge funds.

Credit Acceptance Price Performance

CACC traded up $8.59 during trading on Thursday, reaching $525.00. The company's stock had a trading volume of 119,092 shares, compared to its average volume of 114,854. The company has a quick ratio of 22.03, a current ratio of 22.03 and a debt-to-equity ratio of 4.16. The firm has a fifty day simple moving average of $501.37 and a two-hundred day simple moving average of $494.82. The company has a market cap of $5.90 billion, a price-to-earnings ratio of 15.13 and a beta of 1.25. Credit Acceptance Corporation has a 1 year low of $414.15 and a 1 year high of $560.00.

Credit Acceptance (NASDAQ:CACC - Get Free Report) last announced its earnings results on Thursday, July 31st. The credit services provider reported $8.56 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $9.84 by ($1.28). The firm had revenue of $583.80 million during the quarter, compared to analysts' expectations of $583.30 million. Credit Acceptance had a net margin of 18.69% and a return on equity of 27.06%. The firm's revenue for the quarter was up 8.5% compared to the same quarter last year. During the same period in the previous year, the firm earned $10.29 EPS. As a group, analysts anticipate that Credit Acceptance Corporation will post 53.24 EPS for the current year.

Insider Activity at Credit Acceptance

In other Credit Acceptance news, insider Daniel A. Ulatowski sold 53 shares of the firm's stock in a transaction dated Monday, August 25th. The shares were sold at an average price of $508.50, for a total transaction of $26,950.50. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, major shareholder Jill Foss Watson sold 20,000 shares of Credit Acceptance stock in a transaction dated Wednesday, July 2nd. The shares were sold at an average price of $539.97, for a total value of $10,799,400.00. Following the completion of the sale, the insider owned 102,107 shares of the company's stock, valued at $55,134,716.79. This trade represents a 16.38% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 30,072 shares of company stock worth $15,943,779 in the last ninety days. Corporate insiders own 6.60% of the company's stock.

About Credit Acceptance

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.