Voleon Capital Management LP Purchases New Position in Credit Acceptance Corporation $CACC

Key Points

• Voleon Capital Management LP has acquired a new stake in Credit Acceptance Corporation, purchasing 964 shares valued at approximately $498,000, as reported in its latest SEC filing.
• Insider Daniel A. Ulatowski sold 2,139 shares of Credit Acceptance for over $1 million, indicating a 7.03% decrease in his ownership, reflecting notable insider activity within the company.
• The stock price of Credit Acceptance has increased by 1.1%, with the company reporting a revenue increase of 8.5% year-over-year despite missing EPS estimates in its latest earnings report.

Voleon Capital Management LP bought a new position in shares of Credit Acceptance Corporation (NASDAQ:CACC - Free Report) in the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund bought 964 shares of the credit services provider's stock, valued at approximately $498,000.

Several other hedge funds have also recently added to or reduced their stakes in the company. Petrus Trust Company LTA bought a new stake in Credit Acceptance during the first quarter worth about $299,000. Philadelphia Financial Management of San Francisco LLC bought a new stake in Credit Acceptance during the first quarter worth about $18,481,000. Greenline Partners LLC lifted its stake in Credit Acceptance by 8.4% during the first quarter. Greenline Partners LLC now owns 13,178 shares of the credit services provider's stock worth $6,804,000 after purchasing an additional 1,021 shares during the last quarter. AQR Capital Management LLC lifted its stake in Credit Acceptance by 230.6% during the first quarter. AQR Capital Management LLC now owns 7,885 shares of the credit services provider's stock worth $3,961,000 after purchasing an additional 5,500 shares during the last quarter. Finally, EP Wealth Advisors LLC bought a new stake in Credit Acceptance during the first quarter worth about $217,000. Institutional investors own 81.71% of the company's stock.

Insider Buying and Selling

In other news, insider Daniel A. Ulatowski sold 53 shares of the business's stock in a transaction dated Monday, August 25th. The stock was sold at an average price of $508.50, for a total value of $26,950.50. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Jonathan Lum sold 6,000 shares of the business's stock in a transaction dated Monday, August 25th. The shares were sold at an average price of $512.61, for a total value of $3,075,660.00. Following the transaction, the chief operating officer owned 31,493 shares in the company, valued at approximately $16,143,626.73. This represents a 16.00% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 30,072 shares of company stock worth $15,943,779. Insiders own 6.60% of the company's stock.

Credit Acceptance Price Performance

CACC stock traded down $50.56 during mid-day trading on Friday, hitting $474.44. 272,614 shares of the stock were exchanged, compared to its average volume of 101,336. The company has a debt-to-equity ratio of 4.16, a current ratio of 22.03 and a quick ratio of 22.03. The business has a fifty day moving average price of $500.25 and a 200 day moving average price of $495.03. Credit Acceptance Corporation has a 12 month low of $414.15 and a 12 month high of $560.00. The stock has a market capitalization of $5.33 billion, a price-to-earnings ratio of 13.68 and a beta of 1.25.

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

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.