Sonic Automotive (NYSE:SAH) Major Shareholder Paul Rusnak Buys 12,555 Shares of Company Stock

Key Points

• Major shareholder Paul Rusnak purchased 12,555 Sonic Automotive shares at an average price of $59.90, investing approximately $752,000 and increasing his stake to 5.18 million shares.
• SAH shares recently traded at $63.63, near the lower end of their 52-week range. The company reported quarterly EPS of $1.82, exceeding estimates, while revenue rose 7.6% year over year to $3.93 billion.
• Sonic Automotive pays a quarterly dividend of $0.41 per share, equivalent to a 2.6% yield. Analyst sentiment is mixed, with an overall “Hold” rating and an average price target of $90.12.

Sonic Automotive, Inc. (NYSE:SAH - Get Free Report) major shareholder Paul Rusnak purchased 12,555 shares of the business's stock in a transaction dated Wednesday, October 14th. The shares were acquired at an average cost of $59.90 per share, for a total transaction of $752,044.50. Following the acquisition, the insider owned 5,176,776 shares of the company's stock, valued at approximately $310,088,882.40. The trade was a 0.24% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is accessible through the SEC website. Major shareholders that own at least 10% of a company's shares are required to disclose their transactions with the SEC.

Sonic Automotive Stock Performance

SAH stock traded up $0.12 during trading on Friday, reaching $63.63. 317,564 shares of the company's stock were exchanged, compared to its average volume of 288,554. Sonic Automotive, Inc. has a 1-year low of $54.11 and a 1-year high of $113.67. The firm has a market cap of $2.01 billion, a PE ratio of 10.15, a P/E/G ratio of 0.98 and a beta of 0.92. The company's fifty day moving average price is $71.60 and its 200-day moving average price is $78.08. The company has a quick ratio of 0.25, a current ratio of 1.01 and a debt-to-equity ratio of 1.88.

Sonic Automotive (NYSE:SAH - Get Free Report) last issued its quarterly earnings results on Thursday, July 30th. The company reported $1.82 EPS for the quarter, beating analysts' consensus estimates of $1.75 by $0.07. Sonic Automotive had a return on equity of 20.75% and a net margin of 1.37%. The company had revenue of $3.93 billion for the quarter, compared to analyst estimates of $3.78 billion. During the same period last year, the company earned $2.19 earnings per share. The company's quarterly revenue was up 7.6% compared to the same quarter last year. On average, research analysts expect that Sonic Automotive, Inc. will post 6.81 EPS for the current fiscal year.

Sonic Automotive Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, October 15th. Shareholders of record on Tuesday, September 15th were given a dividend of $0.41 per share. This represents a $1.64 dividend on an annualized basis and a dividend yield of 2.6%. The ex-dividend date was Tuesday, September 15th. Sonic Automotive's payout ratio is 26.16%.

Analysts Set New Price Targets

SAH has been the subject of several recent analyst reports. JPMorgan Chase & Co. decreased their price objective on shares of Sonic Automotive from $72.00 to $64.00 and set an "underweight" rating for the company in a report on Tuesday, October 6th. Stephens set a $89.00 target price on Sonic Automotive in a report on Monday, July 13th. Seaport Research Partners downgraded Sonic Automotive from a "buy" rating to a "neutral" rating and upped their target price for the stock from $185.00 to $205.00 in a research report on Friday, July 17th. Morgan Stanley decreased their price target on Sonic Automotive from $72.00 to $57.00 and set an "underweight" rating for the company in a research note on Monday, October 5th. Finally, Needham & Company LLC lifted their price target on Sonic Automotive from $90.00 to $139.00 and gave the company a "buy" rating in a research report on Friday, July 31st. Five equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of "Hold" and an average price target of $90.12.

Institutional Investors Weigh In On Sonic Automotive

A number of institutional investors and hedge funds have recently bought and sold shares of SAH. CoreCap Advisors LLC raised its holdings in shares of Sonic Automotive by 15.5% in the 3rd quarter. CoreCap Advisors LLC now owns 1,550 shares of the company's stock worth $94,000 after purchasing an additional 208 shares in the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new stake in Sonic Automotive during the second quarter worth approximately $373,000. Ameritas Advisory Services LLC bought a new stake in Sonic Automotive during the second quarter worth approximately $88,000. Northwestern Mutual Wealth Management Co. boosted its holdings in Sonic Automotive by 14.5% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 4,594 shares of the company's stock worth $390,000 after buying an additional 582 shares in the last quarter. Finally, Denali Advisors LLC acquired a new position in Sonic Automotive in the second quarter worth approximately $4,799,000. 46.92% of the stock is owned by institutional investors and hedge funds.

About Sonic Automotive

Sonic Automotive, Inc is an automotive retailer headquartered in Charlotte, North Carolina. The company operates franchised dealerships that sell new and used cars and light trucks from a range of manufacturers, along with related automotive products and services.

Its dealership operations provide vehicle financing and insurance products, parts and maintenance services, collision repair, and other after-sales support. Sonic Automotive also operates EchoPark Automotive, a used-vehicle retail business focused on providing a broad selection of pre-owned vehicles and related services.

Founded in 1997 by automotive entrepreneur O.

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