OPENLANE (NYSE:KAR) Releases Quarterly Earnings Results, Beats Expectations By $0.09 EPS

Key Points

• OPENLANE reported earnings of $0.33 EPS for the quarter, exceeding expectations by $0.09, with revenue growing 11.6% year-over-year to $481.70 million.
• Stock traded down 0.1% to $27.98, amid a market capitalization of $2.97 billion and a P/E ratio of 37.81.
• Recent analyst upgrades include a price target increase by Barrington Research from $25.00 to $30.00, with a consensus rating of "Moderate Buy".

OPENLANE (NYSE:KAR - Get Free Report) released its quarterly earnings data on Wednesday, August 6th. The specialty retailer reported $0.33 earnings per share for the quarter, beating the consensus estimate of $0.24 by $0.09, Briefing.com reports. The firm had revenue of $481.70 million during the quarter, compared to the consensus estimate of $453.26 million. OPENLANE had a return on equity of 11.65% and a net margin of 8.18%. OPENLANE's quarterly revenue was up 11.6% on a year-over-year basis. During the same period last year, the business posted $0.19 EPS.

OPENLANE Stock Performance

NYSE KAR traded up $0.27 during mid-day trading on Wednesday, reaching $28.91. 483,374 shares of the stock were exchanged, compared to its average volume of 844,003. The stock has a market capitalization of $3.07 billion, a PE ratio of 39.05, a PEG ratio of 2.71 and a beta of 1.40. OPENLANE has a 1-year low of $15.44 and a 1-year high of $29.13. The business's fifty day simple moving average is $24.67 and its 200 day simple moving average is $21.93.

Wall Street Analysts Forecast Growth

KAR has been the topic of a number of research reports. Barrington Research increased their price objective on shares of OPENLANE from $25.00 to $30.00 and gave the company an "outperform" rating in a research note on Wednesday, August 6th. Bank of America increased their price target on shares of OPENLANE from $22.00 to $25.00 and gave the company a "neutral" rating in a research report on Monday, June 16th. JPMorgan Chase & Co. lifted their price objective on OPENLANE from $22.00 to $25.00 and gave the stock a "neutral" rating in a research report on Thursday, August 7th. Finally, Wall Street Zen upgraded OPENLANE from a "hold" rating to a "buy" rating in a report on Friday, May 9th. Two analysts have rated the stock with a hold rating and three have issued a buy rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $26.50.

Insider Buying and Selling at OPENLANE

In related news, EVP Charles S. Coleman sold 59,289 shares of the stock in a transaction dated Thursday, August 7th. The stock was sold at an average price of $27.97, for a total transaction of $1,658,313.33. Following the transaction, the executive vice president directly owned 53,474 shares in the company, valued at approximately $1,495,667.78. This represents a 52.58% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, EVP James P. Coyle sold 194,575 shares of the firm's stock in a transaction that occurred on Thursday, August 7th. The stock was sold at an average price of $27.94, for a total transaction of $5,436,425.50. Following the completion of the sale, the executive vice president directly owned 36,851 shares in the company, valued at $1,029,616.94. This represents a 84.08% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 2.32% of the company's stock.

Institutional Trading of OPENLANE

Institutional investors and hedge funds have recently made changes to their positions in the company. Jane Street Group LLC acquired a new position in OPENLANE in the first quarter valued at $4,555,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in shares of OPENLANE by 8.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 367,688 shares of the specialty retailer's stock valued at $7,089,000 after purchasing an additional 28,146 shares in the last quarter. Royal Bank of Canada grew its holdings in shares of OPENLANE by 105.1% during the 1st quarter. Royal Bank of Canada now owns 33,562 shares of the specialty retailer's stock worth $647,000 after purchasing an additional 17,197 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in OPENLANE by 3.3% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 63,129 shares of the specialty retailer's stock worth $1,217,000 after purchasing an additional 2,031 shares in the last quarter. 99.76% of the stock is currently owned by institutional investors and hedge funds.

OPENLANE Company Profile

OPENLANE, Inc, together with its subsidiaries, operates as a digital marketplace for used vehicles, which connects sellers and buyers in North America, Europe, the Philippines, and Uruguay. The company operates through two segments, Marketplace and Finance. The Marketplace segment offers digital marketplace services for buying and selling used vehicles.