Sonic Automotive (NYSE:SAH) Given "Buy" Rating at Needham & Company LLC

Key Points

• Sonic Automotive's stock has been given a "Buy" rating by Needham & Company LLC, with a target price of $95.00, indicating a potential upside of 22.38% from its previous close.
• Analysts' consensus for Sonic Automotive is a "Moderate Buy" with an average price target of $83.14, with various ratings including two "Strong Buy," three "Buy," and one "Sell."
• Institutional investors hold 46.92% of Sonic Automotive’s stock, with significant stake increases from firms like Goldman Sachs and Westwood Holdings Group.

Sonic Automotive (NYSE:SAH - Get Free Report)'s stock had its "buy" rating reissued by analysts at Needham & Company LLC in a research note issued to investors on Thursday,Benzinga reports. They currently have a $95.00 target price on the stock. Needham & Company LLC's price target suggests a potential upside of 22.38% from the stock's previous close.

SAH has been the subject of several other research reports. Citigroup raised their price objective on Sonic Automotive from $81.00 to $82.00 and gave the company a "neutral" rating in a research report on Thursday, September 25th. Wall Street Zen lowered Sonic Automotive from a "strong-buy" rating to a "buy" rating in a research report on Saturday, June 21st. Morgan Stanley raised their price objective on Sonic Automotive from $60.00 to $72.00 and gave the company an "equal weight" rating in a research report on Thursday, August 14th. Zacks Research raised Sonic Automotive from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, September 23rd. Finally, Stephens lowered Sonic Automotive from an "overweight" rating to an "equal weight" rating and lifted their price target for the stock from $72.00 to $82.00 in a research report on Thursday, July 17th. Two investment analysts have rated the stock with a Strong Buy rating, three have given a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $83.14.

Sonic Automotive Stock Performance

Shares of Sonic Automotive stock opened at $77.63 on Thursday. The company has a current ratio of 1.03, a quick ratio of 0.24 and a debt-to-equity ratio of 1.78. The firm has a market capitalization of $2.65 billion, a P/E ratio of 17.25 and a beta of 0.95. The business has a fifty day simple moving average of $78.45 and a two-hundred day simple moving average of $72.45. Sonic Automotive has a 12 month low of $52.00 and a 12 month high of $89.62.

Sonic Automotive (NYSE:SAH - Get Free Report) last announced its quarterly earnings data on Thursday, July 24th. The company reported $2.19 EPS for the quarter, beating the consensus estimate of $1.63 by $0.56. The business had revenue of $3.66 billion during the quarter, compared to analyst estimates of $3.66 billion. Sonic Automotive had a return on equity of 21.40% and a net margin of 1.07%.The company's revenue for the quarter was up 5.9% on a year-over-year basis. During the same quarter last year, the firm posted $1.47 earnings per share. On average, equities analysts forecast that Sonic Automotive will post 6.14 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Sonic Automotive

Several large investors have recently bought and sold shares of SAH. Goldman Sachs Group Inc. grew its stake in shares of Sonic Automotive by 124.9% during the 1st quarter. Goldman Sachs Group Inc. now owns 355,328 shares of the company's stock valued at $20,239,000 after purchasing an additional 197,336 shares during the period. Westwood Holdings Group Inc. grew its stake in shares of Sonic Automotive by 26.2% during the 1st quarter. Westwood Holdings Group Inc. now owns 641,237 shares of the company's stock valued at $36,525,000 after purchasing an additional 133,044 shares during the period. Nuveen LLC bought a new stake in shares of Sonic Automotive during the 1st quarter valued at about $7,317,000. ProShare Advisors LLC bought a new stake in shares of Sonic Automotive during the 2nd quarter valued at about $6,564,000. Finally, HITE Hedge Asset Management LLC grew its stake in shares of Sonic Automotive by 111.4% during the 1st quarter. HITE Hedge Asset Management LLC now owns 123,724 shares of the company's stock valued at $7,047,000 after purchasing an additional 65,198 shares during the period. 46.92% of the stock is currently owned by institutional investors.

Sonic Automotive Company Profile

Sonic Automotive, Inc operates as an automotive retailer in the United States. It operates in three segments, Franchised Dealerships, EchoPark, and Powersports. The Franchised Dealerships segment is involved in the sale of new and used cars and light trucks, and replacement parts; provision of vehicle maintenance, manufacturer warranty repair, and paint and collision repair services; and arrangement of extended warranties, service contracts, financing, insurance, and other aftermarket products for its guests.

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