Brokerages Expect Credit Acceptance Corp. (CACC) to Announce $6.86 Earnings Per Share

Analysts predict that Credit Acceptance Corp. (NASDAQ:CACC) will post $6.86 earnings per share for the current quarter, according to Zacks. Three analysts have provided estimates for Credit Acceptance’s earnings, with the lowest EPS estimate coming in at $6.39 and the highest estimate coming in at $7.49. Credit Acceptance posted earnings per share of $3.96 during the same quarter last year, which indicates a positive year-over-year growth rate of 73.2%. The firm is expected to announce its next earnings results on Tuesday, January 29th.

According to Zacks, analysts expect that Credit Acceptance will report full year earnings of $28.49 per share for the current financial year, with EPS estimates ranging from $28.07 to $29.17. For the next fiscal year, analysts expect that the firm will report earnings of $30.45 per share, with EPS estimates ranging from $28.46 to $32.18. Zacks’ earnings per share averages are a mean average based on a survey of sell-side research analysts that cover Credit Acceptance.

Credit Acceptance (NASDAQ:CACC) last posted its quarterly earnings results on Monday, October 29th. The credit services provider reported $7.75 EPS for the quarter, topping the Zacks’ consensus estimate of $6.90 by $0.85. Credit Acceptance had a return on equity of 28.83% and a net margin of 48.70%. The firm had revenue of $332.00 million during the quarter, compared to analyst estimates of $327.45 million. During the same period last year, the company earned $5.43 earnings per share. The business’s revenue for the quarter was up 16.9% on a year-over-year basis.

A number of equities analysts have recently commented on CACC shares. Zacks Investment Research raised Credit Acceptance from a “hold” rating to a “buy” rating and set a $473.00 price target for the company in a report on Monday, November 19th. BidaskClub raised Credit Acceptance from a “hold” rating to a “buy” rating in a report on Saturday, November 17th. Oppenheimer set a $420.00 price objective on Credit Acceptance and gave the stock a “buy” rating in a research report on Tuesday, October 30th. BMO Capital Markets increased their price objective on Credit Acceptance from $312.00 to $333.00 and gave the stock a “market perform” rating in a research report on Thursday, November 1st. Finally, Credit Suisse Group increased their price objective on Credit Acceptance from $310.00 to $335.00 and gave the stock an “underperform” rating in a research report on Tuesday, October 30th. Three equities research analysts have rated the stock with a sell rating, four have given a hold rating and three have given a buy rating to the stock. The company has a consensus rating of “Hold” and a consensus target price of $362.71.

In other Credit Acceptance news, insider Scott J. Vassalluzzo sold 5,000 shares of the firm’s stock in a transaction dated Thursday, November 15th. The stock was sold at an average price of $413.10, for a total transaction of $2,065,500.00. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, insider Prescott General Partners Llc sold 2,039 shares of the firm’s stock in a transaction dated Monday, November 12th. The shares were sold at an average price of $419.97, for a total value of $856,318.83. The disclosure for this sale can be found here. Insiders sold 36,818 shares of company stock worth $15,431,423 in the last quarter. 5.40% of the stock is currently owned by company insiders.

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Legal & General Group Plc raised its position in Credit Acceptance by 3.1% during the third quarter. Legal & General Group Plc now owns 5,301 shares of the credit services provider’s stock valued at $2,322,000 after purchasing an additional 158 shares in the last quarter. Oppenheimer Asset Management Inc. raised its position in Credit Acceptance by 19.6% during the second quarter. Oppenheimer Asset Management Inc. now owns 1,081 shares of the credit services provider’s stock valued at $382,000 after purchasing an additional 177 shares in the last quarter. Cambridge Investment Research Advisors Inc. raised its position in Credit Acceptance by 17.2% during the second quarter. Cambridge Investment Research Advisors Inc. now owns 1,244 shares of the credit services provider’s stock valued at $440,000 after purchasing an additional 183 shares in the last quarter. WINTON GROUP Ltd raised its position in Credit Acceptance by 13.4% during the third quarter. WINTON GROUP Ltd now owns 1,635 shares of the credit services provider’s stock valued at $716,000 after purchasing an additional 193 shares in the last quarter. Finally, Harvest Fund Management Co. Ltd raised its position in Credit Acceptance by 32.0% during the third quarter. Harvest Fund Management Co. Ltd now owns 808 shares of the credit services provider’s stock valued at $354,000 after purchasing an additional 196 shares in the last quarter. Institutional investors and hedge funds own 62.07% of the company’s stock.

Credit Acceptance stock opened at $408.00 on Friday. Credit Acceptance has a one year low of $297.63 and a one year high of $467.26. The company has a debt-to-equity ratio of 1.97, a current ratio of 36.75 and a quick ratio of 36.75. The firm has a market capitalization of $7.91 billion, a PE ratio of 15.88, a P/E/G ratio of 0.86 and a beta of 0.52.

Credit Acceptance Company Profile

Credit Acceptance Corporation provides financing programs, and related products and services to independent and franchised automobile dealers in the United States. The company advances money to dealers in exchange for the right to service the underlying consumer loans; and buys the consumer loans from the dealers and keeps various amounts collected from the consumers.

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