KAR Auction Services Inc (KAR) Expected to Announce Quarterly Sales of $936.37 Million

Equities analysts predict that KAR Auction Services Inc (NYSE:KAR) will post sales of $936.37 million for the current quarter, Zacks Investment Research reports. Five analysts have issued estimates for KAR Auction Services’ earnings, with the lowest sales estimate coming in at $906.06 million and the highest estimate coming in at $957.50 million. KAR Auction Services posted sales of $890.40 million during the same quarter last year, which suggests a positive year-over-year growth rate of 5.2%. The company is scheduled to report its next quarterly earnings results on Tuesday, February 19th.

According to Zacks, analysts expect that KAR Auction Services will report full-year sales of $3.78 billion for the current financial year, with estimates ranging from $3.75 billion to $3.80 billion. For the next financial year, analysts expect that the business will post sales of $4.05 billion, with estimates ranging from $4.00 billion to $4.12 billion. Zacks Investment Research’s sales averages are an average based on a survey of sell-side research firms that cover KAR Auction Services.

KAR Auction Services (NYSE:KAR) last released its earnings results on Tuesday, November 6th. The specialty retailer reported $0.70 earnings per share for the quarter, missing analysts’ consensus estimates of $0.71 by ($0.01). KAR Auction Services had a net margin of 11.62% and a return on equity of 26.50%. The firm had revenue of $933.50 million for the quarter, compared to analysts’ expectations of $910.43 million. During the same quarter last year, the firm posted $0.57 EPS. The firm’s quarterly revenue was up 10.7% compared to the same quarter last year.

KAR has been the topic of a number of analyst reports. Barrington Research set a $70.00 target price on shares of KAR Auction Services and gave the company a “buy” rating in a research note on Monday, November 5th. ValuEngine upgraded shares of KAR Auction Services from a “hold” rating to a “buy” rating in a research note on Wednesday, October 31st. Zacks Investment Research upgraded shares of KAR Auction Services from a “hold” rating to a “buy” rating and set a $64.00 target price on the stock in a research note on Wednesday, October 17th. Finally, SunTrust Banks lowered their target price on shares of KAR Auction Services to $65.00 and set a “buy” rating on the stock in a research note on Monday, January 7th. Four research analysts have rated the stock with a hold rating and six have assigned a buy rating to the company’s stock. KAR Auction Services currently has a consensus rating of “Buy” and an average target price of $64.57.

A number of hedge funds have recently made changes to their positions in KAR. Legal & General Group Plc lifted its stake in KAR Auction Services by 1.1% in the 2nd quarter. Legal & General Group Plc now owns 97,305 shares of the specialty retailer’s stock worth $5,333,000 after purchasing an additional 1,013 shares in the last quarter. Envestnet Asset Management Inc. increased its holdings in shares of KAR Auction Services by 235.7% in the 2nd quarter. Envestnet Asset Management Inc. now owns 10,269 shares of the specialty retailer’s stock worth $562,000 after buying an additional 7,210 shares during the last quarter. Bank of America Corp DE increased its holdings in shares of KAR Auction Services by 97.8% in the 2nd quarter. Bank of America Corp DE now owns 1,477,098 shares of the specialty retailer’s stock worth $80,944,000 after buying an additional 730,355 shares during the last quarter. Tower Research Capital LLC TRC increased its holdings in shares of KAR Auction Services by 1,334.5% in the 2nd quarter. Tower Research Capital LLC TRC now owns 3,199 shares of the specialty retailer’s stock worth $175,000 after buying an additional 2,976 shares during the last quarter. Finally, Banco de Sabadell S.A bought a new stake in shares of KAR Auction Services in the 2nd quarter worth about $2,043,000. Institutional investors and hedge funds own 97.26% of the company’s stock.

Shares of KAR traded up $0.22 during trading hours on Friday, reaching $49.52. 17,449 shares of the stock traded hands, compared to its average volume of 1,303,813. The company has a debt-to-equity ratio of 1.70, a quick ratio of 1.32 and a current ratio of 1.32. KAR Auction Services has a 52-week low of $45.36 and a 52-week high of $64.55. The stock has a market cap of $6.54 billion, a price-to-earnings ratio of 19.75, a price-to-earnings-growth ratio of 1.42 and a beta of 1.22.

The business also recently declared a quarterly dividend, which was paid on Friday, January 4th. Shareholders of record on Thursday, December 20th were paid a $0.35 dividend. This represents a $1.40 annualized dividend and a yield of 2.83%. The ex-dividend date was Wednesday, December 19th. KAR Auction Services’s payout ratio is currently 56.00%.

About KAR Auction Services

KAR Auction Services, Inc, together with its subsidiaries, provides used car auction and salvage auction services in the United States, Canada, Mexico, and the United Kingdom. The company operates through three segments: ADESA Auctions, IAA, and AFC. The ADESA Auctions segment offers whole car auctions and related services to the vehicle remarketing industry through online auctions and auction facilities.

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