BidaskClub Upgrades Credit Acceptance (CACC) to “Buy”

BidaskClub upgraded shares of Credit Acceptance (NASDAQ:CACC) from a hold rating to a buy rating in a research note issued to investors on Friday morning, BidAskClub reports.

Other equities analysts have also issued research reports about the company. Zacks Investment Research raised Credit Acceptance from a hold rating to a buy rating and set a $528.00 price target on the stock in a research note on Thursday. Stephens raised Credit Acceptance from an underweight rating to an equal rating and set a $381.00 price target on the stock in a research note on Thursday, January 3rd. Oppenheimer reaffirmed a market perform rating on shares of Credit Acceptance in a research note on Thursday, January 31st. They noted that the move was a valuation call. BMO Capital Markets upped their price target on Credit Acceptance to $390.00 and gave the company a market perform rating in a research note on Monday, February 4th. Finally, Buckingham Research initiated coverage on Credit Acceptance in a research note on Thursday, March 28th. They set a neutral rating and a $440.00 price target on the stock. Three research analysts have rated the stock with a sell rating, five have assigned a hold rating and three have issued a buy rating to the company’s stock. Credit Acceptance currently has a consensus rating of Hold and an average target price of $395.00.

Shares of CACC opened at $470.48 on Friday. The company has a current ratio of 17.07, a quick ratio of 17.07 and a debt-to-equity ratio of 1.83. Credit Acceptance has a 12-month low of $299.00 and a 12-month high of $472.18. The firm has a market cap of $8.84 billion, a PE ratio of 16.57, a PEG ratio of 0.87 and a beta of 0.68.

Credit Acceptance (NASDAQ:CACC) last issued its quarterly earnings results on Wednesday, January 30th. The credit services provider reported $7.85 earnings per share (EPS) for the quarter, beating the consensus estimate of $7.45 by $0.40. Credit Acceptance had a return on equity of 29.89% and a net margin of 44.64%. The business had revenue of $342.80 million for the quarter, compared to analyst estimates of $338.73 million. During the same quarter in the prior year, the firm posted $5.16 earnings per share. The firm’s revenue for the quarter was up 19.3% compared to the same quarter last year. Research analysts anticipate that Credit Acceptance will post 33.84 EPS for the current fiscal year.

A number of large investors have recently added to or reduced their stakes in CACC. Wells Fargo & Company MN lifted its stake in Credit Acceptance by 30.1% in the third quarter. Wells Fargo & Company MN now owns 11,397 shares of the credit services provider’s stock valued at $4,992,000 after buying an additional 2,636 shares during the period. FMR LLC lifted its stake in Credit Acceptance by 30.6% in the third quarter. FMR LLC now owns 11,981 shares of the credit services provider’s stock valued at $5,249,000 after buying an additional 2,806 shares during the period. The Manufacturers Life Insurance Company lifted its stake in Credit Acceptance by 7,377.2% in the third quarter. The Manufacturers Life Insurance Company now owns 40,975 shares of the credit services provider’s stock valued at $17,950,000 after buying an additional 40,427 shares during the period. AQR Capital Management LLC lifted its stake in Credit Acceptance by 31.3% in the third quarter. AQR Capital Management LLC now owns 109,837 shares of the credit services provider’s stock valued at $48,116,000 after buying an additional 26,181 shares during the period. Finally, Legal & General Group Plc lifted its stake in Credit Acceptance by 3.1% in 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 buying an additional 158 shares during the period. 63.94% of the stock is currently owned by hedge funds and other institutional investors.

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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Analyst Recommendations for Credit Acceptance (NASDAQ:CACC)

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