Sonic Automotive (NYSE:SAH) Shares Gap Up on Analyst Upgrade

Sonic Automotive, Inc. (NYSE:SAH)’s share price gapped up before the market opened on Tuesday after JPMorgan Chase & Co. raised their price target on the stock from $63.00 to $75.00. The stock had previously closed at $57.36, but opened at $58.67. JPMorgan Chase & Co. currently has an overweight rating on the stock. Sonic Automotive shares last traded at $55.88, with a volume of 13,773 shares traded.

SAH has been the topic of several other reports. Needham & Company LLC began coverage on shares of Sonic Automotive in a research report on Tuesday, August 20th. They set a “buy” rating and a $73.00 target price on the stock. Bank of America decreased their price objective on shares of Sonic Automotive from $68.00 to $67.00 and set a “buy” rating on the stock in a report on Monday, July 22nd. One analyst has rated the stock with a sell rating, one has issued a hold rating and four have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $63.40.

Insider Transactions at Sonic Automotive

In related news, CFO Heath Byrd sold 19,827 shares of the business’s stock in a transaction dated Thursday, July 18th. The shares were sold at an average price of $60.00, for a total value of $1,189,620.00. Following the sale, the chief financial officer now directly owns 173,618 shares in the company, valued at approximately $10,417,080. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Corporate insiders own 40.95% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of SAH. BNP Paribas Financial Markets raised its holdings in shares of Sonic Automotive by 125.4% in the fourth quarter. BNP Paribas Financial Markets now owns 43,175 shares of the company’s stock worth $2,427,000 after acquiring an additional 24,021 shares during the last quarter. Jump Financial LLC lifted its holdings in Sonic Automotive by 48.3% in the 4th quarter. Jump Financial LLC now owns 26,500 shares of the company’s stock valued at $1,490,000 after purchasing an additional 8,633 shares in the last quarter. Vise Technologies Inc. acquired a new stake in shares of Sonic Automotive during the 4th quarter worth about $251,000. Quest Partners LLC purchased a new stake in shares of Sonic Automotive during the fourth quarter worth about $185,000. Finally, Aigen Investment Management LP raised its position in shares of Sonic Automotive by 6.5% in the fourth quarter. Aigen Investment Management LP now owns 9,946 shares of the company’s stock valued at $559,000 after buying an additional 611 shares during the last quarter. 46.92% of the stock is currently owned by institutional investors and hedge funds.

Sonic Automotive Stock Down 1.0 %

The firm’s 50 day moving average is $58.06 and its 200-day moving average is $55.92. The firm has a market cap of $1.83 billion, a PE ratio of 10.97 and a beta of 1.61. The company has a quick ratio of 0.36, a current ratio of 1.10 and a debt-to-equity ratio of 2.04.

Sonic Automotive (NYSE:SAH) last announced its quarterly earnings data on Monday, August 5th. The company reported $1.47 earnings per share for the quarter, topping the consensus estimate of $1.38 by $0.09. Sonic Automotive had a net margin of 1.35% and a return on equity of 25.31%. The business had revenue of $3.45 billion for the quarter, compared to analyst estimates of $3.56 billion. During the same period in the prior year, the firm posted $1.83 EPS. The company’s revenue was down 5.5% on a year-over-year basis. As a group, equities research analysts expect that Sonic Automotive, Inc. will post 5.87 earnings per share for the current fiscal year.

Sonic Automotive Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, October 15th. Investors of record on Friday, September 13th will be issued a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a yield of 2.24%. The ex-dividend date of this dividend is Friday, September 13th. Sonic Automotive’s payout ratio is currently 24.59%.

About Sonic Automotive

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.