ACV Auctions (NASDAQ:ACVA) Shares Gap Up – What’s Next?

ACV Auctions Inc. (NASDAQ:ACVA)’s stock price gapped up before the market opened on Wednesday . The stock had previously closed at $13.78, but opened at $14.66. ACV Auctions shares last traded at $14.21, with a volume of 398,163 shares changing hands.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on ACVA. Stephens upgraded ACV Auctions to a “hold” rating in a report on Saturday, February 1st. Needham & Company LLC reaffirmed a “buy” rating and set a $25.00 price objective on shares of ACV Auctions in a report on Wednesday. B. Riley increased their target price on shares of ACV Auctions from $24.00 to $27.00 and gave the company a “buy” rating in a report on Tuesday, November 26th. Bank of America raised shares of ACV Auctions from a “neutral” rating to a “buy” rating and dropped their price target for the company from $22.00 to $20.00 in a research report on Wednesday. Finally, JMP Securities reaffirmed a “market outperform” rating and issued a $25.00 price objective on shares of ACV Auctions in a research report on Monday, December 16th. Three investment analysts have rated the stock with a hold rating and eight have given a buy rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $23.05.

ACV Auctions Trading Up 4.7 %

The stock’s 50 day simple moving average is $19.67 and its two-hundred day simple moving average is $19.94. The stock has a market capitalization of $2.43 billion, a PE ratio of -29.36 and a beta of 1.73. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.56 and a quick ratio of 1.56.

ACV Auctions (NASDAQ:ACVA) last posted its quarterly earnings data on Wednesday, February 19th. The company reported ($0.14) EPS for the quarter, beating the consensus estimate of ($0.15) by $0.01. ACV Auctions had a negative return on equity of 12.94% and a negative net margin of 12.51%. The business had revenue of $159.51 million for the quarter, compared to the consensus estimate of $156.77 million. On average, sell-side analysts expect that ACV Auctions Inc. will post -0.07 EPS for the current year.

Insider Buying and Selling

In related news, CFO William Zerella sold 15,000 shares of ACV Auctions stock in a transaction that occurred on Tuesday, January 7th. The shares were sold at an average price of $20.57, for a total value of $308,550.00. Following the completion of the transaction, the chief financial officer now directly owns 462,452 shares in the company, valued at approximately $9,512,637.64. The trade was a 3.14 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Michael Waterman sold 30,162 shares of the stock in a transaction on Tuesday, January 7th. The stock was sold at an average price of $20.53, for a total value of $619,225.86. Following the sale, the insider now owns 314,738 shares in the company, valued at approximately $6,461,571.14. This represents a 8.75 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 92,662 shares of company stock valued at $1,935,451. 8.50% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in ACVA. Principal Financial Group Inc. boosted its position in shares of ACV Auctions by 4.9% in the third quarter. Principal Financial Group Inc. now owns 64,925 shares of the company’s stock valued at $1,320,000 after acquiring an additional 3,022 shares during the period. Verdence Capital Advisors LLC purchased a new stake in ACV Auctions in the 3rd quarter worth approximately $206,000. Los Angeles Capital Management LLC boosted its holdings in ACV Auctions by 6.6% in the 3rd quarter. Los Angeles Capital Management LLC now owns 26,958 shares of the company’s stock valued at $548,000 after purchasing an additional 1,670 shares during the period. GSA Capital Partners LLP bought a new stake in ACV Auctions during the third quarter valued at $562,000. Finally, Aigen Investment Management LP purchased a new position in shares of ACV Auctions during the third quarter worth about $287,000. Hedge funds and other institutional investors own 88.55% of the company’s stock.

About ACV Auctions

ACV Auctions Inc operates a digital marketplace that connects buyers and sellers for the online auction of wholesale vehicles. The company’s marketplace platform includes digital marketplace, which connects buyers and sellers by providing online auction, which facilitates real-time transactions of wholesale vehicles; Run List for pre-filtering and pre-screening of vehicles up to 24 hours prior to an auction taking place; ACV transportation service to enable the buyers to see real-time transportation quotes and status reports of the vehicle; ACV capital, a short-term inventory financing services for buyers to purchase vehicles; and Go Green’s seller assurance service for against claims related to defects in the vehicle.