Sonic Automotive, Inc. (NYSE:SAH) Receives $63.50 Average Price Target from Analysts

Sonic Automotive, Inc. (NYSE:SAH) has earned a consensus rating of “Moderate Buy” from the six ratings firms that are currently covering the firm, Marketbeat reports. One analyst has rated the stock with a sell recommendation, one has issued a hold recommendation and four have assigned a buy recommendation to the company. The average 12 month price target among analysts that have issued ratings on the stock in the last year is $63.50.

Several brokerages have recently commented on SAH. JPMorgan Chase & Co. raised their target price on Sonic Automotive from $63.00 to $75.00 and gave the stock an “overweight” rating in a research report on Tuesday, September 10th. Needham & Company LLC initiated coverage on Sonic Automotive in a research report on Tuesday, August 20th. They set a “buy” rating and a $73.00 price objective for the company. Bank of America dropped their target price on Sonic Automotive from $68.00 to $67.00 and set a “buy” rating on the stock in a report on Monday, July 22nd. Finally, Stephens assumed coverage on shares of Sonic Automotive in a report on Thursday, September 12th. They set an “equal weight” rating and a $64.00 price target for the company.

Insider Buying and Selling at Sonic Automotive

In related news, CFO Heath Byrd sold 19,827 shares of the company’s stock in a transaction on 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 completion of the sale, the chief financial officer now directly owns 173,618 shares in the company, valued at $10,417,080. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Corporate insiders own 40.95% of the company’s stock.

Institutional Trading of Sonic Automotive

Several large investors have recently modified their holdings of SAH. Point72 DIFC Ltd lifted its position in Sonic Automotive by 6.9% during the 2nd quarter. Point72 DIFC Ltd now owns 2,900 shares of the company’s stock worth $158,000 after acquiring an additional 187 shares during the last quarter. Inspire Investing LLC grew its holdings in Sonic Automotive by 3.4% in the 2nd quarter. Inspire Investing LLC now owns 6,475 shares of the company’s stock valued at $353,000 after buying an additional 211 shares during the last quarter. Arizona State Retirement System grew its holdings in Sonic Automotive by 10.8% in the 2nd quarter. Arizona State Retirement System now owns 4,324 shares of the company’s stock valued at $236,000 after buying an additional 420 shares during the last quarter. Price T Rowe Associates Inc. MD increased its position in Sonic Automotive by 3.7% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 12,806 shares of the company’s stock worth $730,000 after buying an additional 458 shares during the period. Finally, Allspring Global Investments Holdings LLC acquired a new position in shares of Sonic Automotive during the first quarter worth approximately $30,000. 46.92% of the stock is owned by institutional investors.

Sonic Automotive Stock Performance

Shares of NYSE SAH opened at $57.56 on Monday. The stock’s fifty day simple moving average is $58.47 and its 200 day simple moving average is $56.08. The stock has a market capitalization of $1.96 billion, a price-to-earnings ratio of 11.80 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 has a 52-week low of $41.19 and a 52-week high of $64.68.

Sonic Automotive (NYSE:SAH) last released its earnings results 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 the consensus estimate of $3.56 billion. During the same period last year, the firm posted $1.83 earnings per share. The firm’s quarterly revenue was down 5.5% compared to the same quarter last year. As a group, sell-side analysts forecast that Sonic Automotive will post 5.79 earnings per share for the current fiscal year.

Sonic Automotive Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 15th. Investors of record on Friday, September 13th will be given a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 2.08%. The ex-dividend date of this dividend is Friday, September 13th. Sonic Automotive’s payout ratio is presently 24.59%.

Sonic Automotive Company Profile

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.