Sonic Automotive (NYSE:SAH) Sets New 1-Year High – Here’s Why

Sonic Automotive, Inc. (NYSE:SAH)’s stock price reached a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $72.90 and last traded at $69.55, with a volume of 675 shares traded. The stock had previously closed at $70.08.

Analysts Set New Price Targets

SAH has been the subject of a number of analyst reports. Needham & Company LLC restated a “buy” rating and issued a $74.00 price objective on shares of Sonic Automotive in a research report on Thursday, January 16th. Bank of America reduced their target price on Sonic Automotive from $67.00 to $66.00 and set a “buy” rating for the company in a research report on Monday, October 14th. Seaport Res Ptn upgraded Sonic Automotive from a “hold” rating to a “strong-buy” rating in a research report on Thursday, November 21st. Finally, JPMorgan Chase & Co. cut their target price on shares of Sonic Automotive from $75.00 to $74.00 and set an “overweight” rating for the company in a research report on Friday, January 17th. Two analysts have rated the stock with a hold rating, three have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $67.20.

Sonic Automotive Trading Up 1.3 %

The company has a market cap of $2.36 billion, a PE ratio of 12.31 and a beta of 1.67. The stock has a 50 day moving average price of $65.93 and a 200 day moving average price of $60.82. The company has a current ratio of 1.11, a quick ratio of 0.35 and a debt-to-equity ratio of 1.87.

Sonic Automotive (NYSE:SAH) last released its earnings results on Thursday, October 24th. The company reported $1.26 earnings per share for the quarter, missing analysts’ consensus estimates of $1.43 by ($0.17). Sonic Automotive had a return on equity of 21.27% and a net margin of 1.41%. The business had revenue of $3.49 billion during the quarter, compared to analysts’ expectations of $3.55 billion. During the same period in the prior year, the company earned $2.02 earnings per share. The firm’s quarterly revenue was down 4.2% compared to the same quarter last year. Sell-side analysts predict that Sonic Automotive, Inc. will post 5.61 EPS for the current fiscal year.

Hedge Funds Weigh In On Sonic Automotive

Several large investors have recently made changes to their positions in the business. R Squared Ltd purchased a new position in Sonic Automotive during the fourth quarter valued at $72,000. SG Americas Securities LLC purchased a new stake in Sonic Automotive during the 4th quarter valued at about $244,000. Harbor Capital Advisors Inc. raised its holdings in Sonic Automotive by 1.8% in the fourth quarter. Harbor Capital Advisors Inc. now owns 56,361 shares of the company’s stock worth $3,570,000 after buying an additional 978 shares during the last quarter. JPMorgan Chase & Co. grew its holdings in shares of Sonic Automotive by 68.6% during the third quarter. JPMorgan Chase & Co. now owns 53,231 shares of the company’s stock valued at $3,113,000 after buying an additional 21,650 shares during the last quarter. Finally, Franklin Resources Inc. increased its position in shares of Sonic Automotive by 6.7% during the third quarter. Franklin Resources Inc. now owns 9,643 shares of the company’s stock valued at $530,000 after acquiring an additional 609 shares in the last quarter. 46.92% of the stock is currently owned by hedge funds and other institutional investors.

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.