Needham & Company LLC Reiterates Buy Rating for Sonic Automotive (NYSE:SAH)

Sonic Automotive (NYSE:SAH)‘s stock had its “buy” rating reaffirmed by research analysts at Needham & Company LLC in a note issued to investors on Thursday,Benzinga reports. They presently have a $74.00 price objective on the stock. Needham & Company LLC’s price objective indicates a potential upside of 7.84% from the company’s previous close.

Other research analysts have also recently issued reports about the company. Seaport Res Ptn raised Sonic Automotive from a “hold” rating to a “strong-buy” rating in a report on Thursday, November 21st. Morgan Stanley upgraded shares of Sonic Automotive from an “underweight” rating to an “equal weight” rating and upped their target price for the stock from $40.00 to $58.00 in a research report on Wednesday, September 25th. Finally, Bank of America lowered their price target on shares of Sonic Automotive from $67.00 to $66.00 and set a “buy” rating for the company in a report on Monday, October 14th. Two analysts have rated the stock with a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $67.40.

Sonic Automotive Price Performance

NYSE:SAH opened at $68.62 on Thursday. The firm has a market cap of $2.35 billion, a PE ratio of 12.21 and a beta of 1.67. The company’s 50-day moving average price is $65.42 and its two-hundred day moving average price is $60.17. The company has a quick ratio of 0.35, a current ratio of 1.11 and a debt-to-equity ratio of 1.87. Sonic Automotive has a 12 month low of $47.82 and a 12 month high of $70.88.

Sonic Automotive (NYSE:SAH) last released its quarterly earnings results on Thursday, October 24th. The company reported $1.26 EPS 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 for the quarter, compared to the consensus estimate of $3.55 billion. During the same quarter last year, the company earned $2.02 earnings per share. The firm’s revenue was down 4.2% on a year-over-year basis. On average, equities analysts anticipate that Sonic Automotive will post 5.6 EPS for the current fiscal year.

Institutional Investors Weigh In On Sonic Automotive

Institutional investors and hedge funds have recently modified their holdings of the business. Point72 Asia Singapore Pte. Ltd. grew its holdings in Sonic Automotive by 100.3% during the 3rd quarter. Point72 Asia Singapore Pte. Ltd. now owns 1,196 shares of the company’s stock worth $70,000 after acquiring an additional 599 shares during the period. Point72 DIFC Ltd grew its stake in shares of Sonic Automotive by 6.9% during the second quarter. Point72 DIFC Ltd now owns 2,900 shares of the company’s stock worth $158,000 after purchasing an additional 187 shares during the period. Intech Investment Management LLC acquired a new stake in shares of Sonic Automotive during the second quarter worth $228,000. Inspire Investing LLC increased its holdings in Sonic Automotive by 3.4% in the second quarter. Inspire Investing LLC now owns 6,475 shares of the company’s stock valued at $353,000 after purchasing an additional 211 shares during the last quarter. Finally, MQS Management LLC acquired a new position in Sonic Automotive in the third quarter valued at about $394,000. 46.92% of the stock is owned by 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.