Sonic Automotive (NYSE:SAH) Trading Down 1.8% – Time to Sell?

Sonic Automotive, Inc. (NYSE:SAH)’s stock price fell 1.8% during trading on Friday . The company traded as low as $58.50 and last traded at $58.24. 23,743 shares traded hands during mid-day trading, a decline of 87% from the average session volume of 177,496 shares. The stock had previously closed at $59.32.

Analysts Set New Price Targets

SAH has been the topic of a number of research analyst reports. StockNews.com upgraded Sonic Automotive from a “hold” rating to a “buy” rating in a report on Wednesday, February 12th. Stephens lifted their target price on Sonic Automotive from $83.00 to $92.00 and gave the company an “overweight” rating in a report on Thursday, February 13th. Needham & Company LLC lifted their target price on Sonic Automotive from $74.00 to $100.00 and gave the company a “buy” rating in a report on Thursday, February 13th. JPMorgan Chase & Co. lifted their target price on Sonic Automotive from $74.00 to $80.00 and gave the company an “overweight” rating in a report on Wednesday, February 19th. Finally, Seaport Res Ptn upgraded Sonic Automotive from a “hold” rating to a “strong-buy” rating in a report on Thursday, November 21st. One research analyst has rated the stock with a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Sonic Automotive presently has a consensus rating of “Buy” and a consensus target price of $79.20.

Sonic Automotive Stock Performance

The stock has a 50 day simple moving average of $69.23 and a 200 day simple moving average of $63.91. The company has a market cap of $1.99 billion, a price-to-earnings ratio of 9.53 and a beta of 1.70. The company has a quick ratio of 0.35, a current ratio of 1.09 and a debt-to-equity ratio of 1.75.

Sonic Automotive (NYSE:SAH) last released its quarterly earnings results on Wednesday, February 12th. The company reported $1.51 EPS for the quarter, topping the consensus estimate of $1.46 by $0.05. Sonic Automotive had a return on equity of 19.96% and a net margin of 1.52%. As a group, analysts predict that Sonic Automotive, Inc. will post 6.14 EPS for the current year.

Sonic Automotive Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, April 15th. Investors of record on Friday, March 14th will be paid a $0.35 dividend. This represents a $1.40 annualized dividend and a dividend yield of 2.38%. The ex-dividend date is Friday, March 14th. Sonic Automotive’s dividend payout ratio (DPR) is 22.65%.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the business. Smartleaf Asset Management LLC increased its holdings in Sonic Automotive by 515.4% in the fourth quarter. Smartleaf Asset Management LLC now owns 480 shares of the company’s stock valued at $30,000 after buying an additional 402 shares during the last quarter. Canada Pension Plan Investment Board bought a new stake in Sonic Automotive in the fourth quarter valued at about $51,000. Point72 Asia Singapore Pte. Ltd. increased its holdings in Sonic Automotive by 100.3% in the third quarter. Point72 Asia Singapore Pte. Ltd. now owns 1,196 shares of the company’s stock valued at $70,000 after buying an additional 599 shares during the last quarter. R Squared Ltd bought a new stake in Sonic Automotive in the fourth quarter valued at about $72,000. Finally, Aster Capital Management DIFC Ltd increased its holdings in Sonic Automotive by 1,429.7% in the fourth quarter. Aster Capital Management DIFC Ltd now owns 1,545 shares of the company’s stock valued at $98,000 after buying an additional 1,444 shares during the last quarter. Institutional investors and hedge funds own 46.92% of the company’s stock.

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.