Phocas Financial Corp. Invests $3.65 Million in Sonic Automotive, Inc. (NYSE:SAH)

Phocas Financial Corp. bought a new stake in Sonic Automotive, Inc. (NYSE:SAH) in the third quarter, according to its most recent Form 13F filing with the SEC. The institutional investor bought 62,335 shares of the company’s stock, valued at approximately $3,645,000.

Other hedge funds have also recently added to or reduced their stakes in the company. Westwood Holdings Group Inc. grew its position in shares of Sonic Automotive by 12.6% during the first quarter. Westwood Holdings Group Inc. now owns 630,450 shares of the company’s stock worth $35,898,000 after acquiring an additional 70,540 shares during the last quarter. Millennium Management LLC boosted its stake in shares of Sonic Automotive by 3.8% in the second quarter. Millennium Management LLC now owns 456,588 shares of the company’s stock valued at $24,870,000 after buying an additional 16,556 shares in the last quarter. Victory Capital Management Inc. grew its stake in shares of Sonic Automotive by 524.4% during the 2nd quarter. Victory Capital Management Inc. now owns 100,602 shares of the company’s stock worth $5,480,000 after purchasing an additional 84,489 shares during the period. Squarepoint Ops LLC increased its holdings in shares of Sonic Automotive by 679.8% in the 2nd quarter. Squarepoint Ops LLC now owns 95,006 shares of the company’s stock valued at $5,175,000 after purchasing an additional 82,823 shares in the last quarter. Finally, Renaissance Technologies LLC lifted its stake in shares of Sonic Automotive by 26.8% in the second quarter. Renaissance Technologies LLC now owns 88,826 shares of the company’s stock valued at $4,838,000 after purchasing an additional 18,800 shares during the period. Hedge funds and other institutional investors own 46.92% of the company’s stock.

Analysts Set New Price Targets

Several research analysts have weighed in on SAH shares. Stephens began coverage on shares of Sonic Automotive in a research report on Thursday, September 12th. They set an “equal weight” rating and a $64.00 target price on the stock. JPMorgan Chase & Co. upped their price target on Sonic Automotive from $63.00 to $75.00 and gave the stock an “overweight” rating in a report on Tuesday, September 10th. Morgan Stanley raised Sonic Automotive from an “underweight” rating to an “equal weight” rating and lifted their price objective for the stock from $40.00 to $58.00 in a report on Wednesday, September 25th. Needham & Company LLC upped their target price on Sonic Automotive from $73.00 to $74.00 and gave the company a “buy” rating in a report on Friday, October 25th. Finally, Bank of America dropped their target price 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. Three analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $67.40.

Sonic Automotive Price Performance

SAH opened at $63.45 on Tuesday. Sonic Automotive, Inc. has a 52-week low of $47.82 and a 52-week high of $67.15. The company has a 50 day moving average of $58.00 and a two-hundred day moving average of $57.67. The company has a quick ratio of 0.35, a current ratio of 1.11 and a debt-to-equity ratio of 1.87. The company has a market cap of $2.17 billion, a P/E ratio of 11.29 and a beta of 1.61.

Sonic Automotive (NYSE:SAH) last announced its earnings results on Thursday, October 24th. The company reported $1.26 earnings per share for the quarter, missing the consensus estimate of $1.43 by ($0.17). Sonic Automotive had a net margin of 1.41% and a return on equity of 21.27%. The firm had revenue of $3.49 billion during the quarter, compared to analysts’ expectations of $3.55 billion. During the same quarter last year, the company posted $2.02 earnings per share. Sonic Automotive’s revenue for the quarter was down 4.2% compared to the same quarter last year. On average, analysts expect that Sonic Automotive, Inc. will post 5.7 earnings per share for the current year.

Sonic Automotive Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, January 15th. Stockholders of record on Friday, December 13th will be paid a dividend of $0.35 per share. The ex-dividend date of this dividend is Friday, December 13th. This is an increase from Sonic Automotive’s previous quarterly dividend of $0.30. This represents a $1.40 annualized dividend and a dividend yield of 2.21%. Sonic Automotive’s dividend payout ratio (DPR) is currently 21.35%.

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.