Sonic Automotive (NYSE:SAH) Releases Earnings Results

Sonic Automotive (NYSE:SAH) released its quarterly earnings data on Thursday. The company reported $1.26 EPS for the quarter, missing the consensus estimate of $1.43 by ($0.17), Zacks reports. Sonic Automotive had a net margin of 1.35% and a return on equity of 25.31%. The business had revenue of $3.49 billion for the quarter, compared to analysts’ expectations of $3.55 billion. During the same period last year, the business earned $2.02 earnings per share. The company’s quarterly revenue was down 4.2% on a year-over-year basis.

Sonic Automotive Stock Performance

SAH traded down $0.57 during midday trading on Friday, reaching $56.87. The company had a trading volume of 223,432 shares, compared to its average volume of 197,074. Sonic Automotive has a 1 year low of $46.33 and a 1 year high of $64.68. The company has a quick ratio of 0.36, a current ratio of 1.10 and a debt-to-equity ratio of 2.04. The company has a market cap of $1.94 billion, a P/E ratio of 10.49 and a beta of 1.60. The business has a 50-day moving average of $57.74 and a two-hundred day moving average of $56.57.

Sonic Automotive Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, January 15th. Investors of record on Friday, December 13th will be given 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 yield of 2.46%. Sonic Automotive’s payout ratio is 22.18%.

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on SAH shares. Morgan Stanley upgraded shares of Sonic Automotive from an “underweight” rating to an “equal weight” rating and upped their target price for the company from $40.00 to $58.00 in a research note on Wednesday, September 25th. JPMorgan Chase & Co. increased their price objective on shares of Sonic Automotive from $63.00 to $75.00 and gave the company an “overweight” rating in a research report on Tuesday, September 10th. Needham & Company LLC lifted their target price on shares of Sonic Automotive from $73.00 to $74.00 and gave the stock a “buy” rating in a research report on Friday. Bank of America lowered their price target on Sonic Automotive from $67.00 to $66.00 and set a “buy” rating on the stock in a report on Monday, October 14th. Finally, Stephens began coverage on Sonic Automotive in a report on Thursday, September 12th. They issued an “equal weight” rating and a $64.00 price objective for the company. Three equities research analysts have rated the stock with a hold rating and four have given a buy rating to the company’s stock. Based on data from MarketBeat, Sonic Automotive currently has an average rating of “Moderate Buy” and a consensus price target of $66.50.

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.