Sonic Automotive (NYSE:SAH) Announces Quarterly Earnings Results, Misses Expectations By $0.17 EPS

Sonic Automotive (NYSE:SAH - Get Free Report) announced 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. The company had revenue of $3.49 billion during the quarter, compared to analysts' expectations of $3.55 billion. Sonic Automotive had a net margin of 1.35% and a return on equity of 25.31%. The business's revenue for the quarter was down 4.2% compared to the same quarter last year. During the same period in the previous year, the business earned $2.02 earnings per share.

Sonic Automotive Price Performance

NYSE:SAH traded down $0.53 during trading hours on Friday, hitting $56.91. 226,774 shares of the stock were exchanged, compared to its average volume of 197,074. The firm's fifty day moving average price is $57.66 and its 200 day moving average price is $56.60. Sonic Automotive has a 52-week low of $46.33 and a 52-week high of $64.68. The company has a market cap of $1.94 billion, a P/E ratio of 10.52 and a beta of 1.60. The company has a current ratio of 1.10, a quick ratio of 0.36 and a debt-to-equity ratio of 2.04.

Sonic Automotive Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, January 15th. Investors of record on Friday, December 13th will be paid a $0.35 dividend. The ex-dividend date is Friday, December 13th. This is a positive change from Sonic Automotive's previous quarterly dividend of $0.30. This represents a $1.40 dividend on an annualized basis and a yield of 2.46%. Sonic Automotive's dividend payout ratio (DPR) is currently 22.18%.

Wall Street Analysts Forecast Growth

SAH has been the topic of a number of recent analyst reports. Needham & Company LLC upped their price target on shares of Sonic Automotive from $73.00 to $74.00 and gave the company a "buy" rating in a research note on Friday. Stephens started coverage on Sonic Automotive in a research report on Thursday, September 12th. They issued an "equal weight" rating and a $64.00 target price on the stock. JPMorgan Chase & Co. lifted their price target on Sonic Automotive from $63.00 to $75.00 and gave the stock an "overweight" rating in a research report on Tuesday, September 10th. Bank of America cut their price objective 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, Morgan Stanley upgraded Sonic Automotive from an "underweight" rating to an "equal weight" rating and raised their price objective for the stock from $40.00 to $58.00 in a research note on Wednesday, September 25th. Three research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $66.50.

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.