Wall Street brokerages expect KAR Auction Services Inc (NYSE:KAR) to report $0.84 earnings per share (EPS) for the current quarter, according to Zacks Investment Research. Five analysts have made estimates for KAR Auction Services’ earnings, with the highest EPS estimate coming in at $0.90 and the lowest estimate coming in at $0.80. KAR Auction Services posted earnings per share of $0.82 in the same quarter last year, which suggests a positive year-over-year growth rate of 2.4%. The firm is expected to report its next earnings results on Tuesday, August 6th.
According to Zacks, analysts expect that KAR Auction Services will report full-year earnings of $2.93 per share for the current financial year, with EPS estimates ranging from $2.90 to $2.98. For the next year, analysts expect that the firm will post earnings of $3.23 per share, with EPS estimates ranging from $3.00 to $3.42. Zacks Investment Research’s earnings per share calculations are an average based on a survey of analysts that follow KAR Auction Services.
KAR Auction Services (NYSE:KAR) last issued its quarterly earnings results on Tuesday, May 7th. The specialty retailer reported $0.70 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.77 by ($0.07). KAR Auction Services had a net margin of 8.17% and a return on equity of 25.43%. The firm had revenue of $1.05 billion for the quarter, compared to the consensus estimate of $1.01 billion. During the same quarter in the prior year, the firm earned $0.82 earnings per share. The company’s revenue was up 10.1% on a year-over-year basis.
Several equities analysts recently issued reports on KAR shares. Zacks Investment Research upgraded KAR Auction Services from a “sell” rating to a “hold” rating in a research note on Friday, May 31st. ValuEngine upgraded KAR Auction Services from a “hold” rating to a “buy” rating in a research note on Friday, June 7th. Robert W. Baird reiterated a “buy” rating and issued a $56.00 price objective on shares of KAR Auction Services in a research note on Wednesday, February 20th. Finally, Barrington Research reiterated a “buy” rating on shares of KAR Auction Services in a research note on Wednesday, February 20th. Three analysts have rated the stock with a hold rating and four have given a buy rating to the company’s stock. KAR Auction Services currently has a consensus rating of “Buy” and an average price target of $61.50.
Several hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc grew its position in KAR Auction Services by 2.1% in the 3rd quarter. Vanguard Group Inc now owns 12,750,324 shares of the specialty retailer’s stock worth $761,067,000 after purchasing an additional 260,521 shares in the last quarter. SG Americas Securities LLC purchased a new position in shares of KAR Auction Services during the 4th quarter worth $104,000. Kayne Anderson Rudnick Investment Management LLC purchased a new position in shares of KAR Auction Services during the 4th quarter worth $296,000. Canada Pension Plan Investment Board purchased a new position in shares of KAR Auction Services during the 4th quarter worth $6,370,000. Finally, Opus Capital Group LLC raised its holdings in shares of KAR Auction Services by 12.0% during the 4th quarter. Opus Capital Group LLC now owns 12,775 shares of the specialty retailer’s stock worth $609,000 after acquiring an additional 1,365 shares during the period. Institutional investors own 99.45% of the company’s stock.
KAR traded up $0.32 on Tuesday, hitting $60.39. 149,160 shares of the stock traded hands, compared to its average volume of 1,117,305. KAR Auction Services has a 52 week low of $43.32 and a 52 week high of $64.55. The company has a quick ratio of 1.17, a current ratio of 1.17 and a debt-to-equity ratio of 2.38. The firm has a market capitalization of $8.01 billion, a price-to-earnings ratio of 20.43, a P/E/G ratio of 2.13 and a beta of 1.06.
The business also recently disclosed a quarterly dividend, which was paid on Monday, June 17th. Stockholders of record on Monday, June 3rd were paid a $0.35 dividend. The ex-dividend date was Friday, May 31st. This represents a $1.40 annualized dividend and a dividend yield of 2.32%. KAR Auction Services’s dividend payout ratio is currently 47.30%.
About KAR Auction Services
KAR Auction Services, Inc, together with its subsidiaries, provides used car auction and salvage auction services in the United States, Canada, Mexico, and the United Kingdom. The company operates through three segments: ADESA Auctions, IAA, and AFC. The ADESA Auctions segment offers whole car auctions and related services to the vehicle remarketing industry through online auctions and auction facilities.
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