KAR Auction Services Inc. [NYSE: KAR] jumped around 1.36 points on Wednesday, while shares priced at $18.17 at the close of the session, up 8.09%. The company report on August 4, 2021 that KAR Auction Services, Inc. Reports Second Quarter 2021 Financial Results.
– Second quarter total revenue of $585.4 million, up 40% year-over-year.
– GAAP net income of $11.5 million, up from a GAAP net loss of $32.3 million in the second quarter of 2020.
KAR Auction Services Inc. stock is now -2.36% down from its year-to-date (YTD) trading value. KAR Stock saw the intraday high of $18.5739 and lowest of $15.75 per share. The company’s 52-week high price is 20.85, which means current price is +34.10% above from all time high which was touched on 01/12/21.
Compared to the average trading volume of 1.89M shares, KAR reached a trading volume of 4402341 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about KAR Auction Services Inc. [KAR]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for KAR shares is $18.78 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on KAR stock is a recommendation set at 2.30. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
BofA Securities have made an estimate for KAR Auction Services Inc. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on May 21, 2021. While these analysts kept the previous recommendation, Stephens dropped their target price from $23 to $16. The new note on the price target was released on February 18, 2021, representing the official price target for KAR Auction Services Inc. stock. Previously, the target price had yet another raise to $19, while Truist analysts kept a Hold rating on KAR stock.
The Average True Range (ATR) for KAR Auction Services Inc. is set at 0.66, with the Price to Sales ratio for KAR stock in the period of the last 12 months amounting to 1.08. The Price to Book ratio for the last quarter was 1.48, with the Price to Cash per share for the same quarter was set at 5.99.
How has KAR stock performed recently?
KAR Auction Services Inc. [KAR] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 10.32. With this latest performance, KAR shares gained by 4.97% in over the last four-week period, additionally sinking by -4.67% over the last 6 months – not to mention a rise of 14.64% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for KAR stock in for the last two-week period is set at 65.31, with the RSI for the last a single of trading hit 73.52, and the three-weeks RSI is set at 60.41 for KAR Auction Services Inc. [KAR]. The present Moving Average for the last 50 days of trading for this stock 17.34, while it was recorded at 16.96 for the last single week of trading, and 17.08 for the last 200 days.
KAR Auction Services Inc. [KAR]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and KAR Auction Services Inc. [KAR] shares currently have an operating margin of +6.95 and a Gross Margin at +32.53. KAR Auction Services Inc.’s Net Margin is presently recorded at +0.02.
Return on Total Capital for KAR is now 2.73, given the latest momentum, and Return on Invested Capital for the company is 0.01. Return on Equity for this stock inclined to 0.03, with Return on Assets sitting at 0.01. When it comes to the capital structure of this company, KAR Auction Services Inc. [KAR] has a Total Debt to Total Equity ratio set at 163.33. Additionally, KAR Total Debt to Total Capital is recorded at 62.03, with Total Debt to Total Assets ending up at 52.03. Long-Term Debt to Equity for the company is recorded at 136.50, with the Long-Term Debt to Total Capital now at 38.67.
Reflecting on the efficiency of the workforce at the company, KAR Auction Services Inc. [KAR] managed to generate an average of $50 per employee. Receivables Turnover for the company is 0.91 with a Total Asset Turnover recorded at a value of 0.33.KAR Auction Services Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.30 and a Current Ratio set at 1.30.
Earnings analysis for KAR Auction Services Inc. [KAR]
The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for KAR. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for KAR Auction Services Inc. go to 14.00%.
Insider trade positions for KAR Auction Services Inc. [KAR]
There are presently around $2,463 million, in the hands of institutional investors. The top three institutional holders of KAR stocks are: BLACKROCK INC. with ownership of 15,535,503, which is approximately 8.756% of the company’s market cap and around 1.30% of the total institutional ownership; WELLINGTON MANAGEMENT GROUP LLP, holding 12,737,100 shares of the stock with an approximate value of $231.43 million in KAR stocks shares; and VANGUARD GROUP INC, currently with $219.04 million in KAR stock with ownership of nearly -0.046% of the company’s market capitalization.
Positions in KAR Auction Services Inc. stocks held by institutional investors increased at the end of August and at the time of the August reporting period, where 127 institutional holders increased their position in KAR Auction Services Inc. [NYSE:KAR] by around 23,849,826 shares. Additionally, 157 investors decreased positions by around 24,372,356 shares, while 38 investors held positions by with 87,336,481 shares. The mentioned changes placed institutional holdings at 135,558,663 shares, according to the latest SEC report filing. KAR stock had 44 new institutional investments in for a total of 3,399,594 shares, while 54 institutional investors sold positions of 7,583,118 shares during the same period.