Analysts Expect KAR Auction Services Inc (KAR) to Post $0.79 EPS

Equities research analysts expect KAR Auction Services Inc (NYSE:KAR) to announce earnings per share (EPS) of $0.79 for the current quarter, Zacks reports. Five analysts have made estimates for KAR Auction Services’ earnings, with the lowest EPS estimate coming in at $0.75 and the highest estimate coming in at $0.83. KAR Auction Services posted earnings per share of $0.65 during the same quarter last year, which suggests a positive year over year growth rate of 21.5%. The business is scheduled to announce its next earnings results on Tuesday, August 14th.

On average, analysts expect that KAR Auction Services will report full-year earnings of $2.99 per share for the current fiscal year, with EPS estimates ranging from $2.95 to $3.05. For the next year, analysts anticipate that the business will post earnings of $3.32 per share, with EPS estimates ranging from $3.20 to $3.70. Zacks Investment Research’s earnings per share averages are a mean average based on a survey of research analysts that follow KAR Auction Services.

KAR Auction Services (NYSE:KAR) last issued its earnings results on Tuesday, May 8th. The specialty retailer reported $0.82 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.76 by $0.06. KAR Auction Services had a return on equity of 24.93% and a net margin of 10.81%. The company had revenue of $950.50 million during the quarter, compared to the consensus estimate of $923.66 million. During the same quarter in the prior year, the business earned $0.62 earnings per share. The company’s revenue was up 9.7% compared to the same quarter last year.

KAR has been the subject of several analyst reports. Robert W. Baird reaffirmed a “buy” rating and issued a $58.00 target price on shares of KAR Auction Services in a research report on Friday, February 23rd. Barrington Research set a $55.00 target price on KAR Auction Services and gave the stock a “buy” rating in a research report on Sunday, February 25th. Gabelli raised KAR Auction Services from a “hold” rating to a “buy” rating in a report on Thursday, March 1st. Bank of America increased their price target on KAR Auction Services from $60.00 to $66.00 and gave the company a “buy” rating in a report on Friday, March 2nd. Finally, Zacks Investment Research downgraded KAR Auction Services from a “strong-buy” rating to a “hold” rating in a report on Saturday, March 3rd. Five investment analysts have rated the stock with a hold rating and seven have assigned a buy rating to the stock. The company has a consensus rating of “Buy” and a consensus target price of $58.78.

In other KAR Auction Services news, insider Rebecca C. Polak sold 39,589 shares of the stock in a transaction that occurred on Thursday, June 7th. The stock was sold at an average price of $55.20, for a total transaction of $2,185,312.80. Following the transaction, the insider now owns 51,041 shares of the company’s stock, valued at approximately $2,817,463.20. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, COO Donald S. Gottwald sold 10,000 shares of the stock in a transaction that occurred on Tuesday, May 15th. The stock was sold at an average price of $53.39, for a total value of $533,900.00. The disclosure for this sale can be found here. Insiders sold 59,589 shares of company stock valued at $3,271,213 in the last three months. 1.29% of the stock is currently owned by company insiders.

A number of large investors have recently added to or reduced their stakes in the business. Dynamic Technology Lab Private Ltd lifted its holdings in KAR Auction Services by 38.7% during the 1st quarter. Dynamic Technology Lab Private Ltd now owns 23,821 shares of the specialty retailer’s stock worth $1,291,000 after buying an additional 6,651 shares during the last quarter. Suntrust Banks Inc. lifted its holdings in KAR Auction Services by 5.7% during the 1st quarter. Suntrust Banks Inc. now owns 55,629 shares of the specialty retailer’s stock worth $3,014,000 after buying an additional 2,999 shares during the last quarter. Allianz Asset Management GmbH lifted its holdings in KAR Auction Services by 16.4% during the 1st quarter. Allianz Asset Management GmbH now owns 823,105 shares of the specialty retailer’s stock worth $44,612,000 after buying an additional 115,891 shares during the last quarter. Amalgamated Bank lifted its holdings in KAR Auction Services by 6.8% during the 1st quarter. Amalgamated Bank now owns 28,892 shares of the specialty retailer’s stock worth $1,566,000 after buying an additional 1,851 shares during the last quarter. Finally, Summit Trail Advisors LLC lifted its holdings in KAR Auction Services by 0.9% during the 1st quarter. Summit Trail Advisors LLC now owns 122,908 shares of the specialty retailer’s stock worth $6,594,000 after buying an additional 1,079 shares during the last quarter.

Shares of KAR Auction Services traded up $0.39, hitting $55.14, on Friday, according to MarketBeat Ratings. The company had a trading volume of 637,514 shares, compared to its average volume of 940,239. KAR Auction Services has a 12-month low of $40.27 and a 12-month high of $56.75. The company has a debt-to-equity ratio of 1.75, a current ratio of 1.30 and a quick ratio of 1.30. The company has a market capitalization of $7.44 billion, a price-to-earnings ratio of 22.06, a PEG ratio of 1.32 and a beta of 1.09.

The firm also recently declared a quarterly dividend, which will be paid on Thursday, July 5th. Investors of record on Thursday, June 21st will be issued a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a yield of 2.54%. The ex-dividend date is Wednesday, June 20th. KAR Auction Services’s dividend payout ratio is currently 56.00%.

KAR Auction Services Company Profile

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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Earnings History and Estimates for KAR Auction Services (NYSE:KAR)

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