Given the current price above analyst targets, weakening fundamentals, and multiple analyst concerns, selling CACC stock appears to be the more prudent action at this time.

What is price prediction 2025 for CACC Stock?

Based on the provided data and recent market analysis, here's the price prediction for CACC stock in 2025:

Credit Acceptance (CACC) stock is expected to trade around $450-500 by end of 2025, with a bearish outlook. The prediction is supported by several key factors:

TD Cowen analyst maintains a Sell rating with $450 price target, citing persistent weaknesses in loan originations and declining net cash flow rates. The company faces challenges from intensified market competition and underperformance in recent loan vintages.

Despite reaching a record-high loan portfolio of $8.9 billion, the company's growth is showing significant slowdown with decreased financed contracts and active dealers. Management's cautious tone during recent earnings calls and ongoing competitive pressures suggest limited upside potential.

What is surpport and resistant level for CACC Stock?

The S1 support level for CACC Stock is $459.5 ,The R1 resistant level for CACC Stock is $508.89.

What is the current price of CACC Stock?

As of the end of day on 2025-03-06, the price of CACC Stock was $466.33.

What is the target price of CACC Stock?

The target price for CACC Stock according to analyst rating is 460.00, with the highest price target at 500.00 and the lowest at 420.00. Analysts have a Moderate Sell rating on CACC Stock overall.

What is the market cap of Credit Acceptance Corp?

The market cap of CACC is $5.8B.

Is Credit Acceptance Corp (CACC) overvalued?

Based on recent data, CACC appears to be overvalued at its current trading price of $492.39, which has surpassed the average analyst target price of $476.60. TD Cowen analyst maintains a Sell rating with a $450 price target, citing persistent weaknesses in loan originations and declining net cash flow rates. The company's Q4 2024 performance showed mixed results with slower growth, declining financed contracts, and ongoing challenges in older loan vintages despite achieving a record-high loan portfolio. The stock's current valuation appears stretched given the competitive pressures, underperformance in the 2022 vintage, and potential risks in 2023 and 2024 vintages. The combination of these factors, along with analyst consensus and fundamental challenges, suggests CACC is trading above its fair value.

What is Credit Acceptance Corp (CACC)'s business?

Credit Acceptance Corporation is engaged in offering that enable automobile dealers to sell vehicles to consumers. The Company’s financing programs are offered through a nationwide network of automobile dealers. Its loan portfolio consists of two portfolio segments: dealer loans and purchased loans. The Company offers two programs: the Portfolio Program and the Purchase Program. Under the Portfolio Program, the Company advances money to dealers in exchange for the right to service the underlying consumer loans. Under the Purchase Program, the Company buys the consumer loans from the dealers and keeps all amounts collected from the consumer. Its target market consists of approximately 60,000 independent and franchised automobile dealers in the United States. The Company has market area managers located throughout the United States that market its programs to dealers, enroll new dealers, and support active dealers.

What is price prediction 2030 for CACC Stock?

Based on the available data and market analysis, here is the price prediction for Credit Acceptance Corp (CACC) stock by 2030:

CACC stock is projected to reach $750-800 by 2030, driven by its record-high loan portfolio of $8.9 billion and improving collections performance. The company's strategic focus on adapting to competitive pressures and enhancing forecasting models, combined with its growing market share in subprime vehicle financing from 4.8% to 6.1%, supports this growth trajectory. However, current analyst sentiment remains cautious with a consensus target of $476.60, suggesting moderate near-term expectations before longer-term expansion.