ACV Auctions (NASDAQ:ACVA) Shares Gap Down After Analyst Downgrade

ACV Auctions Inc. (NASDAQ:ACVA)’s stock price gapped down before the market opened on Thursday after Needham & Company LLC lowered their price target on the stock from $28.00 to $25.00. The stock had previously closed at $20.65, but opened at $18.50. Needham & Company LLC currently has a buy rating on the stock. ACV Auctions shares last traded at $18.92, with a volume of 1,412,267 shares trading hands.

Other research analysts have also recently issued research reports about the company. Barrington Research restated an “outperform” rating and issued a $23.00 price target on shares of ACV Auctions in a research note on Monday, November 4th. Citigroup boosted their target price on ACV Auctions from $22.00 to $27.00 and gave the stock a “buy” rating in a research report on Wednesday, November 27th. Stephens raised shares of ACV Auctions to a “hold” rating in a report on Saturday, February 1st. Piper Sandler boosted their price objective on shares of ACV Auctions from $16.00 to $18.00 and gave the company a “neutral” rating in a report on Friday, November 8th. Finally, JMP Securities restated a “market outperform” rating and set a $25.00 price objective on shares of ACV Auctions in a research report on Monday, December 16th. Three analysts have rated the stock with a hold rating and seven have issued a buy rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $23.35.

Insider Activity at ACV Auctions

In other ACV Auctions news, insider Michael Waterman sold 15,000 shares of the firm’s stock in a transaction dated Tuesday, February 4th. The stock was sold at an average price of $20.27, for a total transaction of $304,050.00. Following the sale, the insider now directly owns 311,354 shares of the company’s stock, valued at $6,311,145.58. This trade represents a 4.60 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO William Zerella sold 32,500 shares of the stock in a transaction dated Tuesday, November 26th. The stock was sold at an average price of $22.41, for a total value of $728,325.00. Following the sale, the chief financial officer now owns 490,482 shares of the company’s stock, valued at $10,991,701.62. This represents a 6.21 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 125,162 shares of company stock worth $2,663,776. Corporate insiders own 8.50% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in ACVA. Vanguard Group Inc. boosted its position in shares of ACV Auctions by 5.5% during the fourth quarter. Vanguard Group Inc. now owns 14,245,915 shares of the company’s stock worth $307,712,000 after acquiring an additional 738,391 shares during the last quarter. William Blair Investment Management LLC boosted its holdings in shares of ACV Auctions by 43.2% during the 4th quarter. William Blair Investment Management LLC now owns 12,099,686 shares of the company’s stock valued at $261,353,000 after purchasing an additional 3,652,871 shares during the last quarter. Massachusetts Financial Services Co. MA grew its position in shares of ACV Auctions by 11.6% during the third quarter. Massachusetts Financial Services Co. MA now owns 8,655,640 shares of the company’s stock valued at $175,969,000 after purchasing an additional 897,477 shares in the last quarter. Alliancebernstein L.P. increased its holdings in shares of ACV Auctions by 5.3% in the fourth quarter. Alliancebernstein L.P. now owns 5,622,255 shares of the company’s stock worth $121,441,000 after purchasing an additional 284,880 shares during the last quarter. Finally, Jennison Associates LLC lifted its position in shares of ACV Auctions by 17.2% in the fourth quarter. Jennison Associates LLC now owns 4,980,354 shares of the company’s stock worth $107,576,000 after buying an additional 732,422 shares in the last quarter. 88.55% of the stock is currently owned by institutional investors.

ACV Auctions Stock Performance

The company has a market capitalization of $3.17 billion, a P/E ratio of -40.24 and a beta of 1.69. The business has a 50 day moving average of $21.27 and a 200 day moving average of $20.13. The company has a quick ratio of 1.51, a current ratio of 1.51 and a debt-to-equity ratio of 0.25.

ACV Auctions (NASDAQ:ACVA) last posted its earnings results on Wednesday, February 19th. The company reported ($0.14) EPS for the quarter, beating analysts’ consensus estimates of ($0.15) by $0.01. ACV Auctions had a negative return on equity of 12.11% and a negative net margin of 12.89%. The firm had revenue of $159.51 million during the quarter, compared to the consensus estimate of $156.77 million. On average, sell-side analysts predict that ACV Auctions Inc. will post -0.33 earnings per share for the current year.

About ACV Auctions

ACV Auctions Inc operates a digital marketplace that connects buyers and sellers for the online auction of wholesale vehicles. The company’s marketplace platform includes digital marketplace, which connects buyers and sellers by providing online auction, which facilitates real-time transactions of wholesale vehicles; Run List for pre-filtering and pre-screening of vehicles up to 24 hours prior to an auction taking place; ACV transportation service to enable the buyers to see real-time transportation quotes and status reports of the vehicle; ACV capital, a short-term inventory financing services for buyers to purchase vehicles; and Go Green’s seller assurance service for against claims related to defects in the vehicle.