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Compared to Estimates, Credit Acceptance (CACC) Q3 Earnings: A Look at Key Metrics

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For the quarter ended September 2023, Credit Acceptance (CACC - Free Report) reported revenue of $478.6 million, up 4% over the same period last year. EPS came in at $5.43, compared to $6.49 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $485.68 million, representing a surprise of -1.46%. The company delivered an EPS surprise of -17.60%, with the consensus EPS estimate being $6.59.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Credit Acceptance performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenue- Other income: $16.10 million compared to the $20.03 million average estimate based on three analysts. The reported number represents a change of -30.9% year over year.
  • Revenue- Premiums earned: $20.80 million compared to the $19.64 million average estimate based on three analysts. The reported number represents a change of +26.8% year over year.
  • Revenue- Finance charges: $441.70 million compared to the $446.01 million average estimate based on three analysts. The reported number represents a change of +5% year over year.
View all Key Company Metrics for Credit Acceptance here>>>

Shares of Credit Acceptance have returned -12.1% over the past month versus the Zacks S&P 500 composite's -3.6% change. The stock currently has a Zacks Rank #5 (Strong Sell), indicating that it could underperform the broader market in the near term.

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