Gabelli Funds LLC Takes Position in Sonic Co. (SONC)

Share on StockTwits

Gabelli Funds LLC acquired a new position in shares of Sonic Co. (NASDAQ:SONC) during the 3rd quarter, Holdings Channel reports. The firm acquired 193,005 shares of the restaurant operator’s stock, valued at approximately $8,365,000.

Other institutional investors have also recently added to or reduced their stakes in the company. Point72 Asset Management L.P. increased its stake in shares of Sonic by 109.0% during the 2nd quarter. Point72 Asset Management L.P. now owns 4,500 shares of the restaurant operator’s stock worth $155,000 after purchasing an additional 54,500 shares during the last quarter. Engineers Gate Manager LP acquired a new position in shares of Sonic during the 2nd quarter worth about $210,000. Oppenheimer & Co. Inc. acquired a new position in shares of Sonic during the 2nd quarter worth about $215,000. Parametrica Management Ltd acquired a new position in shares of Sonic during the 2nd quarter worth about $221,000. Finally, Edmonds Duncan Registered Investment Advisors LLC acquired a new position in shares of Sonic during the 2nd quarter worth about $243,000.

Shares of SONC opened at $43.32 on Friday. Sonic Co. has a 52 week low of $23.22 and a 52 week high of $44.87. The stock has a market capitalization of $1.55 billion, a P/E ratio of 29.07, a P/E/G ratio of 1.87 and a beta of 1.32.

Sonic (NASDAQ:SONC) last announced its quarterly earnings results on Tuesday, October 16th. The restaurant operator reported $0.52 EPS for the quarter, beating the Zacks’ consensus estimate of $0.51 by $0.01. Sonic had a net margin of 16.81% and a negative return on equity of 21.64%. The business had revenue of $111.80 million for the quarter, compared to analyst estimates of $113.22 million. During the same quarter in the prior year, the business earned $0.45 EPS. Sonic’s quarterly revenue was down 9.5% on a year-over-year basis. Equities analysts forecast that Sonic Co. will post 1.64 earnings per share for the current year.

Sonic announced that its board has initiated a share buyback plan on Wednesday, August 8th that allows the company to repurchase $500.00 million in shares. This repurchase authorization allows the restaurant operator to buy up to 40.5% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s leadership believes its stock is undervalued.

SONC has been the topic of a number of research reports. Telsey Advisory Group upped their price target on shares of Sonic from $32.00 to $40.00 and gave the company a “market perform” rating in a research note on Wednesday, September 12th. BidaskClub lowered shares of Sonic from a “strong-buy” rating to a “buy” rating in a research note on Wednesday, August 1st. Zacks Investment Research lowered shares of Sonic from a “buy” rating to a “hold” rating in a research note on Friday, July 20th. Barclays upgraded shares of Sonic from an “underweight” rating to an “equal weight” rating in a research note on Wednesday, September 26th. Finally, Piper Jaffray Companies lowered shares of Sonic from an “overweight” rating to a “neutral” rating in a research note on Tuesday, September 25th. Fourteen research analysts have rated the stock with a hold rating, two have given a buy rating and one has given a strong buy rating to the stock. The stock currently has an average rating of “Hold” and an average price target of $36.08.

In other Sonic news, insider John H. Budd III sold 89,176 shares of the business’s stock in a transaction dated Monday, October 1st. The shares were sold at an average price of $43.24, for a total value of $3,855,970.24. Following the completion of the sale, the insider now owns 32,065 shares of the company’s stock, valued at approximately $1,386,490.60. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Carolyn C. Cummins sold 2,500 shares of the business’s stock in a transaction dated Monday, October 1st. The shares were sold at an average price of $43.31, for a total transaction of $108,275.00. The disclosure for this sale can be found here. Insiders own 6.24% of the company’s stock.

TRADEMARK VIOLATION NOTICE: This news story was reported by Macon Daily and is the property of of Macon Daily. If you are reading this news story on another publication, it was illegally stolen and republished in violation of United States & international copyright & trademark law. The correct version of this news story can be viewed at https://macondaily.com/2018/11/11/gabelli-funds-llc-takes-position-in-sonic-co-sonc.html.

Sonic Company Profile

Sonic Corp. operates and franchises a chain of quick-service drive-in restaurants in the United States. As of August 31, 2017, the company operated 3,593 Sonic Drive-Ins in 45 states, of which 228 were owned and operated by the company and 3,365 were owned and operated by franchisees. The company also owns and leases 135 properties; and sublease 53 properties to franchisees and other parties.

Read More: Balance Sheet

Want to see what other hedge funds are holding SONC? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Sonic Co. (NASDAQ:SONC).

Institutional Ownership by Quarter for Sonic (NASDAQ:SONC)

Receive News & Ratings for Sonic Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Sonic and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply