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CACC

Credit Acceptance Corporation

CACC

Credit Acceptance Corporation • NASDAQ
$461.97 ▲ 2.53% (+11.40)
Market Cap $5.10 B
52w High $560.00
52w Low $401.90
Dividend Yield 0%
P/E 12.25
Volume 68.42K
Outstanding Shares 11.03M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $576.4M ▲ $213.1M ▼ $108.2M ▲ 18.772% ▲ $9.62 ▲ $149.7M ▲
Q2-2025 $575.6M ▲ $244.4M ▲ $87.4M ▼ 15.184% ▼ $7.55 ▼ $116.4M ▼
Q1-2025 $562.3M ▲ $208.8M ▲ $106.3M ▼ 18.904% ▼ $8.79 ▼ $141M ▼
Q4-2024 $557.7M ▲ $167.4M ▼ $151.9M ▲ 27.237% ▲ $12.33 ▲ $190.6M ▲
Q3-2024 $543.6M $236.8M $78.8M 14.496% $6.42 $106.7M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $607.7M ▲ $8.641B ▼ $7.062B ▼ $1.579B ▲
Q2-2025 $572.3M ▼ $8.725B ▼ $7.17B ▼ $1.555B ▼
Q1-2025 $1.133B ▲ $9.258B ▼ $7.547B ▼ $1.711B ▼
Q4-2024 $854.5M ▲ $9.741B ▲ $7.992B ▲ $1.75B ▲
Q3-2024 $159.7M $8.683B $7.037B $1.647B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $108.2M ▲ $299.4M ▲ $-127.6M ▲ $-236.8M ▲ $-65M ▲ $298.8M ▲
Q2-2025 $87.4M ▼ $139.7M ▼ $-194.2M ▲ $-502.3M ▼ $-556.8M ▼ $139.4M ▼
Q1-2025 $106.3M ▼ $346.2M ▲ $-291.6M ▼ $221M ▲ $275.6M ▲ $345.9M ▲
Q4-2024 $151.9M ▲ $306.2M ▼ $-187.2M ▲ $9.7M ▼ $128.7M ▼ $305.5M ▼
Q3-2024 $78.8M $317.7M $-424M $305M $198.7M $317.3M

Five-Year Company Overview

Income Statement

Income Statement Revenue has trended upward over the last several years, but profits are well below the very strong levels seen a few years ago. The business still earns money, yet margins appear to have narrowed, suggesting higher costs, credit losses, or funding pressures. Earnings per share have fallen meaningfully from prior peaks, which tells you that the company is now in a more normal or even pressured profitability phase rather than the unusually strong period it enjoyed earlier. Overall, it remains profitable but with less cushion than in the past.

Balance Sheet

Balance Sheet The balance sheet has grown as the company has expanded its lending activities, with total assets climbing steadily. This growth has been funded largely with debt, while shareholder equity has stayed fairly flat, which points to rising leverage over time. Cash on hand is quite modest, which is typical for a lender that constantly reinvests into loans but also means it depends heavily on access to funding markets and credit facilities. The structure is efficient but leaves less room for error if credit conditions or capital markets were to tighten.

Cash Flow

Cash Flow Despite profit volatility, the business has generated solid and fairly steady operating cash flow over the past several years. Free cash flow closely mirrors operating cash flow because the company has very low capital spending needs, which is attractive from a cash generation standpoint. This means most cash coming in from loan collections is available to service debt, build capital, or repurchase shares, rather than being tied up in equipment or physical assets. The main underlying risk is that this healthy cash flow assumes collections on a subprime customer base continue to hold up through economic cycles.

Competitive Edge

Competitive Edge Credit Acceptance occupies a focused niche in subprime auto lending, where many traditional lenders are hesitant to operate. Its proprietary CAPS system, very fast decisioning, and end‑to‑end dealer platform create real convenience for dealers. The risk‑sharing Portfolio Program and long‑standing dealer relationships form a tight ecosystem that is not easy for competitors to copy quickly. At the same time, the company is exposed to a tough regulatory spotlight, a credit‑sensitive customer base, and competition from other data‑driven or captive auto finance players, especially if they push more aggressively into this segment.

Innovation and R&D

Innovation and R&D Innovation is centered on software, data, and process improvements rather than classic lab R&D. The company’s in‑house platform, rapid credit decisioning, and eContracting capabilities show a clear focus on digitizing and speeding up the dealer and customer experience. Recent efforts to modernize systems and integrate better with dealer software platforms should help deepen ties with dealers and keep the offering competitive. New leadership with a digital and marketing background could accelerate moves into more advanced analytics and potentially AI‑driven underwriting, though these initiatives need careful execution to manage risk and regulatory scrutiny.

Summary

Credit Acceptance is a specialized subprime auto lender with an entrenched dealer network, a technology‑driven platform, and a distinctive risk‑sharing model that together provide meaningful competitive advantages. It continues to grow its asset base and generate strong cash flow, but profits have come down from earlier highs and leverage has edged up, leaving less margin for error. The business is fundamentally tied to the health of subprime borrowers, funding costs, and regulatory attitudes toward this type of lending, all of which can shift with the economic cycle. The main things to watch are credit performance in its loan portfolio, trends in funding costs, dealer retention and satisfaction, and the company’s ability to successfully execute its technology and data‑driven strategy under new leadership.

NEWS

November 17, 2025 · 4:02 PM UTC

Credit Acceptance Named a 2025 Top Workplace in Michigan by the Detroit Free Press

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November 13, 2025 · 4:02 PM UTC

Credit Acceptance Announces Completion of $500.0 Million Asset-Backed Financing

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October 30, 2025 · 4:01 PM UTC

Credit Acceptance Announces Third Quarter 2025 Results

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October 28, 2025 · 8:45 AM UTC

Credit Acceptance Announces CEO Transition: Kenneth S. Booth to Retire as CEO; Vinayak Hegde Appointed as Next CEO

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October 23, 2025 · 4:02 PM UTC

Credit Acceptance Announces Timing of Third Quarter 2025 Earnings Release and Webcast

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