Credit Acceptance Insider Offloads $10.8M Stock, Keeps 102k Shares
Rhea-AI Filing Summary
Form 4 filing overview (CACC – 7/2/2025): 10% owner Jill Foss Watson, trustee of the Jill Foss Watson Living Trust, executed a series of open-market sales totaling 20,000 shares of Credit Acceptance Corp. common stock on 2 July 2025. The shares were sold in ten separate blocks at weighted-average prices ranging from $535.87 to $546.28 per share. After completion of the transactions, the trust’s direct beneficial ownership fell from 122,107 shares (implied) to 102,107 shares.
The transaction generated gross proceeds of roughly $10.8 million (20,000 × ≈$540). Footnote 2 notes a non-cash transfer of 30,180 shares into the Living Trust since the prior Form 4, which did not affect the reporter’s pecuniary interest. No derivative securities were involved, and the filing was made by a single reporting person. The sales reduce the insider’s stake by about 16%, which investors often view as a potential bearish signal, especially when conducted by a >10% holder.
Positive
- None.
Negative
- 20,000 shares sold by a 10% owner at market prices, representing roughly 16 % of her holdings and signalling reduced insider commitment.
Insights
TL;DR – Large insider sells 20k CACC shares (~$10.8 M), trimming stake 16%; modestly bearish signal.
As a 10% owner, Watson’s sale is noteworthy because it represents meaningful liquidity (≈0.16 % of outstanding shares, ≈16 % of her personal stake). While Form 4s cannot reveal motive, the absence of derivative exercise and the use of market sales suggests straightforward profit-taking. The wide but elevated price band ($536-$546) indicates an attempt to capitalize on recent strength in CACC’s share price. Importantly, Watson still owns >100 k shares, so she remains a significant holder. Nevertheless, large insider sales historically correlate with short-term underperformance, particularly when they are not offset by insider buys. From a portfolio-management standpoint, the filing is impactful enough to warrant monitoring but not necessarily a sole sell trigger.
Insider Trade Summary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Common Stock | 857 | $536.26 | $460K |
| Sale | Common Stock | 3,275 | $537.34 | $1.76M |
| Sale | Common Stock | 434 | $538.63 | $234K |
| Sale | Common Stock | 2,132 | $539.63 | $1.15M |
| Sale | Common Stock | 7,728 | $540.45 | $4.18M |
| Sale | Common Stock | 3,302 | $540.58 | $1.78M |
| Sale | Common Stock | 1,325 | $541.34 | $717K |
| Sale | Common Stock | 3 | $543.19 | $2K |
| Sale | Common Stock | 58 | $542.14 | $31K |
| Sale | Common Stock | 886 | $546.10 | $484K |
Footnotes (1)
- The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $535.87 to $536.81, inclusive. The reporting person undertakes to provide to Credit Acceptance Corporation, any security holder of Credit Acceptance Corporation, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in the preceding sentence. Includes an increase of 30,180 additional shares from the reporting person's last Form 4 that were transferred to the Jill Foss Watson Living Trust from the reporting person's grantor retained annuity trust for no consideration. The reporting person's pecuniary interest in the transferred shares did not change as a result of the transfer. These shares are owned of record by Jill Foss Watson, as Trustee of the Jill Foss Watson Living Trust. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $537.00 to $537.89, inclusive. The reporting person undertakes to provide to Credit Acceptance Corporation, any security holder of Credit Acceptance Corporation, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in the preceding sentence. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $538.00 to $538.70, inclusive. The reporting person undertakes to provide to Credit Acceptance Corporation, any security holder of Credit Acceptance Corporation, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in the preceding sentence. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $539.05 to $539.83, inclusive. The reporting person undertakes to provide to Credit Acceptance Corporation, any security holder of Credit Acceptance Corporation, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in the preceding sentence. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $540.00 to $540.98, inclusive. The reporting person undertakes to provide to Credit Acceptance Corporation, any security holder of Credit Acceptance Corporation, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in the preceding sentence. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $540.16 to $541.00, inclusive. The reporting person undertakes to provide to Credit Acceptance Corporation, any security holder of Credit Acceptance Corporation, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in the preceding sentence. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $541.00 to $541.85, inclusive. The reporting person undertakes to provide to Credit Acceptance Corporation, any security holder of Credit Acceptance Corporation, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in the preceding sentence. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $542.00 to $542.32, inclusive. The reporting person undertakes to provide to Credit Acceptance Corporation, any security holder of Credit Acceptance Corporation, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in the preceding sentence. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $546.07 to $546.28, inclusive. The reporting person undertakes to provide to Credit Acceptance Corporation, any security holder of Credit Acceptance Corporation, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in the preceding sentence.
