Group 1 Automotive, Inc. (NYSE:GPI) Given Consensus Recommendation of “Hold” by Brokerages

Shares of Group 1 Automotive, Inc. (NYSE:GPI) have been given an average recommendation of “Hold” by the eleven ratings firms that are covering the stock, MarketBeat Ratings reports. Six research analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. The average 12-month target price among brokers that have covered the stock in the last year is $473.25.

GPI has been the subject of several recent research reports. Evercore ISI began coverage on shares of Group 1 Automotive in a research report on Tuesday. They issued an “outperform” rating and a $500.00 price target for the company. Benchmark restated a “hold” rating on shares of Group 1 Automotive in a report on Friday, January 9th. JPMorgan Chase & Co. lowered their target price on Group 1 Automotive from $435.00 to $410.00 and set a “neutral” rating for the company in a research report on Wednesday, November 5th. Citigroup reiterated a “buy” rating on shares of Group 1 Automotive in a research report on Thursday, September 25th. Finally, Morgan Stanley set a $460.00 price target on Group 1 Automotive in a research note on Monday, December 8th.

Group 1 Automotive Price Performance

Group 1 Automotive stock opened at $402.58 on Friday. The stock has a 50-day moving average price of $401.88 and a two-hundred day moving average price of $425.09. Group 1 Automotive has a 12 month low of $355.91 and a 12 month high of $490.09. The company has a market capitalization of $5.08 billion, a PE ratio of 14.09 and a beta of 0.89. The company has a current ratio of 1.06, a quick ratio of 0.25 and a debt-to-equity ratio of 1.06.

Group 1 Automotive (NYSE:GPI) last released its quarterly earnings data on Tuesday, October 28th. The company reported $10.45 earnings per share (EPS) for the quarter, missing the consensus estimate of $10.64 by ($0.19). Group 1 Automotive had a net margin of 1.67% and a return on equity of 18.08%. The firm had revenue of $5.78 billion during the quarter, compared to analyst estimates of $5.67 billion. During the same period in the prior year, the company earned $9.90 EPS. The business’s quarterly revenue was up 10.7% compared to the same quarter last year. Analysts expect that Group 1 Automotive will post 41 EPS for the current year.

Group 1 Automotive declared that its Board of Directors has initiated a share repurchase plan on Tuesday, November 11th that allows the company to repurchase $500.00 million in outstanding shares. This repurchase authorization allows the company to purchase up to 10.4% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Group 1 Automotive Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, December 15th. Investors of record on Monday, December 1st were issued a $0.50 dividend. The ex-dividend date was Monday, December 1st. This represents a $2.00 annualized dividend and a yield of 0.5%. Group 1 Automotive’s payout ratio is presently 7.00%.

Institutional Trading of Group 1 Automotive

Several large investors have recently modified their holdings of the stock. Farther Finance Advisors LLC increased its stake in Group 1 Automotive by 2.3% in the second quarter. Farther Finance Advisors LLC now owns 1,022 shares of the company’s stock valued at $446,000 after purchasing an additional 23 shares in the last quarter. Sage Rhino Capital LLC grew its stake in Group 1 Automotive by 4.6% in the second quarter. Sage Rhino Capital LLC now owns 563 shares of the company’s stock valued at $246,000 after acquiring an additional 25 shares during the period. Assetmark Inc. increased its holdings in shares of Group 1 Automotive by 25.8% during the second quarter. Assetmark Inc. now owns 122 shares of the company’s stock valued at $53,000 after acquiring an additional 25 shares in the last quarter. NewEdge Advisors LLC raised its position in shares of Group 1 Automotive by 6.1% during the second quarter. NewEdge Advisors LLC now owns 471 shares of the company’s stock worth $206,000 after purchasing an additional 27 shares during the period. Finally, Signaturefd LLC lifted its holdings in shares of Group 1 Automotive by 54.9% in the 4th quarter. Signaturefd LLC now owns 79 shares of the company’s stock worth $31,000 after purchasing an additional 28 shares in the last quarter. Institutional investors and hedge funds own 99.92% of the company’s stock.

Group 1 Automotive Company Profile

Group 1 Automotive, Inc (NYSE: GPI) is an international automotive retailer headquartered in Houston, Texas. The company operates an extensive network of franchised dealerships, offering new and pre-owned vehicles from leading domestic and import manufacturers. In addition to vehicle sales, Group 1 Automotive provides a full complement of aftersales services, including finance and insurance products, parts distribution, collision repair centers and vehicle maintenance.

Founded in 1997, Group 1 Automotive has grown through both organic expansion and strategic acquisitions to establish a presence across the United States, the United Kingdom and Brazil.