Group 1 Automotive, Inc. (NYSE:GPI) Given Average Recommendation of “Moderate Buy” by Brokerages

Group 1 Automotive, Inc. (NYSE:GPI) has earned a consensus recommendation of “Moderate Buy” from the eleven research firms that are presently covering the firm, Marketbeat Ratings reports. Five research analysts have rated the stock with a hold recommendation and six have issued a buy recommendation on the company. The average 1-year price target among brokers that have covered the stock in the last year is $475.75.

A number of equities research analysts recently commented on GPI shares. Zacks Research downgraded Group 1 Automotive from a “strong-buy” rating to a “hold” rating in a report on Wednesday, August 13th. Morgan Stanley set a $460.00 target price on Group 1 Automotive in a research report on Monday. Barclays started coverage on Group 1 Automotive in a research note on Tuesday, November 11th. They issued an “overweight” rating and a $510.00 price target for the company. JPMorgan Chase & Co. reduced their price objective on shares of Group 1 Automotive from $435.00 to $410.00 and set a “neutral” rating on the stock in a research note on Wednesday, November 5th. Finally, Wall Street Zen downgraded shares of Group 1 Automotive from a “buy” rating to a “hold” rating in a research note on Saturday, August 30th.

Group 1 Automotive Trading Up 0.2%

Shares of NYSE GPI opened at $405.13 on Thursday. Group 1 Automotive has a fifty-two week low of $355.91 and a fifty-two week high of $490.09. The firm has a market capitalization of $5.12 billion, a P/E ratio of 14.18, a P/E/G ratio of 1.10 and a beta of 0.90. The company has a debt-to-equity ratio of 1.06, a current ratio of 1.06 and a quick ratio of 0.25. The company’s 50 day simple moving average is $411.66 and its 200 day simple moving average is $432.75.

Group 1 Automotive (NYSE:GPI) last issued its earnings results on Tuesday, October 28th. The company reported $10.45 EPS for the quarter, missing the consensus estimate of $10.64 by ($0.19). The business had revenue of $5.78 billion for the quarter, compared to the consensus estimate of $5.67 billion. Group 1 Automotive had a net margin of 1.67% and a return on equity of 18.08%. The business’s revenue was up 10.7% on a year-over-year basis. During the same quarter in the previous year, the firm posted $9.90 EPS. On average, analysts predict that Group 1 Automotive will post 41 EPS for the current year.

Group 1 Automotive Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, December 15th. Investors of record on Monday, December 1st will be given a $0.50 dividend. The ex-dividend date is Monday, December 1st. This represents a $2.00 dividend on an annualized basis and a dividend yield of 0.5%. Group 1 Automotive’s dividend payout ratio is currently 7.00%.

Group 1 Automotive announced that its Board of Directors has approved a stock buyback program on Tuesday, November 11th that allows the company to buyback $500.00 million in outstanding shares. This buyback authorization allows the company to buy up to 10.4% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s management believes its stock is undervalued.

Institutional Investors Weigh In On Group 1 Automotive

Large investors have recently modified their holdings of the business. Salomon & Ludwin LLC acquired a new stake in Group 1 Automotive during the 3rd quarter worth approximately $26,000. Elequin Capital LP bought a new stake in shares of Group 1 Automotive during the first quarter worth $29,000. MAI Capital Management increased its position in shares of Group 1 Automotive by 131.3% during the second quarter. MAI Capital Management now owns 74 shares of the company’s stock worth $32,000 after acquiring an additional 42 shares in the last quarter. Signaturefd LLC raised its holdings in shares of Group 1 Automotive by 90.5% during the second quarter. Signaturefd LLC now owns 80 shares of the company’s stock worth $35,000 after acquiring an additional 38 shares during the period. Finally, Elevation Point Wealth Partners LLC bought a new stake in Group 1 Automotive in the 2nd quarter valued at $43,000. 99.92% of the stock is currently owned by institutional investors.

Group 1 Automotive Company Profile

Group 1 Automotive, Inc, through its subsidiaries, operates in the automotive retail industry in the United States and the United Kingdom. The company sells new and used cars, light trucks, and vehicle parts, as well as service and insurance contracts; arranges related vehicle financing; and offers automotive maintenance and repair services.