Group 1 Automotive, Inc. (NYSE:GPI) Receives Average Rating of “Moderate Buy” from Brokerages

Shares of Group 1 Automotive, Inc. (NYSE:GPI) have received an average rating of “Moderate Buy” from the six ratings firms that are covering the firm, Marketbeat Ratings reports. One analyst has rated the stock with a hold rating and five have assigned a buy rating to the company. The average 12 month price target among analysts that have covered the stock in the last year is $447.83.

Several equities analysts recently commented on the stock. Stephens reaffirmed an “equal weight” rating and set a $460.00 target price on shares of Group 1 Automotive in a report on Thursday, January 30th. Jefferies Financial Group started coverage on shares of Group 1 Automotive in a research report on Friday, December 13th. They set a “buy” rating and a $500.00 price target for the company. Guggenheim increased their price target on shares of Group 1 Automotive from $420.00 to $442.00 and gave the company a “buy” rating in a research report on Thursday, November 21st. JPMorgan Chase & Co. dropped their price target on shares of Group 1 Automotive from $425.00 to $420.00 and set an “overweight” rating for the company in a research report on Friday, January 17th. Finally, StockNews.com raised shares of Group 1 Automotive from a “sell” rating to a “hold” rating in a research report on Friday, November 8th.

Group 1 Automotive Price Performance

GPI stock opened at $484.93 on Friday. The company has a debt-to-equity ratio of 0.91, a quick ratio of 0.24 and a current ratio of 1.00. Group 1 Automotive has a 52 week low of $258.77 and a 52 week high of $489.99. The firm’s fifty day moving average is $437.06 and its 200 day moving average is $395.74. The firm has a market cap of $6.46 billion, a P/E ratio of 13.20 and a beta of 1.36.

Group 1 Automotive (NYSE:GPI) last released its earnings results on Wednesday, January 29th. The company reported $10.02 EPS for the quarter, beating the consensus estimate of $8.77 by $1.25. Group 1 Automotive had a net margin of 2.47% and a return on equity of 18.25%. Research analysts predict that Group 1 Automotive will post 40.86 earnings per share for the current year.

Group 1 Automotive announced that its board has approved a stock buyback program on Tuesday, November 12th that authorizes the company to repurchase $500.00 million in shares. This repurchase authorization authorizes the company to purchase up to 9.3% of its shares through open market purchases. Shares repurchase programs are generally an indication that the company’s management believes its stock is undervalued.

Group 1 Automotive Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, March 17th. Stockholders of record on Monday, March 3rd will be given a $0.50 dividend. This represents a $2.00 annualized dividend and a dividend yield of 0.41%. This is a boost from Group 1 Automotive’s previous quarterly dividend of $0.47. The ex-dividend date of this dividend is Monday, March 3rd. Group 1 Automotive’s dividend payout ratio (DPR) is currently 5.12%.

Insider Transactions at Group 1 Automotive

In related news, Director Lincoln Pereira sold 6,000 shares of Group 1 Automotive stock in a transaction dated Monday, December 16th. The shares were sold at an average price of $426.68, for a total transaction of $2,560,080.00. Following the completion of the transaction, the director now directly owns 98,467 shares of the company’s stock, valued at $42,013,899.56. This trade represents a 5.74 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Corporate insiders own 1.70% of the company’s stock.

Institutional Trading of Group 1 Automotive

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Assetmark Inc. increased its stake in Group 1 Automotive by 51.9% during the 3rd quarter. Assetmark Inc. now owns 82 shares of the company’s stock valued at $31,000 after purchasing an additional 28 shares in the last quarter. Avior Wealth Management LLC increased its stake in Group 1 Automotive by 25.6% during the 4th quarter. Avior Wealth Management LLC now owns 152 shares of the company’s stock valued at $64,000 after purchasing an additional 31 shares in the last quarter. Bessemer Group Inc. increased its stake in Group 1 Automotive by 119.4% during the 4th quarter. Bessemer Group Inc. now owns 68 shares of the company’s stock valued at $29,000 after purchasing an additional 37 shares in the last quarter. EverSource Wealth Advisors LLC increased its stake in Group 1 Automotive by 13.4% during the 4th quarter. EverSource Wealth Advisors LLC now owns 346 shares of the company’s stock valued at $146,000 after purchasing an additional 41 shares in the last quarter. Finally, HighPoint Advisor Group LLC increased its stake in Group 1 Automotive by 2.7% during the 4th quarter. HighPoint Advisor Group LLC now owns 1,536 shares of the company’s stock valued at $647,000 after purchasing an additional 41 shares in the last quarter. 99.92% of the stock is currently owned by institutional investors.

About Group 1 Automotive

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.