Guggenheim Forecasts Strong Price Appreciation for Group 1 Automotive (NYSE:GPI) Stock

Group 1 Automotive (NYSE:GPI) had its price target lifted by Guggenheim from $420.00 to $442.00 in a research report released on Thursday,Benzinga reports. The brokerage currently has a buy rating on the stock.

GPI has been the topic of several other research reports. Stephens assumed coverage on Group 1 Automotive in a research note on Thursday, September 12th. They issued an “equal weight” rating and a $394.00 price objective on the stock. Morgan Stanley raised Group 1 Automotive from an “equal weight” rating to an “overweight” rating and increased their price target for the stock from $285.00 to $430.00 in a research report on Wednesday, September 25th. StockNews.com upgraded Group 1 Automotive from a “sell” rating to a “hold” rating in a report on Friday, November 8th. Finally, JPMorgan Chase & Co. increased their target price on shares of Group 1 Automotive from $420.00 to $425.00 and gave the stock an “overweight” rating in a report on Tuesday, November 5th. Two analysts have rated the stock with a hold rating and four have given a buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $425.20.

Group 1 Automotive Stock Up 3.1 %

Shares of GPI opened at $421.14 on Thursday. The firm has a fifty day moving average price of $377.50 and a 200-day moving average price of $342.27. The company has a current ratio of 1.00, a quick ratio of 0.24 and a debt-to-equity ratio of 0.91. The firm has a market capitalization of $5.61 billion, a P/E ratio of 11.22 and a beta of 1.33. Group 1 Automotive has a 12-month low of $255.73 and a 12-month high of $422.92.

Group 1 Automotive (NYSE:GPI) last released its quarterly earnings data on Wednesday, October 30th. The company reported $9.90 earnings per share (EPS) for the quarter, beating the consensus estimate of $9.87 by $0.03. The company had revenue of $5.22 billion during the quarter, compared to analysts’ expectations of $5.06 billion. Group 1 Automotive had a net margin of 2.68% and a return on equity of 18.49%. The firm’s quarterly revenue was up 11.0% on a year-over-year basis. During the same period in the previous year, the company earned $12.07 EPS. Equities research analysts expect that Group 1 Automotive will post 38.37 earnings per share for the current year.

Group 1 Automotive Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, December 16th. Investors of record on Monday, December 2nd will be given a dividend of $0.47 per share. This represents a $1.88 dividend on an annualized basis and a yield of 0.45%. The ex-dividend date of this dividend is Monday, December 2nd. Group 1 Automotive’s payout ratio is currently 5.01%.

Group 1 Automotive declared that its Board of Directors has approved a share buyback program on Tuesday, November 12th that permits the company to repurchase $500.00 million in shares. This repurchase authorization permits the company to purchase up to 9.3% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s board believes its stock is undervalued.

Insider Buying and Selling at Group 1 Automotive

In other news, VP Edward Mckissic sold 79 shares of Group 1 Automotive stock in a transaction that occurred on Tuesday, November 5th. The shares were sold at an average price of $374.01, for a total value of $29,546.79. Following the transaction, the vice president now owns 6,259 shares of the company’s stock, valued at $2,340,928.59. The trade was a 1.25 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders own 1.70% of the company’s stock.

Hedge Funds Weigh In On Group 1 Automotive

Several institutional investors and hedge funds have recently bought and sold shares of GPI. UniSuper Management Pty Ltd acquired a new stake in shares of Group 1 Automotive in the 1st quarter worth $887,000. Dynamic Advisor Solutions LLC purchased a new stake in shares of Group 1 Automotive during the second quarter worth about $452,000. The Manufacturers Life Insurance Company increased its holdings in shares of Group 1 Automotive by 22.0% during the second quarter. The Manufacturers Life Insurance Company now owns 639,142 shares of the company’s stock valued at $190,004,000 after acquiring an additional 115,143 shares in the last quarter. Raymond James & Associates raised its position in shares of Group 1 Automotive by 8.3% in the 2nd quarter. Raymond James & Associates now owns 40,541 shares of the company’s stock valued at $12,052,000 after purchasing an additional 3,095 shares during the last quarter. Finally, B. Metzler seel. Sohn & Co. Holding AG acquired a new stake in Group 1 Automotive in the 3rd quarter worth approximately $3,286,000. 99.92% of the stock is owned by hedge funds and other 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.