Penske Automotive Group (NYSE:PAG) Sets New 1-Year High – What’s Next?

Penske Automotive Group, Inc. (NYSE:PAG)’s share price reached a new 52-week high on Tuesday . The stock traded as high as $219.59 and last traded at $215.8480, with a volume of 499287 shares traded. The stock had previously closed at $217.35.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on PAG. Barclays lifted their price objective on Penske Automotive Group from $190.00 to $220.00 and gave the company an “overweight” rating in a research note on Wednesday, July 15th. Weiss Ratings upgraded Penske Automotive Group from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, July 10th. Citigroup downgraded Penske Automotive Group from a “buy” rating to a “neutral” rating and raised their price target for the company from $199.00 to $210.00 in a report on Thursday, July 23rd. JPMorgan Chase & Co. lifted their price target on Penske Automotive Group from $165.00 to $170.00 and gave the stock a “neutral” rating in a research report on Thursday, May 7th. Finally, Stephens upped their price target on shares of Penske Automotive Group from $155.00 to $160.00 and gave the stock an “equal weight” rating in a research note on Monday, May 4th. Five investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Penske Automotive Group presently has a consensus rating of “Moderate Buy” and an average target price of $196.00.

Penske Automotive Group Stock Performance

The company has a market capitalization of $14.19 billion, a PE ratio of 16.11, a price-to-earnings-growth ratio of 2.81 and a beta of 0.87. The business’s fifty day moving average is $181.87 and its two-hundred day moving average is $167.31. The company has a current ratio of 0.96, a quick ratio of 0.22 and a debt-to-equity ratio of 0.39.

Penske Automotive Group (NYSE:PAG) last released its quarterly earnings data on Wednesday, April 29th. The company reported $3.05 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.91 by $0.14. Penske Automotive Group had a return on equity of 15.13% and a net margin of 2.85%.The business had revenue of $7.86 billion for the quarter, compared to analysts’ expectations of $7.71 billion. During the same period in the prior year, the firm posted $3.66 EPS. The firm’s quarterly revenue was down 1.1% on a year-over-year basis. Equities research analysts predict that Penske Automotive Group, Inc. will post 13.43 earnings per share for the current year.

Penske Automotive Group Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Stockholders of record on Friday, August 14th will be paid a $1.44 dividend. This is an increase from Penske Automotive Group’s previous quarterly dividend of $1.42. This represents a $5.76 annualized dividend and a dividend yield of 2.7%. The ex-dividend date is Friday, August 14th. Penske Automotive Group’s dividend payout ratio (DPR) is presently 42.39%.

Insiders Place Their Bets

In related news, CFO Michelle Hulgrave sold 1,500 shares of Penske Automotive Group stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $171.80, for a total value of $257,700.00. Following the completion of the sale, the chief financial officer directly owned 17,596 shares in the company, valued at approximately $3,022,992.80. This trade represents a 7.86% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Greg C. Smith sold 1,488 shares of the business’s stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $160.02, for a total value of $238,109.76. The disclosure for this sale is available in the SEC filing. Corporate insiders own 52.90% of the company’s stock.

Hedge Funds Weigh In On Penske Automotive Group

Several hedge funds and other institutional investors have recently bought and sold shares of PAG. Navalign LLC purchased a new stake in shares of Penske Automotive Group during the 4th quarter valued at about $26,000. International Assets Investment Management LLC purchased a new position in shares of Penske Automotive Group during the fourth quarter valued at approximately $30,000. Rothschild Investment LLC lifted its position in Penske Automotive Group by 37.5% during the fourth quarter. Rothschild Investment LLC now owns 242 shares of the company’s stock valued at $38,000 after purchasing an additional 66 shares during the period. Acadian Asset Management LLC purchased a new stake in Penske Automotive Group in the first quarter worth approximately $42,000. Finally, Versant Capital Management Inc boosted its holdings in Penske Automotive Group by 179.0% in the second quarter. Versant Capital Management Inc now owns 279 shares of the company’s stock worth $50,000 after purchasing an additional 179 shares during the last quarter. Institutional investors own 77.08% of the company’s stock.

About Penske Automotive Group

Penske Automotive Group, Inc (NYSE: PAG), headquartered in Bloomfield Township, Michigan, is an international transportation services company primarily focused on automotive and commercial truck dealerships. The company retails new and pre-owned vehicles across a broad spectrum of brands, while offering parts, maintenance, collision repair and reconditioning services. In addition, Penske provides financing and insurance products through its integrated finance and insurance operations, supporting both retail customers and commercial clients.

Formed in 1990 as United Auto Group and publicly traded since 1999, Penske Automotive Group has grown through organic expansion and strategic acquisitions to establish a network of dealerships and service centers across the United States and Europe.