Penske Automotive Group, Inc. (PAG) Given Consensus Rating of “Hold” by Brokerages

Penske Automotive Group, Inc. (NYSE:PAG) has received a consensus recommendation of “Hold” from the ten brokerages that are currently covering the company, MarketBeat reports. One equities research analyst has rated the stock with a sell recommendation, four have assigned a hold recommendation and five have issued a buy recommendation on the company. The average 12-month target price among brokers that have covered the stock in the last year is $56.00.

Several equities analysts have recently weighed in on the company. Gabelli raised their target price on Penske Automotive Group from $68.00 to $69.00 and gave the company a “buy” rating in a research report on Thursday, October 26th. Berenberg Bank assumed coverage on Penske Automotive Group in a research report on Wednesday, October 4th. They issued a “hold” rating and a $52.00 target price on the stock. ValuEngine downgraded Penske Automotive Group from a “buy” rating to a “hold” rating in a research report on Friday, September 1st. Zacks Investment Research raised Penske Automotive Group from a “sell” rating to a “hold” rating in a report on Friday, October 20th. Finally, KeyCorp reaffirmed a “hold” rating on shares of Penske Automotive Group in a report on Wednesday, October 4th.

Shares of Penske Automotive Group (NYSE PAG) traded down $0.79 on Thursday, hitting $47.49. The stock had a trading volume of 442,100 shares, compared to its average volume of 466,468. The stock has a market capitalization of $4,140.88, a P/E ratio of 11.36, a price-to-earnings-growth ratio of 1.73 and a beta of 1.46. The company has a quick ratio of 0.23, a current ratio of 1.04 and a debt-to-equity ratio of 1.03. Penske Automotive Group has a 1 year low of $38.33 and a 1 year high of $56.05.

Penske Automotive Group (NYSE:PAG) last issued its quarterly earnings results on Wednesday, October 25th. The company reported $1.10 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.08 by $0.02. The company had revenue of $5.52 billion for the quarter, compared to the consensus estimate of $5.33 billion. Penske Automotive Group had a return on equity of 18.68% and a net margin of 1.75%. Penske Automotive Group’s revenue for the quarter was up 7.2% on a year-over-year basis. During the same quarter in the prior year, the business posted $1.03 earnings per share. equities research analysts expect that Penske Automotive Group will post 4.3 EPS for the current fiscal year.

Penske Automotive Group declared that its board has approved a stock repurchase program on Wednesday, October 25th that permits the company to buyback $200.00 million in shares. This buyback authorization permits the company to purchase shares of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

The company also recently declared a quarterly dividend, which was paid on Friday, December 1st. Stockholders of record on Friday, November 10th were given a dividend of $0.33 per share. This is a positive change from Penske Automotive Group’s previous quarterly dividend of $0.32. This represents a $1.32 annualized dividend and a dividend yield of 2.78%. The ex-dividend date of this dividend was Thursday, November 9th. Penske Automotive Group’s dividend payout ratio (DPR) is currently 30.99%.

In related news, major shareholder Corp Penske bought 1,103,996 shares of the firm’s stock in a transaction that occurred on Friday, October 20th. The stock was purchased at an average cost of $45.29 per share, for a total transaction of $49,999,978.84. Following the completion of the acquisition, the insider now owns 11,564,576 shares in the company, valued at approximately $523,759,647.04. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO John D. Jr. Carlson sold 7,000 shares of Penske Automotive Group stock in a transaction on Monday, November 13th. The shares were sold at an average price of $46.20, for a total value of $323,400.00. Following the completion of the transaction, the chief financial officer now owns 24,844 shares of the company’s stock, valued at $1,147,792.80. The disclosure for this sale can be found here. Company insiders own 40.70% of the company’s stock.

A number of large investors have recently added to or reduced their stakes in PAG. Teachers Advisors LLC boosted its holdings in Penske Automotive Group by 5.5% in the first quarter. Teachers Advisors LLC now owns 43,721 shares of the company’s stock valued at $2,047,000 after purchasing an additional 2,273 shares during the period. Sei Investments Co. boosted its holdings in Penske Automotive Group by 46.7% in the second quarter. Sei Investments Co. now owns 17,557 shares of the company’s stock valued at $771,000 after purchasing an additional 5,585 shares during the period. IFP Advisors Inc boosted its holdings in Penske Automotive Group by 0.6% in the second quarter. IFP Advisors Inc now owns 18,404 shares of the company’s stock valued at $808,000 after purchasing an additional 109 shares during the period. Gilder Gagnon Howe & Co. LLC boosted its holdings in Penske Automotive Group by 2.2% in the second quarter. Gilder Gagnon Howe & Co. LLC now owns 82,061 shares of the company’s stock valued at $3,603,000 after purchasing an additional 1,792 shares during the period. Finally, Canada Pension Plan Investment Board boosted its holdings in Penske Automotive Group by 100.0% in the second quarter. Canada Pension Plan Investment Board now owns 23,800 shares of the company’s stock valued at $1,045,000 after purchasing an additional 11,900 shares during the period. Hedge funds and other institutional investors own 41.41% of the company’s stock.

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Penske Automotive Group Company Profile

Penske Automotive Group, Inc is an international transportation services company. The Company operates automotive and commercial truck dealerships principally in the United States, Canada and Western Europe, and distributes commercial vehicles, diesel engines, gas engines, power systems, and related parts and services principally in Australia and New Zealand.

Analyst Recommendations for Penske Automotive Group (NYSE:PAG)

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