Penske Automotive Group (NYSE:PAG) Price Target Raised to $205.00

Penske Automotive Group (NYSE:PAG) had its price objective lifted by Bank of America from $190.00 to $205.00 in a research report released on Monday,Benzinga reports. The firm currently has a buy rating on the stock.

Other equities research analysts have also issued research reports about the company. JPMorgan Chase & Co. reduced their price target on Penske Automotive Group from $165.00 to $140.00 and set an “underweight” rating on the stock in a research report on Thursday, March 27th. Citigroup raised their price objective on shares of Penske Automotive Group from $185.00 to $195.00 and gave the stock a “buy” rating in a research report on Monday, May 19th. Stephens reaffirmed an “equal weight” rating and set a $140.00 price target on shares of Penske Automotive Group in a research note on Wednesday, June 11th. Finally, Wall Street Zen raised shares of Penske Automotive Group from a “hold” rating to a “buy” rating in a research report on Wednesday, April 23rd. One equities research analyst has rated the stock with a sell rating, one has assigned a hold rating and five have issued a buy rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $172.00.

Penske Automotive Group Stock Up 0.5%

Shares of NYSE PAG opened at $170.19 on Monday. The company has a market cap of $11.26 billion, a price-to-earnings ratio of 11.98, a PEG ratio of 1.63 and a beta of 0.91. The company has a current ratio of 0.90, a quick ratio of 0.23 and a debt-to-equity ratio of 0.18. The stock has a 50-day moving average price of $160.55 and a two-hundred day moving average price of $159.41. Penske Automotive Group has a 12 month low of $134.05 and a 12 month high of $180.12.

Penske Automotive Group (NYSE:PAG) last issued its earnings results on Wednesday, April 30th. The company reported $3.39 earnings per share for the quarter, beating analysts’ consensus estimates of $3.27 by $0.12. Penske Automotive Group had a net margin of 3.10% and a return on equity of 17.80%. The firm had revenue of $7.60 billion for the quarter, compared to analyst estimates of $7.68 billion. During the same quarter last year, the business posted $3.21 earnings per share. The company’s quarterly revenue was up 2.1% on a year-over-year basis. As a group, analysts forecast that Penske Automotive Group will post 13.86 earnings per share for the current fiscal year.

Penske Automotive Group Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, June 3rd. Investors of record on Tuesday, May 27th were paid a dividend of $1.26 per share. The ex-dividend date was Tuesday, May 27th. This represents a $5.04 annualized dividend and a yield of 2.96%. This is a boost from Penske Automotive Group’s previous quarterly dividend of $1.22. Penske Automotive Group’s payout ratio is currently 35.49%.

Penske Automotive Group announced that its Board of Directors has initiated a share buyback program on Wednesday, May 14th that allows the company to repurchase $250.00 million in outstanding shares. This repurchase authorization allows the company to buy up to 2.3% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board believes its stock is undervalued.

Insider Activity at Penske Automotive Group

In other news, CEO Roger S. Penske sold 77,357 shares of the company’s stock in a transaction dated Tuesday, June 3rd. The stock was sold at an average price of $161.37, for a total value of $12,483,099.09. Following the completion of the transaction, the chief executive officer now directly owns 140,042 shares in the company, valued at approximately $22,598,577.54. This represents a 35.58% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Greg C. Smith sold 1,529 shares of the firm’s stock in a transaction dated Tuesday, June 3rd. The shares were sold at an average price of $161.64, for a total value of $247,147.56. The disclosure for this sale can be found here. Over the last quarter, insiders sold 82,044 shares of company stock valued at $13,257,948. Company insiders own 51.70% of the company’s stock.

Institutional Trading of Penske Automotive Group

Several large investors have recently bought and sold shares of the company. Empowered Funds LLC lifted its position in Penske Automotive Group by 21.4% during the fourth quarter. Empowered Funds LLC now owns 2,771 shares of the company’s stock valued at $422,000 after buying an additional 489 shares during the period. Rhumbline Advisers lifted its position in Penske Automotive Group by 4.7% during the 4th quarter. Rhumbline Advisers now owns 54,063 shares of the company’s stock valued at $8,241,000 after acquiring an additional 2,446 shares during the period. CIBC Asset Management Inc lifted its position in Penske Automotive Group by 5.6% during the 4th quarter. CIBC Asset Management Inc now owns 2,055 shares of the company’s stock valued at $313,000 after acquiring an additional 109 shares during the period. Blue Chip Partners LLC boosted its stake in Penske Automotive Group by 0.7% during the fourth quarter. Blue Chip Partners LLC now owns 10,606 shares of the company’s stock worth $1,617,000 after acquiring an additional 73 shares in the last quarter. Finally, Ieq Capital LLC grew its holdings in Penske Automotive Group by 128.9% in the fourth quarter. Ieq Capital LLC now owns 11,973 shares of the company’s stock worth $1,825,000 after purchasing an additional 6,743 shares during the period. 77.08% of the stock is owned by institutional investors.

Penske Automotive Group Company Profile

Penske Automotive Group, Inc, a diversified transportation services company, operates automotive and commercial truck dealerships worldwide. The company operates through four segments: Retail Automotive, Retail Commercial Truck, Other, and Non-Automotive Investments. It operates dealerships under franchise agreements with various automotive manufacturers and distributors.