Penske Automotive Group’s (PAG) “Equal Weight” Rating Reiterated at Stephens

Penske Automotive Group (NYSE:PAG)‘s stock had its “equal weight” rating reiterated by analysts at Stephens in a report released on Wednesday,Benzinga reports. They presently have a $140.00 price objective on the stock. Stephens’ target price points to a potential downside of 16.24% from the stock’s current price.

A number of other research firms have also commented on PAG. Citigroup increased their price objective on Penske Automotive Group from $185.00 to $195.00 and gave the company a “buy” rating in a research note on Monday, May 19th. JPMorgan Chase & Co. decreased their price target on shares of Penske Automotive Group from $165.00 to $140.00 and set an “underweight” rating on the stock in a research note on Thursday, March 27th. Finally, Wall Street Zen upgraded shares of Penske Automotive Group from a “hold” rating to a “buy” rating in a report on Wednesday, April 23rd. One equities research analyst has rated the stock with a sell rating, one has issued a hold rating and five have assigned a buy rating to the company. According to data from MarketBeat.com, Penske Automotive Group presently has a consensus rating of “Moderate Buy” and an average price target of $167.00.

Penske Automotive Group Trading Down 0.8%

Shares of PAG opened at $167.14 on Wednesday. The company has a debt-to-equity ratio of 0.22, a current ratio of 0.91 and a quick ratio of 0.20. Penske Automotive Group has a 1-year low of $134.05 and a 1-year high of $180.12. The stock has a market cap of $11.06 billion, a price-to-earnings ratio of 12.16 and a beta of 0.91. The firm has a 50 day simple moving average of $158.72 and a 200-day simple moving average of $159.35.

Penske Automotive Group (NYSE:PAG) last announced its earnings results on Wednesday, April 30th. The company reported $3.39 EPS for the quarter, beating analysts’ consensus estimates of $3.27 by $0.12. The firm had revenue of $7.60 billion for the quarter, compared to analysts’ expectations of $7.68 billion. Penske Automotive Group had a return on equity of 18.05% and a net margin of 3.02%. Penske Automotive Group’s quarterly revenue was up 2.1% on a year-over-year basis. During the same quarter in the prior year, the firm earned $3.21 EPS. Equities analysts forecast that Penske Automotive Group will post 13.86 EPS for the current fiscal year.

Penske Automotive Group declared that its board has authorized a stock buyback program on Wednesday, May 14th that allows the company to buyback $250.00 million in outstanding shares. This buyback authorization allows the company to purchase up to 2.3% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s management believes its stock is undervalued.

Insiders Place Their Bets

In other news, Director Greg C. Smith sold 1,529 shares of the company’s stock in a transaction dated Tuesday, June 3rd. The shares were sold at an average price of $161.64, for a total transaction of $247,147.56. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Shane M. Spradlin sold 3,158 shares of the stock in a transaction dated Monday, June 9th. The stock was sold at an average price of $167.10, for a total transaction of $527,701.80. Following the transaction, the executive vice president now owns 36,152 shares in the company, valued at approximately $6,040,999.20. The trade was a 8.03% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 82,044 shares of company stock valued at $13,257,948. Insiders own 51.70% of the company’s stock.

Hedge Funds Weigh In On Penske Automotive Group

Large investors have recently bought and sold shares of the stock. Whittier Trust Co. of Nevada Inc. purchased a new stake in shares of Penske Automotive Group during the 4th quarter valued at $40,000. Acadian Asset Management LLC acquired a new position in Penske Automotive Group in the first quarter valued at $42,000. UMB Bank n.a. boosted its holdings in Penske Automotive Group by 421.5% in the first quarter. UMB Bank n.a. now owns 339 shares of the company’s stock valued at $49,000 after acquiring an additional 274 shares during the last quarter. GAMMA Investing LLC grew its position in Penske Automotive Group by 51.9% during the first quarter. GAMMA Investing LLC now owns 398 shares of the company’s stock valued at $57,000 after acquiring an additional 136 shares during the period. Finally, Brooklyn Investment Group increased its stake in Penske Automotive Group by 353.0% during the first quarter. Brooklyn Investment Group now owns 453 shares of the company’s stock worth $65,000 after acquiring an additional 353 shares during the last quarter. Hedge funds and other institutional investors own 77.08% of the company’s stock.

About Penske Automotive Group

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.