Group 1 Automotive (NYSE:GPI) Shares Down 3% – Should You Sell?

Group 1 Automotive, Inc. (NYSE:GPI) fell 3% on Monday . The company traded as low as $393.08 and last traded at $392.69. 25,748 shares traded hands during trading, a decline of 82% from the average session volume of 144,230 shares. The stock had previously closed at $405.00.

Analyst Ratings Changes

A number of equities analysts recently issued reports on GPI shares. JPMorgan Chase & Co. decreased their target price on shares of Group 1 Automotive from $495.00 to $435.00 and set an “overweight” rating for the company in a research report on Thursday, March 27th. Stephens reiterated an “equal weight” rating and set a $460.00 price target on shares of Group 1 Automotive in a research report on Thursday, January 30th. Two investment analysts have rated the stock with a hold rating and five have issued a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $450.33.

Group 1 Automotive Stock Performance

The company’s 50-day simple moving average is $425.19 and its 200-day simple moving average is $414.87. The stock has a market cap of $5.24 billion, a price-to-earnings ratio of 10.76 and a beta of 1.05. The company has a quick ratio of 0.24, a current ratio of 1.03 and a debt-to-equity ratio of 0.92.

Group 1 Automotive (NYSE:GPI) last announced its earnings results on Wednesday, January 29th. The company reported $10.02 EPS for the quarter, beating the consensus estimate of $8.77 by $1.25. Group 1 Automotive had a return on equity of 18.09% and a net margin of 2.47%. Analysts predict that Group 1 Automotive, Inc. will post 41 EPS for the current fiscal year.

Group 1 Automotive Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, March 17th. Investors of record on Monday, March 3rd were given a $0.50 dividend. This represents a $2.00 annualized dividend and a dividend yield of 0.51%. The ex-dividend date was Monday, March 3rd. This is an increase from Group 1 Automotive’s previous quarterly dividend of $0.47. Group 1 Automotive’s dividend payout ratio is 5.44%.

Hedge Funds Weigh In On Group 1 Automotive

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Fifth Third Bancorp grew its holdings in shares of Group 1 Automotive by 24.8% during the first quarter. Fifth Third Bancorp now owns 146 shares of the company’s stock valued at $56,000 after buying an additional 29 shares in the last quarter. Assenagon Asset Management S.A. grew its stake in Group 1 Automotive by 93.0% during the 1st quarter. Assenagon Asset Management S.A. now owns 22,556 shares of the company’s stock valued at $8,615,000 after acquiring an additional 10,869 shares in the last quarter. SG Americas Securities LLC increased its holdings in shares of Group 1 Automotive by 315.5% in the 1st quarter. SG Americas Securities LLC now owns 1,720 shares of the company’s stock valued at $657,000 after purchasing an additional 1,306 shares during the period. GAMMA Investing LLC lifted its position in shares of Group 1 Automotive by 95.9% in the first quarter. GAMMA Investing LLC now owns 237 shares of the company’s stock worth $91,000 after purchasing an additional 116 shares in the last quarter. Finally, Wedge Capital Management L L P NC purchased a new position in Group 1 Automotive during the first quarter valued at approximately $36,039,000. 99.92% of the stock is currently owned by hedge funds and other institutional investors.

About Group 1 Automotive

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.