Penske Automotive Group (NYSE:PAG) Announces Earnings Results

Penske Automotive Group (NYSE:PAG) released its earnings results on Wednesday. The company reported $3.62 EPS for the quarter, beating the consensus estimate of $3.42 by $0.20, Zacks reports. Penske Automotive Group had a return on equity of 15.13% and a net margin of 2.85%.Penske Automotive Group’s revenue was up 11.1% compared to the same quarter last year. During the same period in the previous year, the company posted $3.78 earnings per share.

Penske Automotive Group Trading Up 0.5%

PAG traded up $1.06 during mid-day trading on Wednesday, hitting $221.07. The stock had a trading volume of 88,029 shares, compared to its average volume of 317,876. The stock’s fifty day simple moving average is $183.13 and its 200-day simple moving average is $167.72. The firm has a market capitalization of $14.54 billion, a price-to-earnings ratio of 16.47, a price-to-earnings-growth ratio of 2.79 and a beta of 0.87. Penske Automotive Group has a 1-year low of $140.12 and a 1-year high of $227.00. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.96 and a quick ratio of 0.22.

Penske Automotive Group Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Friday, August 14th will be issued a $1.44 dividend. This represents a $5.76 annualized dividend and a yield of 2.6%. This is a boost from Penske Automotive Group’s previous quarterly dividend of $1.42. The ex-dividend date is Friday, August 14th. Penske Automotive Group’s dividend payout ratio (DPR) is 42.99%.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on the company. JPMorgan Chase & Co. raised their price target on Penske Automotive Group from $165.00 to $170.00 and gave the company a “neutral” rating in a report on Thursday, May 7th. UBS Group set a $190.00 target price on shares of Penske Automotive Group in a research report on Friday, July 10th. Bank of America raised their target price on shares of Penske Automotive Group from $200.00 to $238.00 and gave the company a “buy” rating in a research note on Thursday, July 9th. Citigroup cut shares of Penske Automotive Group from a “buy” rating to a “neutral” rating and lifted their price target for the stock from $199.00 to $210.00 in a research report on Thursday, July 23rd. Finally, Benchmark downgraded shares of Penske Automotive Group from a “buy” rating to a “hold” rating in a research note on Wednesday, July 22nd. Five research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat, Penske Automotive Group has an average rating of “Moderate Buy” and a consensus price target of $196.00.

Insider Buying and Selling at Penske Automotive Group

In other news, CFO Michelle Hulgrave sold 1,500 shares of the business’s stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $171.80, for a total value of $257,700.00. Following the completion of the transaction, the chief financial officer owned 17,596 shares of the company’s stock, valued at $3,022,992.80. The trade was a 7.86% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Greg C. Smith sold 1,488 shares of the company’s stock in a transaction on Monday, May 18th. The shares were sold at an average price of $160.02, for a total transaction of $238,109.76. Additional details regarding this sale are available in the official SEC disclosure. 52.90% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Bank of Montreal Can increased its holdings in shares of Penske Automotive Group by 39,232.7% in the fourth quarter. Bank of Montreal Can now owns 863,352 shares of the company’s stock worth $136,660,000 after acquiring an additional 861,157 shares in the last quarter. Dimensional Fund Advisors LP lifted its holdings in shares of Penske Automotive Group by 13.7% during the 4th quarter. Dimensional Fund Advisors LP now owns 1,293,467 shares of the company’s stock valued at $204,761,000 after purchasing an additional 156,308 shares in the last quarter. Bank of New York Mellon Corp lifted its holdings in shares of Penske Automotive Group by 48.6% during the 4th quarter. Bank of New York Mellon Corp now owns 375,767 shares of the company’s stock valued at $59,480,000 after purchasing an additional 122,895 shares in the last quarter. Squarepoint Ops LLC acquired a new position in shares of Penske Automotive Group in the 4th quarter valued at approximately $19,084,000. Finally, AQR Capital Management LLC grew its position in shares of Penske Automotive Group by 21.1% in the 2nd quarter. AQR Capital Management LLC now owns 681,741 shares of the company’s stock valued at $116,953,000 after purchasing an additional 118,976 shares during the period. 77.08% of the stock is owned by institutional investors and hedge funds.

Penske Automotive Group Company Profile

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.