Group 1 Automotive (NYSE:GPI) Stock Price Target Lowered at JPMorgan Chase & Co.

Key Points

• JPMorgan lowered Group 1 Automotive’s price target to $260 from $275 while maintaining a “neutral” rating, implying approximately 9.75% upside from the stock’s current price.
• Analyst sentiment has weakened overall: Morgan Stanley downgraded the stock to “underweight,” while the consensus rating remains “Hold” with an average price target of $338.62.
• Group 1 Automotive shares traded near $236.91 after declining, close to their 52-week low of $234.05. The company’s latest quarterly results missed estimates, with EPS of $9.61 versus the $10.60 consensus and revenue down 5.6% year over year.

Group 1 Automotive (NYSE:GPI - Get Free Report) had its price target cut by equities research analysts at JPMorgan Chase & Co. from $275.00 to $260.00 in a research note issued on Tuesday, Benzinga reports. The brokerage currently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s target price would suggest a potential upside of 9.75% from the stock's current price.

Other equities analysts have also recently issued reports about the company. Morgan Stanley cut Group 1 Automotive from an "equal weight" rating to an "underweight" rating and cut their price target for the stock from $300.00 to $232.00 in a report on Monday. Barclays cut their target price on shares of Group 1 Automotive from $365.00 to $320.00 and set an "overweight" rating for the company in a research note on Tuesday. Zacks Research downgraded shares of Group 1 Automotive from a "hold" rating to a "strong sell" rating in a report on Monday, August 10th. Benchmark reissued a "buy" rating on shares of Group 1 Automotive in a research report on Friday, July 10th. Finally, DA Davidson set a $425.00 price objective on shares of Group 1 Automotive in a research note on Friday, July 10th. Five equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat.com, Group 1 Automotive has a consensus rating of "Hold" and an average price target of $338.62.

Group 1 Automotive Price Performance

Group 1 Automotive stock traded down $4.53 during midday trading on Tuesday, reaching $236.91. The company's stock had a trading volume of 137,476 shares, compared to its average volume of 197,972. The firm has a market capitalization of $2.82 billion, a PE ratio of 9.85, a P/E/G ratio of 0.75 and a beta of 0.92. Group 1 Automotive has a fifty-two week low of $234.05 and a fifty-two week high of $461.27. The stock's 50 day simple moving average is $270.08 and its 200 day simple moving average is $304.25. The company has a debt-to-equity ratio of 1.03, a quick ratio of 0.25 and a current ratio of 1.02.

Group 1 Automotive (NYSE:GPI - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The company reported $9.61 earnings per share (EPS) for the quarter, missing the consensus estimate of $10.60 by ($0.99). The firm had revenue of $5.39 billion for the quarter, compared to analyst estimates of $5.66 billion. Group 1 Automotive had a return on equity of 15.66% and a net margin of 1.31%.The business's revenue for the quarter was down 5.6% compared to the same quarter last year. During the same period in the prior year, the firm posted $10.82 earnings per share. On average, equities research analysts forecast that Group 1 Automotive will post 38.96 earnings per share for the current year.

Insider Activity

In other news, major shareholder Conifer Management, L.L.C. purchased 71,592 shares of the stock in a transaction on Wednesday, September 30th. The stock was purchased at an average price of $242.03 per share, with a total value of $17,327,411.76. Following the completion of the transaction, the insider owned 1,912,290 shares in the company, valued at approximately $462,831,548.70. The trade was a 3.89% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Over the last three months, insiders have acquired 720,030 shares of company stock worth $187,264,264. 2.40% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of GPI. Integrated Wealth Concepts LLC acquired a new position in shares of Group 1 Automotive during the 2nd quarter valued at $42,000. Anchor Investment Management LLC lifted its position in Group 1 Automotive by 112.0% during the 2nd quarter. Anchor Investment Management LLC now owns 212 shares of the company's stock worth $62,000 after acquiring an additional 112 shares in the last quarter. Allworth Financial LP acquired a new stake in Group 1 Automotive in the second quarter valued at approximately $75,000. Group One Trading LLC acquired a new position in shares of Group 1 Automotive during the second quarter worth $79,000. Finally, Global Retirement Partners LLC acquired a new stake in Group 1 Automotive during the 2nd quarter valued at $81,000. Hedge funds and other institutional investors own 99.92% of the company's stock.

Group 1 Automotive Company Profile

Group 1 Automotive, Inc is an international automotive retailer that operates franchised automobile dealerships. The company sells new and used vehicles from a range of manufacturers and provides related automotive services, including vehicle maintenance and repairs, parts and accessories, financing, and insurance products.

Founded in 1997 and headquartered in Houston, Texas, Group 1 Automotive serves customers through dealership operations in the United States and the United Kingdom, as well as other international markets.

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