Penske Automotive Group (NYSE:PAG) Stock Gets Price Target Bump from Morgan Stanley

Key Points

• Morgan Stanley raised its price target on Penske Automotive Group to $212 from $210, while maintaining an “equal weight” rating; the target implies 0.68% downside from the stock’s then-current price.
• Analyst sentiment remains broadly neutral: MarketBeat reported a consensus “Hold” rating and an average price target of $214.86, with four Buy ratings and six Holds.
• Penske’s latest quarter delivered revenue of $8.42 billion, above expectations and up 4.5% year over year, while EPS of $3.36 narrowly missed the $3.37 consensus.

Penske Automotive Group (NYSE:PAG - Get Free Report) had its price target increased by Morgan Stanley from $210.00 to $212.00 in a research note issued to investors on Monday, Benzinga reports. The brokerage currently has an "equal weight" rating on the stock. Morgan Stanley's price objective would indicate a potential downside of 0.68% from the stock's current price.

PAG has been the subject of several other reports. JPMorgan Chase & Co. lowered their target price on shares of Penske Automotive Group from $215.00 to $210.00 and set a "neutral" rating for the company in a report on Tuesday, October 6th. Benchmark downgraded Penske Automotive Group from a "buy" rating to a "hold" rating in a research note on Wednesday, July 22nd. Barclays raised their price objective on Penske Automotive Group from $210.00 to $212.00 and gave the company an "overweight" rating in a research report on Tuesday, November 3rd. UBS Group reiterated a "neutral" rating and set a $212.00 price objective on shares of Penske Automotive Group in a research note on Friday, October 16th. Finally, Stephens boosted their target price on Penske Automotive Group from $166.00 to $210.00 and gave the stock an "equal weight" rating in a report on Monday, August 3rd. Four equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. According to MarketBeat, Penske Automotive Group presently has a consensus rating of "Hold" and an average price target of $214.86.

Penske Automotive Group Stock Up 0.5%

Shares of NYSE:PAG traded up $1.10 during midday trading on Monday, reaching $213.46. The company's stock had a trading volume of 57,264 shares, compared to its average volume of 365,610. The firm has a 50 day moving average of $210.03 and a 200-day moving average of $183.97. The firm has a market capitalization of $14.02 billion, a P/E ratio of 15.57 and a beta of 0.92. The company has a quick ratio of 0.21, a current ratio of 0.98 and a debt-to-equity ratio of 0.35. Penske Automotive Group has a 12-month low of $140.12 and a 12-month high of $227.00.

Penske Automotive Group (NYSE:PAG - Get Free Report) last issued its quarterly earnings results on Wednesday, October 28th. The company reported $3.36 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $3.37 by ($0.01). Penske Automotive Group had a net margin of 2.77% and a return on equity of 14.82%. The business had revenue of $8.42 billion for the quarter, compared to analysts' expectations of $8.14 billion. During the same period last year, the business earned $3.23 earnings per share. The company's revenue was up 4.5% on a year-over-year basis. On average, research analysts anticipate that Penske Automotive Group will post 13.39 earnings per share for the current year.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the stock. Bank of America Corp DE purchased a new stake in Penske Automotive Group in the second quarter worth about $79,065,000. Kendall Capital Management purchased a new position in shares of Penske Automotive Group during the 2nd quarter valued at about $1,303,000. Tidal Investments LLC purchased a new position in shares of Penske Automotive Group during the 2nd quarter valued at about $954,000. Jupiter Topco LLC bought a new position in shares of Penske Automotive Group during the 2nd quarter valued at approximately $1,518,000. Finally, Renaissance Technologies LLC grew its stake in shares of Penske Automotive Group by 15.6% during the 1st quarter. Renaissance Technologies LLC now owns 81,500 shares of the company's stock valued at $12,186,000 after acquiring an additional 11,000 shares during the period. 77.08% of the stock is owned by hedge funds and other institutional investors.

Penske Automotive Group Company Profile

Penske Automotive Group is an international automotive and commercial vehicle retailer. The company operates franchised dealerships that sell new and used vehicles, along with parts and maintenance, repair, financing and insurance services.

Its automotive dealerships represent a range of manufacturers, with a focus on premium and luxury brands. Penske also operates commercial truck dealerships, which sell new and used trucks and provide parts and service to business customers.

Founded by Roger Penske, the company serves customers primarily in the United States and also has operations in several international markets, including the United Kingdom, Germany, Italy, Australia and Japan.

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