Barclays Has Lowered Expectations for Group 1 Automotive (NYSE:GPI) Stock Price

Key Points

• Barclays cut its price target on Group 1 Automotive from $470 to $455 but kept an overweight rating, with the new target implying roughly a 40.6% upside from the prior close.
• Overall analyst sentiment remains positive—MarketBeat shows a consensus of Moderate Buy (seven Buy vs. three Hold) and an average price target of $452.
• The stock traded at $323.72 after the company missed quarterly EPS ($8.49 vs. $9.36) and slightly missed revenue estimates; it now sits below its 50- and 200-day moving averages with a P/E around 13 and a debt-to-equity of 1.23.

Group 1 Automotive (NYSE:GPI - Get Free Report) had its price target decreased by investment analysts at Barclays from $470.00 to $455.00 in a report issued on Tuesday,Benzinga reports. The firm presently has an "overweight" rating on the stock. Barclays's price objective indicates a potential upside of 40.56% from the stock's previous close.

Several other research analysts have also commented on the stock. Evercore started coverage on shares of Group 1 Automotive in a research note on Tuesday, January 20th. They set an "outperform" rating and a $500.00 price objective for the company. Bank of America started coverage on shares of Group 1 Automotive in a research note on Wednesday, March 4th. They set a "buy" rating for the company. Benchmark raised shares of Group 1 Automotive from a "hold" rating to a "buy" rating and set a $425.00 price objective for the company in a research note on Monday, March 30th. JPMorgan Chase & Co. raised shares of Group 1 Automotive from a "neutral" rating to an "overweight" rating and set a $370.00 price objective for the company in a research note on Friday, February 20th. Finally, Weiss Ratings lowered shares of Group 1 Automotive from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Monday, December 29th. Seven equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $452.00.

Group 1 Automotive Price Performance

Shares of Group 1 Automotive stock traded down $3.29 during trading hours on Tuesday, reaching $323.72. The company's stock had a trading volume of 19,664 shares, compared to its average volume of 187,825. The firm has a 50 day moving average price of $331.33 and a 200-day moving average price of $382.73. Group 1 Automotive has a one year low of $292.44 and a one year high of $488.39. The company has a debt-to-equity ratio of 1.23, a current ratio of 1.08 and a quick ratio of 0.27. The stock has a market cap of $3.84 billion, a P/E ratio of 12.99, a P/E/G ratio of 0.51 and a beta of 0.88.

Group 1 Automotive (NYSE:GPI - Get Free Report) last posted its earnings results on Thursday, January 29th. The company reported $8.49 earnings per share for the quarter, missing analysts' consensus estimates of $9.36 by ($0.87). The business had revenue of $5.58 billion during the quarter, compared to the consensus estimate of $5.71 billion. Group 1 Automotive had a return on equity of 17.39% and a net margin of 1.44%.The business's quarterly revenue was up .6% on a year-over-year basis. During the same quarter last year, the firm earned $10.02 earnings per share. On average, analysts predict that Group 1 Automotive will post 41 EPS for the current year.

Institutional Trading of Group 1 Automotive

Several institutional investors and hedge funds have recently made changes to their positions in the company. NewEdge Advisors LLC grew its stake in Group 1 Automotive by 6.1% during the 2nd quarter. NewEdge Advisors LLC now owns 471 shares of the company's stock worth $206,000 after buying an additional 27 shares during the last quarter. Signaturefd LLC increased its holdings in shares of Group 1 Automotive by 54.9% during the fourth quarter. Signaturefd LLC now owns 79 shares of the company's stock valued at $31,000 after acquiring an additional 28 shares in the last quarter. Procyon Advisors LLC increased its holdings in shares of Group 1 Automotive by 5.1% during the third quarter. Procyon Advisors LLC now owns 595 shares of the company's stock valued at $260,000 after acquiring an additional 29 shares in the last quarter. Lido Advisors LLC increased its holdings in shares of Group 1 Automotive by 3.4% during the fourth quarter. Lido Advisors LLC now owns 935 shares of the company's stock valued at $399,000 after acquiring an additional 31 shares in the last quarter. Finally, Assetmark Inc. increased its holdings in shares of Group 1 Automotive by 40.5% during the fourth quarter. Assetmark Inc. now owns 118 shares of the company's stock valued at $46,000 after acquiring an additional 34 shares in the last quarter. 99.92% of the stock is currently owned by institutional investors.

About Group 1 Automotive

Group 1 Automotive, Inc NYSE: GPI is an international automotive retailer headquartered in Houston, Texas. The company operates an extensive network of franchised dealerships, offering new and pre-owned vehicles from leading domestic and import manufacturers. In addition to vehicle sales, Group 1 Automotive provides a full complement of aftersales services, including finance and insurance products, parts distribution, collision repair centers and vehicle maintenance.

Founded in 1997, Group 1 Automotive has grown through both organic expansion and strategic acquisitions to establish a presence across the United States, the United Kingdom and Brazil.

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