Bank of New York Mellon Corp Purchases New Stake in Penske Automotive Group, Inc. $PAG

Key Points

• Bank of New York Mellon purchased 378,997 shares of Penske Automotive Group, valued at approximately $67.8 million, giving it a 0.58% stake. Institutional investors collectively own 77.08% of PAG.
• Analysts maintain a generally positive view, with a “Moderate Buy” consensus and an average price target of $208.50; however, Citigroup and Benchmark recently downgraded the stock to neutral or hold.
• Penske reported quarterly revenue of $8.51 billion and EPS of $3.62, exceeding estimates, while raising its quarterly dividend to $1.44 per share, equivalent to a 2.6% annualized yield.

Bank of New York Mellon Corp purchased a new position in shares of Penske Automotive Group, Inc. (NYSE:PAG - Free Report) in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 378,997 shares of the company's stock, valued at approximately $67,822,000. Bank of New York Mellon Corp owned about 0.58% of Penske Automotive Group at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also modified their holdings of the business. Goldman Sachs Group Inc. grew its holdings in Penske Automotive Group by 28.4% during the 1st quarter. Goldman Sachs Group Inc. now owns 380,267 shares of the company's stock worth $54,751,000 after acquiring an additional 84,045 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in Penske Automotive Group by 4.7% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 68,884 shares of the company's stock worth $9,918,000 after buying an additional 3,100 shares during the last quarter. Acadian Asset Management LLC acquired a new position in shares of Penske Automotive Group during the 1st quarter worth about $42,000. EverSource Wealth Advisors LLC increased its stake in shares of Penske Automotive Group by 506.9% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 880 shares of the company's stock valued at $151,000 after acquiring an additional 735 shares during the last quarter. Finally, Brown Advisory Inc. increased its stake in shares of Penske Automotive Group by 47.0% in the 2nd quarter. Brown Advisory Inc. now owns 3,108 shares of the company's stock valued at $534,000 after acquiring an additional 994 shares during the last quarter. 77.08% of the stock is owned by institutional investors.

Analysts Set New Price Targets

PAG has been the subject of several research analyst reports. Citigroup lowered shares of Penske Automotive Group from a "buy" rating to a "neutral" rating and boosted their price target for the company from $199.00 to $210.00 in a report on Thursday, July 23rd. Morgan Stanley reaffirmed an "overweight" rating and set a $190.00 price objective on shares of Penske Automotive Group in a research note on Thursday, May 7th. UBS Group set a $190.00 target price on Penske Automotive Group in a report on Friday, July 10th. Stephens boosted their target price on Penske Automotive Group from $166.00 to $210.00 and gave the company an "equal weight" rating in a research note on Monday, August 3rd. Finally, Benchmark cut Penske Automotive Group from a "buy" rating to a "hold" rating in a research note on Wednesday, July 22nd. Five analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $208.50.

Penske Automotive Group Price Performance

Shares of PAG opened at $219.59 on Wednesday. The company has a quick ratio of 0.21, a current ratio of 0.98 and a debt-to-equity ratio of 0.36. Penske Automotive Group, Inc. has a twelve month low of $140.12 and a twelve month high of $227.00. The stock has a market capitalization of $14.42 billion, a P/E ratio of 16.17, a P/E/G ratio of 2.90 and a beta of 0.84. The company has a 50 day moving average of $201.67 and a 200-day moving average of $175.59.

Penske Automotive Group (NYSE:PAG - Get Free Report) last issued its quarterly earnings results on Wednesday, July 29th. The company reported $3.62 EPS for the quarter, topping the consensus estimate of $3.42 by $0.20. Penske Automotive Group had a net margin of 2.81% and a return on equity of 14.78%. The firm had revenue of $8.51 billion for the quarter, compared to analysts' expectations of $7.98 billion. During the same period in the previous year, the firm posted $3.78 EPS. The company's revenue for the quarter was up 11.1% on a year-over-year basis. As a group, equities research analysts forecast that Penske Automotive Group, Inc. will post 13.61 EPS for the current fiscal year.

Penske Automotive Group Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Friday, August 14th will be paid a $1.44 dividend. This is an increase from Penske Automotive Group's previous quarterly dividend of $1.42. This represents a $5.76 dividend on an annualized basis and a yield of 2.6%. The ex-dividend date is Friday, August 14th. Penske Automotive Group's dividend payout ratio is 42.42%.

Insider Buying and Selling

In other news, CFO Michelle Hulgrave sold 1,500 shares of Penske Automotive Group stock in a transaction dated 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. This trade represents a 7.86% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. 52.90% of the stock is currently owned by corporate insiders.

Penske Automotive Group 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.

Want to see what other hedge funds are holding PAG? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Penske Automotive Group, Inc. (NYSE:PAG - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source