Caxton Associates LLP Acquires Shares of 4,627 Penske Automotive Group, Inc. $PAG

Key Points

• Caxton Associates LLP recently acquired 4,627 shares of Penske Automotive Group, valued at approximately $666,000, reflecting growing institutional interest in the company.
• Penske Automotive Group reported earnings per share (EPS) of $3.78 for the most recent quarter, exceeding estimates but showing a slight revenue decline of 0.4% year-over-year.
• The company announced a quarterly dividend increase from $1.26 to $1.32 per share, reflecting a commitment to returning value to shareholders, with a current annualized yield of 2.8%.

Caxton Associates LLP bought a new position in shares of Penske Automotive Group, Inc. (NYSE:PAG - Free Report) in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund bought 4,627 shares of the company's stock, valued at approximately $666,000.

A number of other institutional investors and hedge funds have also modified their holdings of PAG. UMB Bank n.a. grew its stake in Penske Automotive Group by 421.5% during the 1st quarter. UMB Bank n.a. now owns 339 shares of the company's stock valued at $49,000 after acquiring an additional 274 shares in the last quarter. GAMMA Investing LLC grew its stake in Penske Automotive Group by 51.9% during the 1st quarter. GAMMA Investing LLC now owns 398 shares of the company's stock valued at $57,000 after acquiring an additional 136 shares in the last quarter. Brooklyn Investment Group grew its stake in Penske Automotive Group by 353.0% during the 1st quarter. Brooklyn Investment Group now owns 453 shares of the company's stock valued at $65,000 after acquiring an additional 353 shares in the last quarter. Fifth Third Bancorp grew its stake in Penske Automotive Group by 31.0% during the 1st quarter. Fifth Third Bancorp now owns 528 shares of the company's stock valued at $76,000 after acquiring an additional 125 shares in the last quarter. Finally, State of Wyoming acquired a new position in Penske Automotive Group in the 4th quarter valued at about $105,000. Hedge funds and other institutional investors own 77.08% of the company's stock.

Insider Activity at Penske Automotive Group

In related news, Director Lisa Ann Davis sold 1,604 shares of the company's stock in a transaction that occurred on Monday, August 18th. The shares were sold at an average price of $180.74, for a total transaction of $289,906.96. Following the sale, the director directly owned 1,529 shares of the company's stock, valued at $276,351.46. This represents a 51.20% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Michelle Hulgrave sold 1,100 shares of the company's stock in a transaction that occurred on Tuesday, August 19th. The stock was sold at an average price of $182.55, for a total transaction of $200,805.00. Following the sale, the chief financial officer directly owned 18,922 shares in the company, valued at approximately $3,454,211.10. The trade was a 5.49% decrease in their ownership of the stock. The disclosure for this sale can be found here. 52.40% of the stock is owned by corporate insiders.

Penske Automotive Group Trading Up 0.8%

Shares of PAG stock traded up $1.41 during trading hours on Wednesday, hitting $179.50. The company had a trading volume of 30,775 shares, compared to its average volume of 235,076. Penske Automotive Group, Inc. has a fifty-two week low of $134.05 and a fifty-two week high of $189.51. The company's fifty day moving average is $178.94 and its 200 day moving average is $166.71. The stock has a market capitalization of $11.85 billion, a PE ratio of 12.46 and a beta of 0.89. The company has a debt-to-equity ratio of 0.16, a current ratio of 0.90 and a quick ratio of 0.21.

Penske Automotive Group (NYSE:PAG - Get Free Report) last announced its earnings results on Wednesday, July 30th. The company reported $3.78 earnings per share for the quarter, topping the consensus estimate of $3.56 by $0.22. Penske Automotive Group had a net margin of 3.13% and a return on equity of 17.43%. The firm had revenue of $7.66 billion for the quarter, compared to the consensus estimate of $7.98 billion. During the same period in the prior year, the firm earned $3.61 EPS. The firm's revenue for the quarter was down .4% on a year-over-year basis. Research analysts expect that Penske Automotive Group, Inc. will post 13.86 earnings per share for the current fiscal year.

Penske Automotive Group Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 3rd. Investors of record on Friday, August 15th were paid a dividend of $1.32 per share. This represents a $5.28 annualized dividend and a yield of 2.9%. The ex-dividend date of this dividend was Friday, August 15th. This is an increase from Penske Automotive Group's previous quarterly dividend of $1.26. Penske Automotive Group's payout ratio is currently 36.74%.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on PAG. Stephens reiterated an "equal weight" rating and issued a $140.00 target price on shares of Penske Automotive Group in a report on Wednesday, June 11th. JPMorgan Chase & Co. upgraded shares of Penske Automotive Group from an "underweight" rating to a "neutral" rating and boosted their target price for the company from $155.00 to $175.00 in a report on Tuesday, August 5th. Bank of America upped their price objective on shares of Penske Automotive Group from $190.00 to $205.00 and gave the stock a "buy" rating in a report on Monday, June 16th. Finally, Morgan Stanley upped their price objective on shares of Penske Automotive Group from $180.00 to $190.00 and gave the stock an "overweight" rating in a report on Thursday, August 14th. Four research analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $181.00.

About Penske Automotive Group

Penske Automotive Group, Inc, a diversified transportation services company, operates automotive and commercial truck dealerships worldwide. The company operates through four segments: Retail Automotive, Retail Commercial Truck, Other, and Non-Automotive Investments. It operates dealerships under franchise agreements with various automotive manufacturers and distributors.