Penske Automotive Group, Inc. $PAG Stock Holdings Boosted by Invesco Ltd.

Key Points

• Invesco Ltd. increased its stake in Penske Automotive Group by 3.4%, owning a total of 223,630 shares valued at $32.2 million after purchasing 7,276 shares in the first quarter.
• Penske Automotive Group's CEO Roger S. Penske sold 77,357 shares for over $12 million, resulting in a 35.58% decrease in his position, while insiders collectively sold 82,044 shares worth $13.26 million in the last 90 days.
• Analysts are bullish on Penske with four "Buy" ratings and a consensus price target of $181, while the company recently raised its quarterly dividend to $1.32 per share, up from $1.26.

Invesco Ltd. lifted its holdings in Penske Automotive Group, Inc. (NYSE:PAG - Free Report) by 3.4% during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 223,630 shares of the company's stock after buying an additional 7,276 shares during the quarter. Invesco Ltd. owned 0.34% of Penske Automotive Group worth $32,198,000 as of its most recent SEC filing.

A number of other institutional investors have also recently modified their holdings of PAG. Envestnet Asset Management Inc. raised its holdings in Penske Automotive Group by 15.2% during the fourth quarter. Envestnet Asset Management Inc. now owns 4,898 shares of the company's stock worth $747,000 after purchasing an additional 645 shares during the last quarter. Russell Investments Group Ltd. raised its holdings in shares of Penske Automotive Group by 10.7% in the fourth quarter. Russell Investments Group Ltd. now owns 4,480 shares of the company's stock worth $683,000 after acquiring an additional 432 shares during the last quarter. Bank of Montreal Can raised its holdings in shares of Penske Automotive Group by 6.4% in the fourth quarter. Bank of Montreal Can now owns 2,651 shares of the company's stock worth $404,000 after acquiring an additional 160 shares during the last quarter. Raymond James Financial Inc. purchased a new stake in shares of Penske Automotive Group in the fourth quarter valued at $3,018,000. Finally, Sterling Capital Management LLC grew its position in shares of Penske Automotive Group by 57.4% in the fourth quarter. Sterling Capital Management LLC now owns 1,108 shares of the company's stock valued at $169,000 after purchasing an additional 404 shares during the period. 77.08% of the stock is currently owned by hedge funds and other institutional investors.

Penske Automotive Group Stock Performance

Shares of Penske Automotive Group stock traded up $6.1150 on Friday, reaching $187.1050. 237,765 shares of the company were exchanged, compared to its average volume of 240,553. The company has a debt-to-equity ratio of 0.16, a quick ratio of 0.21 and a current ratio of 0.90. The company's 50-day moving average is $175.89 and its two-hundred day moving average is $164.81. The firm has a market cap of $12.36 billion, a price-to-earnings ratio of 13.02 and a beta of 0.87. Penske Automotive Group, Inc. has a 1-year low of $134.05 and a 1-year high of $188.43.

Penske Automotive Group (NYSE:PAG - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The company reported $3.78 earnings per share for the quarter, topping analysts' consensus estimates of $3.56 by $0.22. Penske Automotive Group had a return on equity of 17.43% and a net margin of 3.13%.The business had revenue of $7.66 billion for the quarter, compared to analysts' expectations of $7.98 billion. During the same period in the prior year, the firm earned $3.61 EPS. The business's quarterly revenue was down .4% on a year-over-year basis. As a group, 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 disclosed a quarterly dividend, which will be paid on Wednesday, September 3rd. Investors of record on Friday, August 15th will be issued a $1.32 dividend. This is a positive change from Penske Automotive Group's previous quarterly dividend of $1.26. The ex-dividend date of this dividend is Friday, August 15th. This represents a $5.28 dividend on an annualized basis and a yield of 2.8%. Penske Automotive Group's dividend payout ratio is currently 36.74%.

Penske Automotive Group declared that its Board of Directors has initiated a share repurchase plan on Wednesday, May 14th that permits the company to buyback $250.00 million in shares. This buyback authorization permits the company to purchase up to 2.3% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's board believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on PAG. Morgan Stanley boosted their price target on Penske Automotive Group from $180.00 to $190.00 and gave the company an "overweight" rating in a research report on Thursday, August 14th. Citigroup upped their target price on Penske Automotive Group from $185.00 to $195.00 and gave the stock a "buy" rating in a research report on Monday, May 19th. Bank of America boosted their price target on Penske Automotive Group from $190.00 to $205.00 and gave the stock a "buy" rating in a research note on Monday, June 16th. JPMorgan Chase & Co. upgraded Penske Automotive Group from an "underweight" rating to a "neutral" rating and upped their price objective for the company from $155.00 to $175.00 in a research note on Tuesday, August 5th. Finally, Stephens restated an "equal weight" rating and set a $140.00 price objective on shares of Penske Automotive Group in a research note on Wednesday, June 11th. Four analysts have rated the stock with a Buy rating and two have given a Hold rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $181.00.

Insiders Place Their Bets

In related news, Director Greg C. Smith sold 1,529 shares of the stock in a transaction that occurred on Tuesday, June 3rd. The stock was sold at an average price of $161.64, for a total value of $247,147.56. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Roger S. Penske sold 77,357 shares of the stock in a transaction on Tuesday, June 3rd. The shares were sold at an average price of $161.37, for a total value of $12,483,099.09. Following the transaction, the chief executive officer directly owned 140,042 shares of the company's stock, valued at approximately $22,598,577.54. The trade was a 35.58% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 84,748 shares of company stock worth $13,748,660. 51.70% of the stock is owned by company insiders.

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.