Jefferies Financial Group Inc. Buys Shares of 23,240 Penske Automotive Group, Inc. $PAG

Key Points

• Jefferies Financial Group opened a new position in Penske Automotive Group, buying 23,240 shares valued at about $3.68 million in the fourth quarter.
• Wall Street sentiment remains constructive: several analysts raised price targets recently, and the stock now carries an average “Moderate Buy” rating with a consensus target of $182.63.
• Penske Automotive reported better-than-expected quarterly earnings of $3.05 per share on revenue of $7.86 billion and also raised its quarterly dividend to $1.42 per share.

Jefferies Financial Group Inc. bought a new stake in Penske Automotive Group, Inc. (NYSE:PAG - Free Report) during the 4th quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor bought 23,240 shares of the company's stock, valued at approximately $3,679,000.

Other large investors also recently bought and sold shares of the company. Meixler Investment Management Ltd. acquired a new stake in Penske Automotive Group in the third quarter valued at $1,154,000. Convergence Investment Partners LLC acquired a new stake in Penske Automotive Group in the third quarter valued at $1,157,000. Alps Advisors Inc. acquired a new stake in Penske Automotive Group in the third quarter valued at $5,585,000. JPMorgan Chase & Co. grew its holdings in Penske Automotive Group by 21.2% in the third quarter. JPMorgan Chase & Co. now owns 111,775 shares of the company's stock valued at $19,439,000 after purchasing an additional 19,561 shares during the last quarter. Finally, Wealth Enhancement Advisory Services LLC boosted its stake in shares of Penske Automotive Group by 394.4% during the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 47,593 shares of the company's stock valued at $7,726,000 after acquiring an additional 37,967 shares during the last quarter. Institutional investors and hedge funds own 77.08% of the company's stock.

Analyst Ratings Changes

A number of research firms recently commented on PAG. JPMorgan Chase & Co. increased their price objective on Penske Automotive Group from $165.00 to $170.00 and gave the company a "neutral" rating in a research note on Thursday, May 7th. 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. Stephens increased their price objective on Penske Automotive Group from $155.00 to $160.00 and gave the company an "equal weight" rating in a research note on Monday, May 4th. UBS Group began coverage on Penske Automotive Group in a research note on Wednesday. They set a "neutral" rating and a $167.00 price objective on the stock. Finally, Citigroup increased their price objective on Penske Automotive Group from $193.00 to $199.00 and gave the company a "buy" rating in a research note on Wednesday, May 6th. Six research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, Penske Automotive Group presently has an average rating of "Moderate Buy" and an average target price of $182.63.

Penske Automotive Group Stock Performance

NYSE PAG opened at $166.55 on Wednesday. The business's 50-day moving average price is $157.52 and its 200 day moving average price is $160.45. Penske Automotive Group, Inc. has a twelve month low of $140.12 and a twelve month high of $189.51. The company has a market capitalization of $10.95 billion, a PE ratio of 12.43, a price-to-earnings-growth ratio of 2.14 and a beta of 0.90. The company has a current ratio of 0.96, a quick ratio of 0.22 and a debt-to-equity ratio of 0.39.

Penske Automotive Group (NYSE:PAG - Get Free Report) last released its earnings results on Wednesday, April 29th. The company reported $3.05 earnings per share for the quarter, topping the consensus estimate of $2.91 by $0.14. The firm had revenue of $7.86 billion for the quarter, compared to the consensus estimate of $7.71 billion. Penske Automotive Group had a return on equity of 15.13% and a net margin of 2.85%.The firm's revenue for the quarter was down 1.1% compared to the same quarter last year. During the same period in the prior year, the business posted $3.66 earnings per share. On average, research analysts predict that Penske Automotive Group, Inc. will post 13.44 earnings per share for the current year.

Penske Automotive Group Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 3rd. Stockholders of record on Tuesday, May 26th will be issued a $1.42 dividend. This is a positive change from Penske Automotive Group's previous quarterly dividend of $1.40. The ex-dividend date is Tuesday, May 26th. This represents a $5.68 dividend on an annualized basis and a dividend yield of 3.4%. Penske Automotive Group's dividend payout ratio (DPR) is 41.79%.

Insider Activity at Penske Automotive Group

In related news, Director Greg C. Smith sold 1,488 shares of the firm's stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $160.02, for a total transaction of $238,109.76. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Insiders own 52.90% of the company's stock.

Penske Automotive Group Company 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.

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