FY2026 EPS Estimates for GPI Decreased by Zacks Research

Key Points

• Zacks Research lowered Group 1 Automotive’s FY2026 EPS estimate to $38.63 from $41.10 and maintains a “Strong Sell” rating, below the $38.96 consensus estimate.
• Group 1 Automotive’s latest quarterly results missed expectations, with EPS of $9.61 versus $10.60 expected and revenue of $5.39 billion, down 5.6% year over year.
• The stock opened at $264.33, near its 52-week low, while analysts have an average “Hold” rating and a $400.22 price target; the company also announced a $0.55 quarterly dividend.

Group 1 Automotive, Inc. (NYSE:GPI - Free Report) - Equities researchers at Zacks Research cut their FY2026 EPS estimates for shares of Group 1 Automotive in a research note issued to investors on Thursday, August 13th. Zacks Research analyst Team now forecasts that the company will post earnings of $38.63 per share for the year, down from their prior forecast of $41.10. Zacks Research currently has a "Strong Sell" rating on the stock. The consensus estimate for Group 1 Automotive's current full-year earnings is $38.96 per share. Zacks Research also issued estimates for Group 1 Automotive's Q2 2027 earnings at $8.40 EPS, Q3 2027 earnings at $15.21 EPS, Q4 2027 earnings at $10.23 EPS, FY2027 earnings at $44.48 EPS, Q1 2028 earnings at $9.42 EPS, Q2 2028 earnings at $8.42 EPS and FY2028 earnings at $48.98 EPS.

A number of other analysts have also commented on the company. DA Davidson set a $425.00 target price on Group 1 Automotive in a research report on Friday, July 10th. UBS Group cut their price target on Group 1 Automotive from $338.00 to $330.00 and set a "neutral" rating on the stock in a report on Friday, July 10th. Weiss Ratings cut Group 1 Automotive from a "hold (c)" rating to a "hold (c-)" rating in a research note on Monday, August 3rd. Seaport Research Partners set a $420.00 price objective on Group 1 Automotive in a report on Monday, August 3rd. Finally, Barclays lowered their target price on Group 1 Automotive from $470.00 to $435.00 and set an "overweight" rating on the stock in a research report on Wednesday, July 15th. Five analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, Group 1 Automotive currently has an average rating of "Hold" and an average target price of $400.22.

Group 1 Automotive Price Performance

Shares of NYSE GPI opened at $264.33 on Monday. The firm has a market capitalization of $3.15 billion, a P/E ratio of 11.01, a P/E/G ratio of 0.80 and a beta of 0.82. The firm's 50-day moving average price is $304.35 and its 200-day moving average price is $322.04. The company has a current ratio of 1.02, a quick ratio of 0.25 and a debt-to-equity ratio of 1.03. Group 1 Automotive has a 1-year low of $259.24 and a 1-year high of $488.39.

Group 1 Automotive (NYSE:GPI - Get Free Report) last posted its quarterly earnings results on Thursday, July 30th. The company reported $9.61 EPS for the quarter, missing analysts' consensus estimates of $10.60 by ($0.99). Group 1 Automotive had a return on equity of 15.66% and a net margin of 1.31%.The company had revenue of $5.39 billion during the quarter, compared to analyst estimates of $5.66 billion. During the same quarter in the previous year, the business posted $10.82 earnings per share. The company's revenue for the quarter was down 5.6% compared to the same quarter last year.

Hedge Funds Weigh In On Group 1 Automotive

Several large investors have recently added to or reduced their stakes in the business. Northwestern Mutual Wealth Management Co. boosted its holdings in Group 1 Automotive by 366,770.5% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 25,431,464 shares of the company's stock worth $10,002,195,000 after acquiring an additional 25,424,532 shares during the last quarter. BlackRock Inc. purchased a new stake in shares of Group 1 Automotive in the second quarter valued at about $593,420,000. Conifer Management L.L.C. purchased a new stake in shares of Group 1 Automotive in the second quarter valued at about $281,561,390,000. Norges Bank bought a new position in shares of Group 1 Automotive during the fourth quarter valued at about $98,125,000. Finally, Lakewood Capital Management LP bought a new position in shares of Group 1 Automotive during the second quarter valued at about $72,098,000. Institutional investors own 99.92% of the company's stock.

Group 1 Automotive Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st will be issued a $0.55 dividend. This represents a $2.20 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date is Tuesday, September 1st. Group 1 Automotive's dividend payout ratio is currently 9.16%.

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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