Group 1 Automotive, Inc. (NYSE:GPI) Receives Consensus Recommendation of "Moderate Buy" from Brokerages

Key Points

• Consensus "Moderate Buy": Ten brokerages cover GPI (seven buy, three hold) with an average 12‑month price target of $447.14, and recent analyst moves include several target downgrades and new/upgraded coverage from firms like BofA, Evercore and JPMorgan.
• Q1 results missed estimates: Group 1 reported EPS of $8.66 (below consensus ~$8.82–$8.93), revenue was roughly in line but down 1.8% YoY, and net margin compressed to about 1.46%, reflecting sensitivity to lower volumes and softer F&I income.
• Supportive capital actions: Management repurchased roughly 1.7% of shares in Q1, closed the sale of Mercedes‑Benz of Beverly Hills and raised the quarterly dividend to $0.55 ($2.20 annualized), signaling cash allocation toward buybacks/dividends and confidence in the business.

Group 1 Automotive, Inc. (NYSE:GPI - Get Free Report) has earned a consensus rating of "Moderate Buy" from the ten brokerages that are currently covering the stock, MarketBeat reports. Three investment analysts have rated the stock with a hold recommendation and seven have assigned a buy recommendation to the company. The average twelve-month price target among brokers that have issued a report on the stock in the last year is $447.1429.

Several brokerages recently issued reports on GPI. Barclays lowered their price target on Group 1 Automotive from $470.00 to $455.00 and set an "overweight" rating for the company in a report on Tuesday, April 7th. Bank of America started coverage on Group 1 Automotive in a research note on Wednesday, March 4th. They set a "buy" rating on the stock. Citigroup decreased their target price on Group 1 Automotive from $490.00 to $420.00 and set a "buy" rating for the company in a research report on Wednesday, April 8th. JPMorgan Chase & Co. raised their target price on Group 1 Automotive from $370.00 to $385.00 and gave the company an "overweight" rating in a report on Friday, April 17th. Finally, Evercore assumed coverage on Group 1 Automotive in a research report on Tuesday, January 20th. They set an "outperform" rating and a $500.00 price target on the stock.

Institutional Trading of Group 1 Automotive

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in Group 1 Automotive by 3.0% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 7,766 shares of the company's stock valued at $2,966,000 after buying an additional 227 shares during the last quarter. Millennium Management LLC lifted its holdings in Group 1 Automotive by 20.3% during the 1st quarter. Millennium Management LLC now owns 37,028 shares of the company's stock worth $14,143,000 after buying an additional 6,239 shares during the last quarter. Dynamic Technology Lab Private Ltd acquired a new position in shares of Group 1 Automotive in the 1st quarter worth approximately $229,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in shares of Group 1 Automotive by 6.2% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 41,872 shares of the company's stock worth $15,993,000 after acquiring an additional 2,452 shares in the last quarter. Finally, American Century Companies Inc. increased its holdings in shares of Group 1 Automotive by 46.7% in the 2nd quarter. American Century Companies Inc. now owns 2,753 shares of the company's stock valued at $1,202,000 after acquiring an additional 877 shares during the last quarter. Institutional investors own 99.92% of the company's stock.

Group 1 Automotive Price Performance

Shares of NYSE:GPI opened at $352.90 on Friday. The company has a market cap of $4.19 billion, a P/E ratio of 13.47, a P/E/G ratio of 0.86 and a beta of 0.87. The business has a fifty day simple moving average of $328.67 and a 200-day simple moving average of $370.85. Group 1 Automotive has a 52 week low of $292.44 and a 52 week high of $488.39. The company has a quick ratio of 0.27, a current ratio of 1.08 and a debt-to-equity ratio of 1.23.

Group 1 Automotive (NYSE:GPI - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The company reported $8.66 earnings per share for the quarter, missing analysts' consensus estimates of $8.82 by ($0.16). Group 1 Automotive had a net margin of 1.46% and a return on equity of 16.42%. The company had revenue of $5.41 billion during the quarter, compared to analyst estimates of $5.42 billion. During the same quarter last year, the business earned $10.17 EPS. The firm's revenue for the quarter was down 1.8% compared to the same quarter last year. Equities research analysts forecast that Group 1 Automotive will post 41.56 EPS for the current year.

Group 1 Automotive Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, March 16th. Stockholders of record on Monday, March 2nd were given a dividend of $0.55 per share. The ex-dividend date of this dividend was Monday, March 2nd. This is a positive change from Group 1 Automotive's previous quarterly dividend of $0.50. This represents a $2.20 dividend on an annualized basis and a dividend yield of 0.6%. Group 1 Automotive's dividend payout ratio is presently 8.80%.

Key Group 1 Automotive News

Here are the key news stories impacting Group 1 Automotive this week:

• Positive Sentiment: Record U.K. gross profits and strong same‑store parts & service margins helped cushion overall revenue weakness, supporting profitability in higher‑margin businesses. Group 1 Automotive Reports First Quarter 2026 Financial Results
• Positive Sentiment: Management repurchased roughly 1.7% of outstanding shares in Q1, a capital‑allocation action that supports EPS and signals confidence from the company. Group 1 Automotive Reports First Quarter 2026 Financial Results
• Positive Sentiment: Group 1 closed the sale of Mercedes‑Benz of Beverly Hills (portfolio optimization), which trims capex/operational exposure to that asset and can free cash for buybacks or debt reduction. The Presidio Group Exclusively Advised Group 1 Automotive on the Sale of Mercedes‑Benz of Beverly Hills to Fletcher Jones Automotive Group
• Neutral Sentiment: Management released the Q1 slide deck and earnings‑call transcript — useful for color on inventory, used‑car trends and guidance but no material guidance change was highlighted in headlines. Review the slides and transcript for details. Group 1 Automotive, Inc. 2026 Q1 - Results - Earnings Call Presentation Group 1 Automotive, Inc. (GPI) Q1 2026 Earnings Call Transcript
• Neutral Sentiment: Post‑earnings write‑ups highlight valuation context (some see stable revenue vs. prior quarter and mixed EPS dynamics) — useful for investors assessing whether the selloff is an opportunity. Assessing Group 1 Automotive (GPI) Valuation After Q1 Earnings Show Stable Revenue And Higher EPS
• Negative Sentiment: Q1 adjusted EPS of $8.66 missed consensus (~$8.82–$8.93) and revenue came in roughly in line but slightly below estimates; management cited lower vehicle volumes and softer F&I income as the primary drags. Those factors directly pressure the top line and auto‑retail margins. Group 1 Q1 Earnings Estimates Miss on Lower Volumes and Softer F&I
• Negative Sentiment: Year‑over‑year EPS declined (from $10.17 to $8.66) and net margin remains compressed (reported ~1.4%), highlighting sensitivity to unit volumes and F&I recovery; investors concerned about a slower retail cycle may discount near‑term earnings. Group 1 Automotive (GPI) Q1 Earnings and Revenues Lag Estimates

Group 1 Automotive Company Profile

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.

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.