Group 1 Automotive (NYSE:GPI) Director Sells $143,286.00 in Stock

Key Points

• Director Steven Mizell sold 550 shares of Group 1 Automotive at an average price of $260.52, receiving $143,286 and reducing his holdings by 94.34% to just 33 shares.
• Third-quarter results fell short of expectations: EPS was $9.36 versus $9.50 expected, while revenue of $5.40 billion declined 6.7% year over year and missed estimates.
• Shares recently traded near $260, while analysts’ consensus rating remains Hold with an average price target of $338.11; the company also maintains a quarterly dividend of $0.55 per share.

Group 1 Automotive, Inc. (NYSE:GPI - Get Free Report) Director Steven Mizell sold 550 shares of the stock in a transaction dated Friday, October 30th. The stock was sold at an average price of $260.52, for a total value of $143,286.00. Following the sale, the director owned 33 shares of the company's stock, valued at approximately $8,597.16. The trade was a 94.34% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink.

Group 1 Automotive Stock Up 0.2%

Shares of NYSE:GPI traded up $0.64 during trading on Friday, reaching $260.61. 212,533 shares of the stock were exchanged, compared to its average volume of 202,084. Group 1 Automotive, Inc. has a 1-year low of $224.65 and a 1-year high of $429.00. The firm has a market cap of $3.11 billion, a price-to-earnings ratio of 8.25, a price-to-earnings-growth ratio of 1.53 and a beta of 0.92. The stock has a fifty day moving average of $254.68 and a two-hundred day moving average of $308.12. The company has a debt-to-equity ratio of 1.03, a current ratio of 1.02 and a quick ratio of 0.25.

Group 1 Automotive (NYSE:GPI - Get Free Report) last released its earnings results on Wednesday, October 28th. The company reported $9.36 earnings per share (EPS) for the quarter, missing the consensus estimate of $9.50 by ($0.14). The business had revenue of $5.40 billion during the quarter, compared to the consensus estimate of $5.58 billion. Group 1 Automotive had a net margin of 1.75% and a return on equity of 15.18%. The business's revenue was down 6.7% on a year-over-year basis. During the same period in the prior year, the company earned $10.45 earnings per share. Research analysts anticipate that Group 1 Automotive, Inc. will post 37.68 earnings per share for the current fiscal year.

Group 1 Automotive Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, September 15th. Shareholders of record on Tuesday, September 1st were paid a dividend of $0.55 per share. The ex-dividend date of this dividend was Tuesday, September 1st. This represents a $2.20 annualized dividend and a yield of 0.8%. Group 1 Automotive's payout ratio is 6.96%.

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on the stock. Citigroup cut their target price on shares of Group 1 Automotive from $387.00 to $357.00 and set a "buy" rating on the stock in a report on Monday, September 28th. Weiss Ratings lowered Group 1 Automotive from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Monday, August 17th. Zacks Research cut Group 1 Automotive from a "hold" rating to a "strong sell" rating in a research note on Monday, August 10th. UBS Group cut their target price on Group 1 Automotive from $271.00 to $259.00 and set a "neutral" rating on the stock in a research note on Thursday. Finally, JPMorgan Chase & Co. lowered their price target on Group 1 Automotive from $275.00 to $260.00 and set a "neutral" rating on the stock in a report on Tuesday, October 6th. Five analysts have rated the stock with a Buy rating, two have assigned a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $338.11.

Key Group 1 Automotive News

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

• Positive Sentiment: Barclays lowered its price target from $320 to $300 but maintained an overweight rating, implying meaningful upside from recent levels. The revised target suggests the firm still expects Group 1 Automotive’s valuation and operating performance to improve. Barclays stock recommendation
• Positive Sentiment: Some investors are refocusing on GPI’s potentially undervalued profile after the earnings report. The company remains profitable and trades at a relatively low earnings multiple, which could support the stock if automotive demand and margins stabilize. Group 1 Automotive Q3 results
• Neutral Sentiment: UBS reduced its price target from $271 to $259 and retained a neutral rating, signaling limited near-term upside at the current valuation. UBS Group stock recommendation
• Neutral Sentiment: New disclosures about the stockholder agreement with Conifer highlight potential governance, capital-allocation and shareholder-activism risks. The agreement may influence future strategic decisions but does not yet represent a direct change to operations. Conifer stockholder agreement analysis
• Negative Sentiment: Third-quarter EPS of $9.36 missed the $9.50 consensus, while revenue of $5.40 billion fell short of expectations and declined 6.7% year over year. EPS also decreased from $10.45 in the prior-year quarter, reinforcing concerns about slowing sales and profitability. Group 1 Automotive Q3 results and margins
• Negative Sentiment: Director Steven Mizell sold 550 shares for approximately $143,286, leaving him with only 33 shares. Separately, SVP Gillian Hobson sold 2,000 shares worth about $516,480, reducing her holdings by roughly 21%. The sales may weigh on sentiment, although they do not necessarily indicate deteriorating fundamentals. Group 1 Automotive insider sale filing

Hedge Funds Weigh In On Group 1 Automotive

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in GPI. Provenance Wealth Advisors LLC purchased a new stake in Group 1 Automotive during the third quarter valued at approximately $167,000. Garner Asset Management Corp purchased a new position in Group 1 Automotive in the third quarter worth $1,537,000. Salomon & Ludwin LLC lifted its holdings in shares of Group 1 Automotive by 445.8% during the 3rd quarter. Salomon & Ludwin LLC now owns 131 shares of the company's stock valued at $31,000 after purchasing an additional 107 shares during the last quarter. Leeward Investments LLC MA boosted its position in shares of Group 1 Automotive by 7.8% in the 3rd quarter. Leeward Investments LLC MA now owns 57,283 shares of the company's stock worth $13,773,000 after purchasing an additional 4,150 shares in the last quarter. Finally, Sage Private Wealth Group LLC purchased a new position in Group 1 Automotive during the 3rd quarter worth $366,000. 99.92% of the stock is owned by institutional investors.

Group 1 Automotive Company Profile

Group 1 Automotive, Inc is an international automotive retailer headquartered in Houston, Texas. The company operates dealerships that sell new and used automobiles and light trucks from a broad range of manufacturers.

In addition to vehicle sales, Group 1 Automotive provides automotive financing and insurance products, vehicle maintenance and repair, collision services, replacement parts, and other related services. Its dealerships also market vehicles through digital retailing platforms.

Founded in 1997, Group 1 Automotive serves customers through a network of dealerships and automotive service locations in the United States, the United Kingdom, and Brazil.

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