Group 1 Automotive (NYSE:GPI) Price Target Raised to $425.00

Key Points

• JPMorgan Chase & Co. has raised its price target for Group 1 Automotive (NYSE:GPI) from $415.00 to $425.00, indicating a potential upside of 4.16% based on the current stock price.
• Bank of America and Citigroup have also increased their price objectives for GPI, with Bank of America setting a target of $565.00 and Citigroup setting a target of $495.00, both maintaining a "buy" rating.
• Group 1 Automotive recently reported earnings of $11.52 EPS, beating analyst estimates, and achieved a revenue of $5.70 billion, a 21.4% increase from the previous year.

Group 1 Automotive (NYSE:GPI - Free Report) had its price objective lifted by JPMorgan Chase & Co. from $415.00 to $425.00 in a research report released on Tuesday morning,Benzinga reports. They currently have a neutral rating on the stock.

A number of other equities analysts have also weighed in on GPI. Wall Street Zen lowered shares of Group 1 Automotive from a "buy" rating to a "hold" rating in a report on Friday, June 27th. Guggenheim lowered shares of Group 1 Automotive from a "buy" rating to a "neutral" rating in a report on Wednesday, May 14th. Citigroup increased their price objective on shares of Group 1 Automotive from $463.00 to $495.00 and gave the stock a "buy" rating in a research report on Tuesday, May 13th. Bank of America lifted their target price on shares of Group 1 Automotive from $510.00 to $565.00 and gave the company a "buy" rating in a report on Monday, June 16th. Finally, Benchmark initiated coverage on Group 1 Automotive in a research note on Tuesday, June 24th. They set a "hold" rating on the stock. Five investment analysts have rated the stock with a hold rating and four have assigned a buy rating to the company. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus target price of $471.57.

Group 1 Automotive Stock Up 0.5%

Shares of Group 1 Automotive stock traded up $2.27 during trading hours on Tuesday, hitting $422.29. The company had a trading volume of 112,973 shares, compared to its average volume of 197,039. Group 1 Automotive has a twelve month low of $334.38 and a twelve month high of $490.09. The company has a debt-to-equity ratio of 0.97, a current ratio of 1.05 and a quick ratio of 0.24. The company has a market cap of $5.46 billion, a P/E ratio of 11.64, a price-to-earnings-growth ratio of 1.06 and a beta of 0.83. The company's 50-day moving average is $435.73 and its two-hundred day moving average is $430.29.

Group 1 Automotive (NYSE:GPI - Get Free Report) last issued its earnings results on Thursday, July 24th. The company reported $11.52 earnings per share for the quarter, beating the consensus estimate of $10.31 by $1.21. Group 1 Automotive had a net margin of 2.18% and a return on equity of 18.10%. The business had revenue of $5.70 billion for the quarter, compared to the consensus estimate of $5.65 billion. During the same quarter in the previous year, the firm earned $9.82 earnings per share. The business's quarterly revenue was up 21.4% compared to the same quarter last year. Analysts anticipate that Group 1 Automotive will post 41 earnings per share for the current fiscal year.

Group 1 Automotive Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, June 16th. Stockholders of record on Monday, June 2nd were issued a $0.50 dividend. This represents a $2.00 annualized dividend and a dividend yield of 0.5%. The ex-dividend date of this dividend was Monday, June 2nd. Group 1 Automotive's payout ratio is presently 5.51%.

Insiders Place Their Bets

In other news, CFO Daniel James Mchenry sold 3,000 shares of the stock in a transaction dated Tuesday, June 10th. The shares were sold at an average price of $441.71, for a total transaction of $1,325,130.00. Following the completion of the transaction, the chief financial officer directly owned 16,674 shares in the company, valued at $7,365,072.54. This represents a 15.25% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Steven Mizell sold 525 shares of the stock in a transaction on Tuesday, July 29th. The shares were sold at an average price of $417.98, for a total transaction of $219,439.50. Following the completion of the sale, the director owned 8 shares of the company's stock, valued at approximately $3,343.84. This represents a 98.50% decrease in their position. The disclosure for this sale can be found here. Insiders own 2.10% of the company's stock.

Hedge Funds Weigh In On Group 1 Automotive

Several hedge funds and other institutional investors have recently added to or reduced their stakes in GPI. Captrust Financial Advisors grew its holdings in Group 1 Automotive by 4.2% during the 4th quarter. Captrust Financial Advisors now owns 571 shares of the company's stock worth $241,000 after acquiring an additional 23 shares during the period. Contravisory Investment Management Inc. grew its position in shares of Group 1 Automotive by 2.2% during the 2nd quarter. Contravisory Investment Management Inc. now owns 1,077 shares of the company's stock worth $470,000 after buying an additional 23 shares during the period. Farther Finance Advisors LLC increased its stake in shares of Group 1 Automotive by 2.3% in the 2nd quarter. Farther Finance Advisors LLC now owns 1,022 shares of the company's stock valued at $446,000 after acquiring an additional 23 shares in the last quarter. Sage Rhino Capital LLC lifted its position in shares of Group 1 Automotive by 4.6% during the 2nd quarter. Sage Rhino Capital LLC now owns 563 shares of the company's stock valued at $246,000 after acquiring an additional 25 shares during the period. Finally, Assetmark Inc. grew its holdings in Group 1 Automotive by 25.8% in the second quarter. Assetmark Inc. now owns 122 shares of the company's stock worth $53,000 after purchasing an additional 25 shares during the period. 99.92% of the stock is owned by institutional investors and hedge funds.

About Group 1 Automotive

Group 1 Automotive, Inc, through its subsidiaries, operates in the automotive retail industry in the United States and the United Kingdom. The company sells new and used cars, light trucks, and vehicle parts, as well as service and insurance contracts; arranges related vehicle financing; and offers automotive maintenance and repair services.