Penske Automotive Group (NYSE:PAG) Director Sells $289,906.96 in Stock

Key Points

• Director Lisa Ann Davis sold 1,604 shares of Penske Automotive Group stock at an average price of $180.74, reducing her ownership by 51.20%.
• Penske Automotive Group declared a quarterly dividend of $1.32 per share, an increase from their previous dividend of $1.26, with a current yield of 2.9%.
• The company recently announced a stock buyback plan to repurchase up to $250 million in shares, indicating management's confidence in the firm's valuation.

Penske Automotive Group, Inc. (NYSE:PAG - Get Free Report) Director Lisa Ann Davis sold 1,604 shares of Penske Automotive Group stock in a transaction that occurred on Monday, August 18th. The stock was sold at an average price of $180.74, for a total value of $289,906.96. Following the completion of the sale, the director directly owned 1,529 shares in the company, valued at approximately $276,351.46. The trade was a 51.20% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink.

Penske Automotive Group Price Performance

NYSE:PAG traded up $0.2060 during trading hours on Monday, reaching $187.5160. The stock had a trading volume of 52,303 shares, compared to its average volume of 239,678. The stock has a market capitalization of $12.38 billion, a PE ratio of 13.06 and a beta of 0.87. The company has a debt-to-equity ratio of 0.16, a quick ratio of 0.21 and a current ratio of 0.90. The company has a 50 day moving average price of $175.89 and a two-hundred day moving average price of $164.75. Penske Automotive Group, Inc. has a 52 week low of $134.05 and a 52 week high of $188.43.

Penske Automotive Group (NYSE:PAG - Get Free Report) last released its earnings results on Wednesday, July 30th. The company reported $3.78 earnings per share for the quarter, beating the consensus estimate of $3.56 by $0.22. The firm had revenue of $7.66 billion for the quarter, compared to the consensus estimate of $7.98 billion. Penske Automotive Group had a return on equity of 17.43% and a net margin of 3.13%.The company's revenue for the quarter was down .4% compared to the same quarter last year. During the same quarter in the previous year, the company posted $3.61 EPS. As a group, sell-side analysts anticipate that Penske Automotive Group, Inc. will post 13.86 earnings per share for the current fiscal year.

Penske Automotive Group Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 3rd. Shareholders of record on Friday, August 15th will be given a $1.32 dividend. This is a boost from Penske Automotive Group's previous quarterly dividend of $1.26. The ex-dividend date of this dividend is Friday, August 15th. This represents a $5.28 annualized dividend and a yield of 2.8%. Penske Automotive Group's dividend payout ratio is currently 36.74%.

Penske Automotive Group declared that its Board of Directors has approved a stock buyback plan on Wednesday, May 14th that allows the company to repurchase $250.00 million in outstanding shares. This repurchase authorization allows the company to buy up to 2.3% of its shares through open market purchases. Shares repurchase plans are often a sign that the company's leadership believes its stock is undervalued.

Analysts Set New Price Targets

Several equities analysts have commented on PAG shares. Stephens reaffirmed an "equal weight" rating and issued a $140.00 price objective on shares of Penske Automotive Group in a research report on Wednesday, June 11th. Morgan Stanley lifted their target price on Penske Automotive Group from $180.00 to $190.00 and gave the company an "overweight" rating in a research report on Thursday, August 14th. Citigroup increased their price target on Penske Automotive Group from $185.00 to $195.00 and gave the stock a "buy" rating in a research report on Monday, May 19th. JPMorgan Chase & Co. raised shares of Penske Automotive Group from an "underweight" rating to a "neutral" rating and upped their price objective for the stock from $155.00 to $175.00 in a research note on Tuesday, August 5th. Finally, Bank of America upped their price objective on shares of Penske Automotive Group from $190.00 to $205.00 and gave the stock a "buy" rating in a research note on Monday, June 16th. Four analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $181.00.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Sound Income Strategies LLC purchased a new position in Penske Automotive Group during the 2nd quarter worth $34,000. Acadian Asset Management LLC acquired a new stake in Penske Automotive Group in the first quarter worth about $42,000. UMB Bank n.a. boosted its holdings in Penske Automotive Group by 421.5% in the first quarter. UMB Bank n.a. now owns 339 shares of the company's stock worth $49,000 after acquiring an additional 274 shares in the last quarter. GAMMA Investing LLC boosted its holdings in Penske Automotive Group by 51.9% in the first quarter. GAMMA Investing LLC now owns 398 shares of the company's stock worth $57,000 after acquiring an additional 136 shares in the last quarter. Finally, Brooklyn Investment Group boosted its holdings in Penske Automotive Group by 353.0% in the first quarter. Brooklyn Investment Group now owns 453 shares of the company's stock worth $65,000 after acquiring an additional 353 shares in the last quarter. 77.08% of the stock is currently owned by hedge funds and other institutional investors.

Penske Automotive Group Company Profile

Penske Automotive Group, Inc, a diversified transportation services company, operates automotive and commercial truck dealerships worldwide. The company operates through four segments: Retail Automotive, Retail Commercial Truck, Other, and Non-Automotive Investments. It operates dealerships under franchise agreements with various automotive manufacturers and distributors.