Penske Automotive Group, Inc. (NYSE:PAG) Given Consensus Recommendation of "Moderate Buy" by Analysts

Shares of Penske Automotive Group, Inc. (NYSE:PAG - Get Free Report) have been given an average rating of "Moderate Buy" by the six research firms that are currently covering the stock, MarketBeat reports. One investment analyst has rated the stock with a sell rating, one has issued a hold rating and four have issued a buy rating on the company. The average 1-year price target among brokers that have issued ratings on the stock in the last year is $172.00.

Several research firms have commented on PAG. Stephens reaffirmed an "equal weight" rating and set a $140.00 price objective on shares of Penske Automotive Group in a research note on Wednesday, June 11th. Citigroup upped their price objective on Penske Automotive Group from $185.00 to $195.00 and gave the company a "buy" rating in a research note on Monday, May 19th. Bank of America upped their price objective on Penske Automotive Group from $190.00 to $205.00 and gave the company a "buy" rating in a research note on Monday, June 16th. JPMorgan Chase & Co. reduced their price objective on Penske Automotive Group from $165.00 to $140.00 and set an "underweight" rating for the company in a research note on Thursday, March 27th. Finally, Wall Street Zen raised Penske Automotive Group from a "hold" rating to a "buy" rating in a research note on Wednesday, April 23rd.

Insider Activity at Penske Automotive Group

In other Penske Automotive Group news, CEO Roger S. Penske sold 77,357 shares of the stock in a transaction on Tuesday, June 3rd. The stock was sold at an average price of $161.37, for a total transaction of $12,483,099.09. Following the completion of the transaction, the chief executive officer now directly owns 140,042 shares of the company's stock, valued at approximately $22,598,577.54. This trade represents a 35.58% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Greg C. Smith sold 1,529 shares of the stock in a transaction on Tuesday, June 3rd. The shares were sold at an average price of $161.64, for a total value of $247,147.56. The disclosure for this sale can be found here. Insiders sold a total of 82,044 shares of company stock valued at $13,257,948 over the last three months. 52.40% of the stock is owned by insiders.

Institutional Investors Weigh In On Penske Automotive Group

Institutional investors and hedge funds have recently modified their holdings of the stock. Martingale Asset Management L P lifted its holdings in shares of Penske Automotive Group by 3.7% in the first quarter. Martingale Asset Management L P now owns 1,750 shares of the company's stock valued at $252,000 after purchasing an additional 63 shares in the last quarter. Voya Investment Management LLC raised its holdings in shares of Penske Automotive Group by 2.9% during the first quarter. Voya Investment Management LLC now owns 2,306 shares of the company's stock worth $332,000 after acquiring an additional 65 shares in the last quarter. EP Wealth Advisors LLC raised its holdings in shares of Penske Automotive Group by 2.9% during the first quarter. EP Wealth Advisors LLC now owns 2,478 shares of the company's stock worth $357,000 after acquiring an additional 70 shares in the last quarter. State of Michigan Retirement System raised its holdings in shares of Penske Automotive Group by 2.3% during the first quarter. State of Michigan Retirement System now owns 4,500 shares of the company's stock worth $648,000 after acquiring an additional 100 shares in the last quarter. Finally, Securian Asset Management Inc. raised its holdings in shares of Penske Automotive Group by 7.4% during the first quarter. Securian Asset Management Inc. now owns 1,447 shares of the company's stock worth $208,000 after acquiring an additional 100 shares in the last quarter. Institutional investors and hedge funds own 77.08% of the company's stock.

Penske Automotive Group Price Performance

NYSE:PAG opened at $173.59 on Monday. Penske Automotive Group has a 52 week low of $134.05 and a 52 week high of $180.12. The company has a quick ratio of 0.23, a current ratio of 0.90 and a debt-to-equity ratio of 0.18. The company has a market capitalization of $11.49 billion, a P/E ratio of 12.22, a P/E/G ratio of 1.67 and a beta of 0.92. The stock's fifty day moving average is $163.81 and its two-hundred day moving average is $159.79.

Penske Automotive Group (NYSE:PAG - Get Free Report) last issued its quarterly earnings data on Wednesday, April 30th. The company reported $3.39 earnings per share for the quarter, beating analysts' consensus estimates of $3.27 by $0.12. The business had revenue of $7.60 billion during the quarter, compared to analysts' expectations of $7.68 billion. Penske Automotive Group had a return on equity of 17.80% and a net margin of 3.10%. The company's revenue was up 2.1% on a year-over-year basis. During the same period in the previous year, the firm posted $3.21 earnings per share. Equities analysts expect that Penske Automotive Group will post 13.86 EPS for the current year.

Penske Automotive Group Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 3rd. Stockholders of record on Tuesday, May 27th were given a dividend of $1.26 per share. This represents a $5.04 dividend on an annualized basis and a dividend yield of 2.90%. This is a positive change from Penske Automotive Group's previous quarterly dividend of $1.22. The ex-dividend date was Tuesday, May 27th. Penske Automotive Group's payout ratio is presently 35.49%.

Penske Automotive Group announced that its Board of Directors has authorized a stock buyback plan on Wednesday, May 14th that permits the company to repurchase $250.00 million in shares. This repurchase authorization permits the company to repurchase up to 2.3% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company's leadership believes its shares are undervalued.

About Penske Automotive Group

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.

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