Stephens Reiterates Equal Weight Rating for Penske Automotive Group (NYSE:PAG)

Penske Automotive Group (NYSE:PAG - Get Free Report)'s stock had its "equal weight" rating reaffirmed by equities research analysts at Stephens in a research report issued on Wednesday,Benzinga reports. They presently have a $140.00 target price on the stock. Stephens' price target indicates a potential downside of 15.42% from the stock's current price.

A number of other equities research analysts also recently weighed in on PAG. JPMorgan Chase & Co. cut their target price on Penske Automotive Group from $165.00 to $140.00 and set an "underweight" rating for the company in a research report on Thursday, March 27th. Wall Street Zen upgraded Penske Automotive Group from a "hold" rating to a "buy" rating in a research report on Wednesday, April 23rd. Finally, Citigroup upped their target price 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. One equities research analyst has rated the stock with a sell rating, one has issued a hold rating and five have issued a buy rating to the company's stock. Based on data from MarketBeat, Penske Automotive Group presently has an average rating of "Moderate Buy" and an average price target of $167.00.

Penske Automotive Group Stock Performance

Shares of NYSE PAG traded down $1.57 during midday trading on Wednesday, hitting $165.53. 312,076 shares of the company's stock were exchanged, compared to its average volume of 201,485. The company has a debt-to-equity ratio of 0.22, a current ratio of 0.91 and a quick ratio of 0.20. The stock's 50 day moving average price is $159.24 and its 200-day moving average price is $159.29. The firm has a market cap of $10.95 billion, a P/E ratio of 12.04 and a beta of 0.91. Penske Automotive Group has a twelve month low of $134.05 and a twelve month high of $180.12.

Penske Automotive Group (NYSE:PAG - Get Free Report) last released its earnings results on Wednesday, April 30th. The company reported $3.39 earnings per share for the quarter, topping analysts' consensus estimates of $3.27 by $0.12. The firm had revenue of $7.60 billion during the quarter, compared to the consensus estimate of $7.68 billion. Penske Automotive Group had a return on equity of 18.05% and a net margin of 3.02%. The firm's revenue for the quarter was up 2.1% compared to the same quarter last year. During the same period in the prior year, the firm posted $3.21 earnings per share. Equities research analysts anticipate that Penske Automotive Group will post 13.86 EPS for the current year.

Penske Automotive Group announced that its Board of Directors has approved a share repurchase plan on Wednesday, May 14th that authorizes the company to buyback $250.00 million in shares. This buyback authorization authorizes the company to reacquire up to 2.3% of its stock through open market purchases. Stock buyback plans are often a sign that the company's board believes its shares are undervalued.

Insider Activity

In other news, Director Greg C. Smith sold 1,529 shares of the company's 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 transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, EVP Shane M. Spradlin sold 3,158 shares of the company's stock in a transaction on Monday, June 9th. The stock was sold at an average price of $167.10, for a total transaction of $527,701.80. Following the completion of the transaction, the executive vice president now directly owns 36,152 shares in the company, valued at $6,040,999.20. This trade represents a 8.03% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 82,044 shares of company stock worth $13,257,948. Insiders own 51.70% of the company's stock.

Hedge Funds Weigh In On Penske Automotive Group

Hedge funds have recently bought and sold shares of the business. Whittier Trust Co. of Nevada Inc. acquired a new position in Penske Automotive Group during the fourth quarter worth $40,000. Acadian Asset Management LLC acquired a new position in Penske Automotive Group during the first quarter worth $42,000. UMB Bank n.a. increased its position in Penske Automotive Group by 421.5% during the first quarter. UMB Bank n.a. now owns 339 shares of the company's stock worth $49,000 after buying an additional 274 shares during the last quarter. GAMMA Investing LLC increased its position in Penske Automotive Group by 51.9% during the first quarter. GAMMA Investing LLC now owns 398 shares of the company's stock worth $57,000 after buying an additional 136 shares during the last quarter. Finally, Brooklyn Investment Group increased its position in Penske Automotive Group by 353.0% during the first quarter. Brooklyn Investment Group now owns 453 shares of the company's stock worth $65,000 after buying an additional 353 shares during the last quarter. 77.08% of the stock is owned by institutional investors and hedge funds.

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.