Seaport Res Ptn Issues Pessimistic Forecast for PAG Earnings

Key Points

• Seaport Res Ptn has significantly lowered its Q3 2025 earnings estimate for Penske Automotive Group to $3.40 per share, down from $3.59, with full-year forecasts set at $13.86 per share.
• Penske Automotive Group recently increased its quarterly dividend from $1.32 to $1.38 per share, reflecting a commitment to returning value to shareholders.
• Despite the earnings downgrade, several analysts have maintained a positive outlook on Penske, with multiple target price increases, and a consensus rating of Moderate Buy.

Penske Automotive Group, Inc. (NYSE:PAG - Free Report) - Seaport Res Ptn lowered their Q3 2025 earnings estimates for Penske Automotive Group in a report issued on Tuesday, October 14th. Seaport Res Ptn analyst G. Chin now forecasts that the company will earn $3.40 per share for the quarter, down from their previous estimate of $3.59. The consensus estimate for Penske Automotive Group's current full-year earnings is $13.86 per share. Seaport Res Ptn also issued estimates for Penske Automotive Group's FY2025 earnings at $13.90 EPS and FY2026 earnings at $13.60 EPS.

PAG has been the topic of several other research reports. Weiss Ratings reaffirmed a "buy (b+)" rating on shares of Penske Automotive Group in a report on Wednesday, October 8th. JPMorgan Chase & Co. raised their target price on shares of Penske Automotive Group from $175.00 to $180.00 and gave the company a "neutral" rating in a report on Tuesday. Citigroup raised their target price on shares of Penske Automotive Group from $200.00 to $206.00 and gave the company a "buy" rating in a report on Thursday, September 25th. Benchmark raised their target price on shares of Penske Automotive Group from $185.00 to $190.00 and gave the company a "buy" rating in a report on Wednesday, September 17th. Finally, Morgan Stanley raised their target price on shares of Penske Automotive Group from $180.00 to $190.00 and gave the company an "overweight" rating in a report on Thursday, August 14th. Five equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat, Penske Automotive Group has a consensus rating of "Moderate Buy" and an average target price of $185.17.

Penske Automotive Group Stock Down 1.6%

Shares of PAG opened at $171.09 on Thursday. The stock has a market capitalization of $11.30 billion, a PE ratio of 11.91 and a beta of 0.88. Penske Automotive Group has a 1 year low of $134.05 and a 1 year high of $189.51. 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's 50-day simple moving average is $178.70 and its 200-day simple moving average is $169.13.

Penske Automotive Group (NYSE:PAG - Get Free Report) last issued its quarterly earnings results on Wednesday, July 30th. The company reported $3.78 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.56 by $0.22. The business had revenue of $7.66 billion for the quarter, compared to analysts' expectations of $7.98 billion. Penske Automotive Group had a net margin of 3.13% and a return on equity of 17.43%. The business's quarterly revenue was down .4% on a year-over-year basis. During the same quarter in the prior year, the company earned $3.61 earnings per share.

Penske Automotive Group Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 2nd. Shareholders of record on Friday, November 14th will be issued a dividend of $1.38 per share. The ex-dividend date of this dividend is Friday, November 14th. This is an increase from Penske Automotive Group's previous quarterly dividend of $1.32. This represents a $5.52 dividend on an annualized basis and a yield of 3.2%. Penske Automotive Group's dividend payout ratio is 36.74%.

Insider Buying and Selling

In other Penske Automotive Group news, Director Lisa Ann Davis sold 1,604 shares of the firm's stock in a transaction that occurred on Monday, August 18th. The shares were sold at an average price of $180.74, for a total transaction of $289,906.96. Following the sale, the director owned 1,529 shares of the company's stock, valued at approximately $276,351.46. This trade represents a 51.20% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Michelle Hulgrave sold 1,100 shares of the firm's stock in a transaction that occurred on Tuesday, August 19th. The stock was sold at an average price of $182.55, for a total transaction of $200,805.00. Following the sale, the chief financial officer directly owned 18,922 shares in the company, valued at approximately $3,454,211.10. The trade was a 5.49% decrease in their position. The disclosure for this sale can be found here. 51.70% of the stock is currently owned by company insiders.

Institutional Trading of Penske Automotive Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Sound Income Strategies LLC acquired a new stake in Penske Automotive Group during the second quarter worth approximately $34,000. Acadian Asset Management LLC purchased a new position in shares of Penske Automotive Group during the first quarter worth approximately $42,000. GAMMA Investing LLC grew its position in shares of 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 acquiring an additional 136 shares during the last quarter. UMB Bank n.a. grew its position in shares of Penske Automotive Group by 18.6% during the second quarter. UMB Bank n.a. now owns 402 shares of the company's stock worth $69,000 after acquiring an additional 63 shares during the last quarter. Finally, Brooklyn Investment Group grew its position in shares of 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 acquiring an additional 353 shares during the last quarter. Institutional investors and hedge funds own 77.08% of the company's stock.

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.

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