Group 1 Automotive, Inc. (NYSE:GPI) Given Average Rating of “Moderate Buy” by Analysts

Shares of Group 1 Automotive, Inc. (NYSE:GPI) have earned an average rating of “Moderate Buy” from the six brokerages that are currently covering the firm, Marketbeat.com reports. One equities research analyst has rated the stock with a hold recommendation and five have issued a buy recommendation on the company. The average 1 year target price among brokerages that have covered the stock in the last year is $460.33.

A number of equities analysts have weighed in on GPI shares. JPMorgan Chase & Co. lifted their price target on shares of Group 1 Automotive from $420.00 to $495.00 and gave the company an “overweight” rating in a report on Friday, February 14th. Stephens reiterated an “equal weight” rating and issued a $460.00 price target on shares of Group 1 Automotive in a report on Thursday, January 30th. Jefferies Financial Group started coverage on shares of Group 1 Automotive in a report on Friday, December 13th. They issued a “buy” rating and a $500.00 price target on the stock. StockNews.com upgraded shares of Group 1 Automotive from a “sell” rating to a “hold” rating in a report on Friday, November 8th. Finally, Guggenheim lifted their price target on shares of Group 1 Automotive from $420.00 to $442.00 and gave the company a “buy” rating in a report on Thursday, November 21st.

Group 1 Automotive Stock Down 1.9 %

GPI stock opened at $450.94 on Tuesday. The stock has a market capitalization of $5.97 billion, a P/E ratio of 12.27 and a beta of 1.36. The company has a debt-to-equity ratio of 0.92, a quick ratio of 0.24 and a current ratio of 1.03. Group 1 Automotive has a one year low of $258.77 and a one year high of $490.09. The company has a 50 day moving average price of $447.53 and a two-hundred day moving average price of $406.44.

Group 1 Automotive (NYSE:GPI) last released its earnings results on Wednesday, January 29th. The company reported $10.02 EPS for the quarter, topping the consensus estimate of $8.77 by $1.25. Group 1 Automotive had a net margin of 2.47% and a return on equity of 18.09%. As a group, sell-side analysts expect that Group 1 Automotive will post 41 EPS for the current year.

Group 1 Automotive declared that its Board of Directors has approved a share repurchase program on Tuesday, November 12th that permits the company to repurchase $500.00 million in outstanding shares. This repurchase authorization permits the company to buy up to 9.3% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Group 1 Automotive Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 17th. Investors of record on Monday, March 3rd will be issued a dividend of $0.50 per share. This is a positive change from Group 1 Automotive’s previous quarterly dividend of $0.47. The ex-dividend date of this dividend is Monday, March 3rd. This represents a $2.00 annualized dividend and a dividend yield of 0.44%. Group 1 Automotive’s payout ratio is presently 5.44%.

Insiders Place Their Bets

In other news, Director Lincoln Pereira sold 6,000 shares of the business’s stock in a transaction dated Monday, December 16th. The shares were sold at an average price of $426.68, for a total value of $2,560,080.00. Following the completion of the sale, the director now owns 98,467 shares of the company’s stock, valued at approximately $42,013,899.56. The trade was a 5.74 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 1.70% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Group 1 Automotive

Hedge funds and other institutional investors have recently modified their holdings of the stock. Bessemer Group Inc. increased its position in shares of Group 1 Automotive by 119.4% in the 4th quarter. Bessemer Group Inc. now owns 68 shares of the company’s stock worth $29,000 after purchasing an additional 37 shares during the last quarter. R Squared Ltd bought a new stake in shares of Group 1 Automotive in the 4th quarter worth about $30,000. Assetmark Inc. increased its position in shares of Group 1 Automotive by 51.9% in the 3rd quarter. Assetmark Inc. now owns 82 shares of the company’s stock worth $31,000 after purchasing an additional 28 shares during the last quarter. Harbor Capital Advisors Inc. bought a new stake in shares of Group 1 Automotive in the 3rd quarter worth about $36,000. Finally, Avior Wealth Management LLC bought a new stake in shares of Group 1 Automotive in the 3rd quarter worth about $46,000. Institutional investors own 99.92% of the company’s stock.

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.