Penske Automotive Group (NYSE:PAG) Reaches New 12-Month High – Here’s Why

Penske Automotive Group, Inc. (NYSE:PAG)’s share price reached a new 52-week high during mid-day trading on Wednesday . The company traded as high as $199.14 and last traded at $199.4350, with a volume of 31861 shares trading hands. The stock had previously closed at $193.55.

Analyst Ratings Changes

Several analysts have recently issued reports on the stock. JPMorgan Chase & Co. upped their target price on shares of Penske Automotive Group from $165.00 to $170.00 and gave the company a “neutral” rating in a research report on Thursday, May 7th. Bank of America upped their price objective on Penske Automotive Group from $200.00 to $238.00 and gave the company a “buy” rating in a research report on Thursday, July 9th. Barclays raised their price objective on Penske Automotive Group from $190.00 to $220.00 and gave the company an “overweight” rating in a research note on Wednesday. Stephens lifted their target price on Penske Automotive Group from $155.00 to $160.00 and gave the stock an “equal weight” rating in a report on Monday, May 4th. Finally, Citigroup boosted their target price on Penske Automotive Group from $193.00 to $199.00 and gave the company a “buy” rating in a research report on Wednesday, May 6th. Seven research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $194.62.

Penske Automotive Group Stock Performance

The firm has a market capitalization of $13.46 billion, a P/E ratio of 15.28, a P/E/G ratio of 2.59 and a beta of 0.87. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.96 and a quick ratio of 0.22. The firm has a 50-day moving average price of $176.22 and a two-hundred day moving average price of $164.98.

Penske Automotive Group (NYSE:PAG) last posted its quarterly earnings results on Wednesday, April 29th. The company reported $3.05 EPS for the quarter, topping analysts’ consensus estimates of $2.91 by $0.14. The firm had revenue of $7.86 billion for the quarter, compared to analysts’ expectations of $7.71 billion. Penske Automotive Group had a net margin of 2.85% and a return on equity of 15.13%. The business’s revenue for the quarter was down 1.1% on a year-over-year basis. During the same period in the prior year, the business posted $3.66 earnings per share. On average, analysts forecast that Penske Automotive Group, Inc. will post 13.44 EPS for the current fiscal year.

Penske Automotive Group Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, June 3rd. Shareholders of record on Tuesday, May 26th were given a $1.42 dividend. This is a positive change from Penske Automotive Group’s previous quarterly dividend of $1.40. The ex-dividend date of this dividend was Tuesday, May 26th. This represents a $5.68 annualized dividend and a yield of 2.8%. Penske Automotive Group’s dividend payout ratio is presently 42.39%.

Insider Transactions at Penske Automotive Group

In other news, CFO Michelle Hulgrave sold 1,500 shares of Penske Automotive Group stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $171.80, for a total transaction of $257,700.00. Following the completion of the sale, the chief financial officer owned 17,596 shares of the company’s stock, valued at approximately $3,022,992.80. The trade was a 7.86% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Greg C. Smith sold 1,488 shares of the business’s stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $160.02, for a total value of $238,109.76. The SEC filing for this sale provides additional information. 52.90% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of PAG. Navalign LLC bought a new stake in Penske Automotive Group during the 4th quarter valued at $26,000. International Assets Investment Management LLC bought a new position in shares of Penske Automotive Group during the 4th quarter worth $30,000. Rothschild Investment LLC grew its position in shares of Penske Automotive Group by 37.5% during the 4th quarter. Rothschild Investment LLC now owns 242 shares of the company’s stock worth $38,000 after buying an additional 66 shares in the last quarter. Acadian Asset Management LLC purchased a new position in shares of Penske Automotive Group during the first quarter valued at $42,000. Finally, Versant Capital Management Inc increased its stake in shares of Penske Automotive Group by 179.0% during the second quarter. Versant Capital Management Inc now owns 279 shares of the company’s stock valued at $50,000 after buying an additional 179 shares during the period. 77.08% of the stock is currently owned by hedge funds and other institutional investors.

Penske Automotive Group Company Profile

Penske Automotive Group, Inc (NYSE: PAG), headquartered in Bloomfield Township, Michigan, is an international transportation services company primarily focused on automotive and commercial truck dealerships. The company retails new and pre-owned vehicles across a broad spectrum of brands, while offering parts, maintenance, collision repair and reconditioning services. In addition, Penske provides financing and insurance products through its integrated finance and insurance operations, supporting both retail customers and commercial clients.

Formed in 1990 as United Auto Group and publicly traded since 1999, Penske Automotive Group has grown through organic expansion and strategic acquisitions to establish a network of dealerships and service centers across the United States and Europe.