Group 1 Automotive (NYSE:GPI) Cut to “Sell” at ValuEngine

ValuEngine lowered shares of Group 1 Automotive (NYSE:GPI) from a hold rating to a sell rating in a report published on Friday morning, ValuEngine reports.

A number of other research analysts have also recently commented on GPI. Morgan Stanley raised their price target on shares of Group 1 Automotive from $95.00 to $104.00 and gave the stock an overweight rating in a research note on Friday, August 2nd. Buckingham Research cut shares of Group 1 Automotive from a buy rating to a neutral rating and raised their price target for the stock from $72.00 to $83.00 in a research note on Friday, April 26th. One investment analyst has rated the stock with a sell rating, one has assigned a hold rating and five have assigned a buy rating to the stock. Group 1 Automotive presently has an average rating of Buy and an average target price of $83.80.

Shares of GPI opened at $79.01 on Friday. The stock has a market cap of $1.40 billion, a price-to-earnings ratio of 8.87, a P/E/G ratio of 1.24 and a beta of 1.76. The company has a quick ratio of 0.24, a current ratio of 1.01 and a debt-to-equity ratio of 1.28. Group 1 Automotive has a 12 month low of $48.69 and a 12 month high of $89.85. The company has a 50-day moving average price of $82.26 and a two-hundred day moving average price of $72.88.

Group 1 Automotive (NYSE:GPI) last announced its quarterly earnings results on Thursday, July 25th. The company reported $2.83 EPS for the quarter, topping analysts’ consensus estimates of $2.74 by $0.09. The firm had revenue of $3.01 billion during the quarter, compared to analysts’ expectations of $2.92 billion. Group 1 Automotive had a net margin of 1.31% and a return on equity of 15.90%. The company’s revenue for the quarter was up 2.1% compared to the same quarter last year. During the same quarter last year, the company earned $2.45 earnings per share. Equities research analysts expect that Group 1 Automotive will post 10.28 EPS for the current fiscal year.

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 17th. Shareholders of record on Tuesday, September 3rd will be paid a dividend of $0.28 per share. This is a boost from Group 1 Automotive’s previous quarterly dividend of $0.26. The ex-dividend date of this dividend is Friday, August 30th. This represents a $1.12 dividend on an annualized basis and a yield of 1.42%. Group 1 Automotive’s dividend payout ratio (DPR) is currently 11.67%.

In other news, VP Peter C. Delongchamps sold 10,200 shares of Group 1 Automotive stock in a transaction that occurred on Friday, July 26th. The shares were sold at an average price of $87.00, for a total value of $887,400.00. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Daryl Kenningham sold 9,000 shares of Group 1 Automotive stock in a transaction that occurred on Friday, July 26th. The shares were sold at an average price of $87.05, for a total transaction of $783,450.00. The disclosure for this sale can be found here. Insiders sold 24,200 shares of company stock valued at $2,063,100 in the last quarter. 6.00% of the stock is currently owned by corporate insiders.

Several large investors have recently bought and sold shares of GPI. UBS Group AG grew its holdings in shares of Group 1 Automotive by 0.7% in the 2nd quarter. UBS Group AG now owns 410,327 shares of the company’s stock valued at $33,602,000 after buying an additional 2,701 shares during the period. United Services Automobile Association grew its holdings in shares of Group 1 Automotive by 5.7% in the 2nd quarter. United Services Automobile Association now owns 67,810 shares of the company’s stock valued at $5,553,000 after buying an additional 3,637 shares during the period. Nuveen Asset Management LLC acquired a new position in shares of Group 1 Automotive in the 2nd quarter valued at $5,485,000. Victory Capital Management Inc. grew its holdings in shares of Group 1 Automotive by 899.0% in the 2nd quarter. Victory Capital Management Inc. now owns 66,822 shares of the company’s stock valued at $5,472,000 after buying an additional 60,133 shares during the period. Finally, UBS Asset Management Americas Inc. grew its holdings in shares of Group 1 Automotive by 17.7% in the 2nd quarter. UBS Asset Management Americas Inc. now owns 20,932 shares of the company’s stock valued at $1,714,000 after buying an additional 3,141 shares during the period. Institutional investors own 99.96% of the company’s stock.

About Group 1 Automotive

Group 1 Automotive, Inc, through its subsidiaries, operates in the automotive retail industry. The company sells new and used cars, light trucks, and vehicle parts, as well as service insurance contracts; arranges related vehicle financing; and offers automotive maintenance and repair services. It has operations primarily in the metropolitan areas in Alabama, California, Florida, Georgia, Kansas, Louisiana, Maryland, Massachusetts, Mississippi, New Hampshire, New Jersey, New Mexico, Oklahoma, South Carolina, and Texas in the United States; 32 towns in the United Kingdom; and metropolitan markets in the states of Sao Paulo, Parana, Mato Grosso do Sul, and Santa Catarina, Brazil.

Further Reading: The Discount Rate – What You Need to Know

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Analyst Recommendations for Group 1 Automotive (NYSE:GPI)

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