Penske Automotive Group (NYSE:PAG) Price Target Raised to $205.00 at Bank of America

Penske Automotive Group (NYSE:PAG) had its target price upped by Bank of America from $190.00 to $205.00 in a research note issued to investors on Monday morning,Benzinga reports. The brokerage currently has a buy rating on the stock.

A number of other equities analysts have also weighed in on PAG. Stephens restated an “equal weight” rating and issued a $140.00 price objective on shares of Penske Automotive Group in a report on Wednesday, June 11th. Citigroup lifted their target price on Penske Automotive Group from $185.00 to $195.00 and gave the stock a “buy” rating in a report on Monday, May 19th. JPMorgan Chase & Co. decreased their price target on Penske Automotive Group from $165.00 to $140.00 and set an “underweight” rating for the company in a research note on Thursday, March 27th. Finally, Wall Street Zen raised Penske Automotive Group from a “hold” rating to a “buy” rating in a report on Wednesday, April 23rd. One analyst has rated the stock with a sell rating, one has assigned a hold rating and five have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $172.00.

Penske Automotive Group Price Performance

PAG opened at $170.19 on Monday. Penske Automotive Group has a 1 year low of $134.05 and a 1 year high of $180.12. The stock has a 50-day moving average price of $160.55 and a 200-day moving average price of $159.41. The firm has a market cap of $11.26 billion, a PE ratio of 11.98, a P/E/G ratio of 1.63 and a beta of 0.91. The company has a debt-to-equity ratio of 0.18, a current ratio of 0.90 and a quick ratio of 0.23.

Penske Automotive Group (NYSE:PAG) last issued its earnings results on Wednesday, April 30th. The company reported $3.39 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.27 by $0.12. The business had revenue of $7.60 billion during the quarter, compared to analysts’ expectations of $7.68 billion. Penske Automotive Group had a net margin of 3.10% and a return on equity of 17.80%. The business’s revenue for the quarter was up 2.1% compared to the same quarter last year. During the same period in the previous year, the company earned $3.21 earnings per share. Sell-side analysts predict that Penske Automotive Group will post 13.86 earnings per share for the current fiscal year.

Penske Automotive Group Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, June 3rd. Investors of record on Tuesday, May 27th were issued a $1.26 dividend. The ex-dividend date was Tuesday, May 27th. This represents a $5.04 annualized dividend and a yield of 2.96%. This is a boost from Penske Automotive Group’s previous quarterly dividend of $1.22. Penske Automotive Group’s dividend payout ratio (DPR) is currently 35.49%.

Penske Automotive Group announced that its Board of Directors has authorized 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 purchase up to 2.3% of its stock through open market purchases. Stock buyback plans are often an indication that the company’s management believes its shares are undervalued.

Insider Activity

In other Penske Automotive Group news, Director Greg C. Smith sold 1,529 shares of the company’s stock in a transaction that occurred on Tuesday, June 3rd. The shares were sold at an average price of $161.64, for a total transaction of $247,147.56. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Shane M. Spradlin sold 3,158 shares of the stock in a transaction that occurred 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 owns 36,152 shares in the company, valued at $6,040,999.20. The trade was a 8.03% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 82,044 shares of company stock valued at $13,257,948 in the last ninety days. 51.70% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Penske Automotive Group

A number of hedge funds have recently modified their holdings of PAG. Norges Bank bought a new position in Penske Automotive Group in the 4th quarter worth $22,049,000. Moran Wealth Management LLC purchased a new stake in Penske Automotive Group in the fourth quarter worth about $14,157,000. Goldman Sachs Group Inc. raised its stake in shares of Penske Automotive Group by 28.4% in the first quarter. Goldman Sachs Group Inc. now owns 380,267 shares of the company’s stock worth $54,751,000 after buying an additional 84,045 shares during the period. Nuveen LLC bought a new position in shares of Penske Automotive Group in the first quarter worth about $10,004,000. Finally, GAMMA Investing LLC lifted its position in shares of Penske Automotive Group by 21,771.8% during the 1st quarter. GAMMA Investing LLC now owns 57,304 shares of the company’s stock valued at $8,251,000 after buying an additional 57,042 shares in the last quarter. Institutional investors 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.