Group 1 Automotive (NYSE:GPI) Share Price Passes Above 200-Day Moving Average – Time to Sell?

Group 1 Automotive, Inc. (NYSE:GPI)’s share price passed above its 200-day moving average during trading on Thursday . The stock has a 200-day moving average of $365.77 and traded as high as $427.85. Group 1 Automotive shares last traded at $416.25, with a volume of 113,590 shares.

Analysts Set New Price Targets

GPI has been the subject of a number of research analyst reports. Guggenheim upped 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. Stephens assumed coverage on shares of Group 1 Automotive in a research note on Thursday, September 12th. They set an “equal weight” rating and a $394.00 target price for the company. Morgan Stanley upgraded shares of Group 1 Automotive from an “equal weight” rating to an “overweight” rating and lifted their price target for the stock from $285.00 to $430.00 in a research report on Wednesday, September 25th. StockNews.com upgraded Group 1 Automotive from a “sell” rating to a “hold” rating in a research report on Friday, November 8th. Finally, Jefferies Financial Group assumed coverage on Group 1 Automotive in a report on Friday, December 13th. They issued a “buy” rating and a $500.00 target price on the stock. Two research analysts have rated the stock with a hold rating and five have issued a buy rating to the stock. According to data from MarketBeat.com, Group 1 Automotive currently has an average rating of “Moderate Buy” and a consensus target price of $437.67.

Group 1 Automotive Stock Down 1.2 %

The company has a debt-to-equity ratio of 0.91, a quick ratio of 0.24 and a current ratio of 1.00. The stock has a market cap of $5.54 billion, a price-to-earnings ratio of 11.09 and a beta of 1.35. The business’s 50 day moving average is $410.79 and its 200 day moving average is $365.77.

Group 1 Automotive (NYSE:GPI) last released its earnings results on Wednesday, October 30th. The company reported $9.90 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $9.87 by $0.03. The company had revenue of $5.22 billion during the quarter, compared to analyst estimates of $5.06 billion. Group 1 Automotive had a return on equity of 18.49% and a net margin of 2.68%. The company’s revenue for the quarter was up 11.0% on a year-over-year basis. During the same quarter in the prior year, the company earned $12.07 earnings per share. Equities analysts expect that Group 1 Automotive, Inc. will post 38.37 earnings per share for the current year.

Group 1 Automotive Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, December 16th. Shareholders of record on Monday, December 2nd were paid a dividend of $0.47 per share. The ex-dividend date of this dividend was Monday, December 2nd. This represents a $1.88 annualized dividend and a yield of 0.45%. Group 1 Automotive’s dividend payout ratio (DPR) is presently 5.01%.

Group 1 Automotive announced that its board has approved a stock repurchase program on Tuesday, November 12th that authorizes the company to buyback $500.00 million in shares. This buyback authorization authorizes the company to repurchase up to 9.3% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s board believes its stock is undervalued.

Insider Activity at Group 1 Automotive

In related news, Director Lincoln Pereira sold 6,000 shares of Group 1 Automotive stock in a transaction on Monday, December 16th. The stock was sold at an average price of $426.68, for a total transaction 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. This trade represents a 5.74 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Edward Mckissic sold 79 shares of the company’s stock in a transaction dated Tuesday, November 5th. The stock was sold at an average price of $374.01, for a total value of $29,546.79. Following the completion of the transaction, the vice president now directly owns 6,259 shares in the company, valued at approximately $2,340,928.59. The trade was a 1.25 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.70% of the stock is currently owned by insiders.

Institutional Trading of Group 1 Automotive

A number of institutional investors have recently added to or reduced their stakes in the business. Assetmark Inc. boosted its stake in shares of Group 1 Automotive by 51.9% during the 3rd quarter. Assetmark Inc. now owns 82 shares of the company’s stock worth $31,000 after acquiring an additional 28 shares in the last quarter. Arizona State Retirement System boosted its position in Group 1 Automotive by 0.9% during the second quarter. Arizona State Retirement System now owns 3,832 shares of the company’s stock worth $1,139,000 after purchasing an additional 33 shares during the period. EverSource Wealth Advisors LLC grew its holdings in Group 1 Automotive by 17.1% during the second quarter. EverSource Wealth Advisors LLC now owns 267 shares of the company’s stock valued at $79,000 after purchasing an additional 39 shares during the last quarter. Nomura Asset Management Co. Ltd. raised its position in shares of Group 1 Automotive by 20.0% in the third quarter. Nomura Asset Management Co. Ltd. now owns 264 shares of the company’s stock valued at $101,000 after purchasing an additional 44 shares during the period. Finally, US Bancorp DE lifted its stake in shares of Group 1 Automotive by 2.9% in the third quarter. US Bancorp DE now owns 1,996 shares of the company’s stock worth $765,000 after buying an additional 57 shares during the last quarter. 99.92% of the stock is currently owned by institutional investors and hedge funds.

Group 1 Automotive Company Profile

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.