JPMorgan Chase & Co. Cuts Penske Automotive Group (NYSE:PAG) Price Target to $140.00

Penske Automotive Group (NYSE:PAG) had its target price reduced by JPMorgan Chase & Co. from $165.00 to $140.00 in a research note released on Thursday,Benzinga reports. JPMorgan Chase & Co. currently has an underweight rating on the stock.

PAG has been the topic of several other research reports. Benchmark began coverage on shares of Penske Automotive Group in a research report on Thursday, December 12th. They set a “buy” rating on the stock. StockNews.com raised shares of Penske Automotive Group from a “hold” rating to a “buy” rating in a research note on Monday, February 24th. Finally, Stephens reissued an “equal weight” rating and set a $165.00 price target on shares of Penske Automotive Group in a research note on Tuesday, February 18th. One analyst has rated the stock with a sell rating, one has given a hold rating and four have given a buy rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $166.25.

Penske Automotive Group Price Performance

Shares of Penske Automotive Group stock opened at $144.52 on Thursday. Penske Automotive Group has a 1-year low of $140.21 and a 1-year high of $180.12. The firm’s 50-day moving average price is $162.53 and its two-hundred day moving average price is $159.45. The company has a current ratio of 0.91, a quick ratio of 0.20 and a debt-to-equity ratio of 0.22. The stock has a market capitalization of $9.65 billion, a price-to-earnings ratio of 10.51 and a beta of 1.24.

Penske Automotive Group (NYSE:PAG) last released its quarterly earnings results on Thursday, February 13th. The company reported $3.54 earnings per share for the quarter, beating analysts’ consensus estimates of $3.37 by $0.17. The firm had revenue of $7.72 billion during the quarter, compared to analysts’ expectations of $7.56 billion. Penske Automotive Group had a return on equity of 18.05% and a net margin of 3.02%. On average, equities analysts predict that Penske Automotive Group will post 13.86 earnings per share for the current fiscal year.

Penske Automotive Group Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, March 6th. Shareholders of record on Monday, February 24th were issued a dividend of $1.22 per share. This is a boost from Penske Automotive Group’s previous quarterly dividend of $1.19. This represents a $4.88 annualized dividend and a yield of 3.38%. The ex-dividend date was Monday, February 24th. Penske Automotive Group’s payout ratio is currently 35.49%.

Insider Activity

In related news, EVP Claude H. Denker III sold 8,746 shares of the company’s stock in a transaction dated Friday, February 14th. The stock was sold at an average price of $173.03, for a total value of $1,513,320.38. Following the completion of the sale, the executive vice president now owns 28,917 shares in the company, valued at approximately $5,003,508.51. This represents a 23.22 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, Director John Barr sold 1,529 shares of the firm’s stock in a transaction dated Thursday, March 13th. The stock was sold at an average price of $155.45, for a total value of $237,683.05. The disclosure for this sale can be found here. Insiders own 51.70% of the company’s stock.

Institutional Trading of Penske Automotive Group

A number of hedge funds have recently modified their holdings of PAG. Janus Henderson Group PLC grew its holdings in Penske Automotive Group by 36.9% during the third quarter. Janus Henderson Group PLC now owns 39,569 shares of the company’s stock valued at $6,426,000 after purchasing an additional 10,663 shares during the period. Highland Capital Management LLC acquired a new position in shares of Penske Automotive Group in the 4th quarter valued at $240,000. Cerity Partners LLC increased its position in shares of Penske Automotive Group by 176.1% in the 3rd quarter. Cerity Partners LLC now owns 13,333 shares of the company’s stock valued at $2,166,000 after buying an additional 8,504 shares in the last quarter. Blue Trust Inc. raised its stake in Penske Automotive Group by 28.3% during the 4th quarter. Blue Trust Inc. now owns 1,221 shares of the company’s stock worth $198,000 after buying an additional 269 shares during the period. Finally, Merit Financial Group LLC acquired a new stake in Penske Automotive Group during the 4th quarter worth $287,000. 77.08% of the stock is currently owned by institutional investors and hedge funds.

About Penske Automotive Group

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.