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

Group 1 Automotive, Inc. (NYSE:GPI) crossed above its two hundred day moving average during trading on Thursday . The stock has a two hundred 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 trading hands.

Analysts Set New Price Targets

Several brokerages recently weighed in on GPI. Morgan Stanley raised Group 1 Automotive from an “equal weight” rating to an “overweight” rating and upped their price target for the stock from $285.00 to $430.00 in a research note on Wednesday, September 25th. JPMorgan Chase & Co. increased their price target on shares of Group 1 Automotive from $420.00 to $425.00 and gave the stock an “overweight” rating in a research note on Tuesday, November 5th. Stephens initiated coverage on shares of Group 1 Automotive in a research report on Thursday, September 12th. They set an “equal weight” rating and a $394.00 price target for the company. Guggenheim upped their price objective on shares of Group 1 Automotive from $420.00 to $442.00 and gave the stock a “buy” rating in a report on Thursday, November 21st. Finally, StockNews.com raised Group 1 Automotive from a “sell” rating to a “hold” rating in a research report on Friday, November 8th. Two equities research analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. According to data from MarketBeat, Group 1 Automotive has an average rating of “Moderate Buy” and an average price target of $437.67.

Group 1 Automotive Stock Performance

The business’s fifty day moving average is $412.23 and its two-hundred day moving average is $366.52. The company has a current ratio of 1.00, a quick ratio of 0.24 and a debt-to-equity ratio of 0.91. The company has a market capitalization of $5.57 billion, a PE ratio of 11.15 and a beta of 1.36.

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

Group 1 Automotive Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, December 16th. Stockholders of record on Monday, December 2nd were issued a dividend of $0.47 per share. This represents a $1.88 dividend on an annualized basis and a dividend yield of 0.45%. The ex-dividend date was Monday, December 2nd. Group 1 Automotive’s payout ratio is presently 5.01%.

Group 1 Automotive declared that its Board of Directors has authorized a share buyback plan on Tuesday, November 12th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to buy up to 9.3% of its stock through open market purchases. Stock buyback plans are usually an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other Group 1 Automotive news, VP Edward Mckissic sold 79 shares of the firm’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 transaction, the vice president now directly owns 6,259 shares of the company’s stock, valued at approximately $2,340,928.59. This trade represents a 1.25 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Lincoln Pereira sold 6,000 shares of the stock in a transaction that occurred 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 transaction, the director now owns 98,467 shares in the company, valued at $42,013,899.56. This trade represents a 5.74 % decrease in their position. The disclosure for this sale can be found here. 1.70% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Group 1 Automotive

Institutional investors have recently bought and sold shares of the stock. Franklin Resources Inc. raised its stake in shares of Group 1 Automotive by 2.3% in the third quarter. Franklin Resources Inc. now owns 156,627 shares of the company’s stock worth $55,701,000 after buying an additional 3,507 shares during the period. B. Metzler seel. Sohn & Co. Holding AG bought a new stake in Group 1 Automotive during the 3rd quarter worth approximately $3,286,000. The Manufacturers Life Insurance Company lifted its holdings in Group 1 Automotive by 22.0% during the second quarter. The Manufacturers Life Insurance Company now owns 639,142 shares of the company’s stock valued at $190,004,000 after purchasing an additional 115,143 shares in the last quarter. Raymond James & Associates boosted its position in shares of Group 1 Automotive by 14.7% in the third quarter. Raymond James & Associates now owns 46,483 shares of the company’s stock worth $17,805,000 after purchasing an additional 5,942 shares during the period. Finally, Pathstone Holdings LLC boosted its position in shares of Group 1 Automotive by 25.8% in the third quarter. Pathstone Holdings LLC now owns 10,180 shares of the company’s stock worth $3,899,000 after purchasing an additional 2,089 shares during the period. 99.92% of the stock is owned by institutional investors.

About Group 1 Automotive

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.