Group 1 Automotive (NYSE:GPI) Trading Down 6.6% – Time to Sell?

Shares of Group 1 Automotive, Inc. (NYSE:GPI) dropped 6.6% on Thursday . The stock traded as low as $408.68 and last traded at $401.62. Approximately 104,758 shares were traded during trading, a decline of 19% from the average daily volume of 129,064 shares. The stock had previously closed at $429.94.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on the stock. Stephens reissued an “equal weight” rating and issued a $460.00 target price on shares of Group 1 Automotive in a research report on Thursday, January 30th. Guggenheim increased their target price on shares of Group 1 Automotive from $420.00 to $442.00 and gave the stock a “buy” rating in a research report on Thursday, November 21st. Jefferies Financial Group assumed coverage on Group 1 Automotive in a research note on Friday, December 13th. They issued a “buy” rating and a $500.00 price target for the company. Finally, JPMorgan Chase & Co. lifted their price objective on Group 1 Automotive from $420.00 to $495.00 and gave the company an “overweight” rating in a report on Friday, February 14th. Two research analysts have rated the stock with a hold rating and five have issued a buy rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $460.33.

Group 1 Automotive Price Performance

The business’s 50 day moving average is $449.57 and its 200-day moving average is $410.55. The company has a quick ratio of 0.24, a current ratio of 1.03 and a debt-to-equity ratio of 0.92. The firm has a market capitalization of $5.13 billion, a P/E ratio of 10.54 and a beta of 1.33.

Group 1 Automotive (NYSE:GPI) last posted its quarterly earnings results on Wednesday, January 29th. The company reported $10.02 EPS for the quarter, topping analysts’ consensus estimates of $8.77 by $1.25. Group 1 Automotive had a return on equity of 18.09% and a net margin of 2.47%. As a group, sell-side analysts predict that Group 1 Automotive, Inc. will post 41 EPS for the current fiscal year.

Group 1 Automotive Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, March 17th. Stockholders of record on Monday, March 3rd will be paid a $0.50 dividend. This is an increase from Group 1 Automotive’s previous quarterly dividend of $0.47. This represents a $2.00 dividend on an annualized basis and a dividend yield of 0.52%. The ex-dividend date is Monday, March 3rd. Group 1 Automotive’s dividend payout ratio (DPR) is presently 5.44%.

Insider Activity at Group 1 Automotive

In related news, Director Lincoln Pereira sold 6,000 shares of the firm’s 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 sale, the director now owns 98,467 shares of the company’s stock, valued at $42,013,899.56. This trade represents a 5.74 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. 1.70% of the stock is currently owned by insiders.

Institutional Trading of Group 1 Automotive

A number of hedge funds have recently made changes to their positions in the company. Assetmark Inc. raised its holdings in Group 1 Automotive by 51.9% in the 3rd quarter. Assetmark Inc. now owns 82 shares of the company’s stock valued at $31,000 after buying an additional 28 shares during the last quarter. Atria Investments Inc raised its stake in shares of Group 1 Automotive by 2.6% during the third quarter. Atria Investments Inc now owns 2,225 shares of the company’s stock valued at $852,000 after acquiring an additional 57 shares during the last quarter. Victory Capital Management Inc. lifted its holdings in shares of Group 1 Automotive by 8.0% during the third quarter. Victory Capital Management Inc. now owns 35,298 shares of the company’s stock worth $13,521,000 after purchasing an additional 2,616 shares during the period. Oppenheimer Asset Management Inc. grew its stake in shares of Group 1 Automotive by 32.6% in the third quarter. Oppenheimer Asset Management Inc. now owns 3,225 shares of the company’s stock worth $1,235,000 after purchasing an additional 792 shares during the last quarter. Finally, KBC Group NV increased its holdings in Group 1 Automotive by 20.9% in the third quarter. KBC Group NV now owns 405 shares of the company’s stock valued at $155,000 after purchasing an additional 70 shares during the period. 99.92% of the stock is owned by institutional investors and hedge funds.

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.