Penske Automotive Group (NYSE:PAG) Board of Directors Declares Share Repurchase Plan

Penske Automotive Group (NYSE:PAG) announced that its board has initiated a stock repurchase program on Wednesday, May 14th, RTT News reports. The company plans to buyback $250.00 million in outstanding shares. This buyback authorization allows the company to repurchase up to 2.3% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s leadership believes its shares are undervalued.

Analyst Upgrades and Downgrades

Several research firms have issued reports on PAG. Citigroup began coverage on Penske Automotive Group in a report on Wednesday, April 23rd. They set a “buy” rating and a $185.00 price objective on the stock. Stephens restated an “equal weight” rating and set a $140.00 price objective on shares of Penske Automotive Group in a report on Monday, May 5th. StockNews.com upgraded Penske Automotive Group from a “hold” rating to a “buy” rating in a research report on Wednesday, April 23rd. Finally, JPMorgan Chase & Co. decreased their target price on Penske Automotive Group from $165.00 to $140.00 and set an “underweight” rating for the company in a research report on Thursday, March 27th. One equities research analyst has rated the stock with a sell rating, one has given a hold rating and five have issued a buy rating to the company. According to MarketBeat, Penske Automotive Group has an average rating of “Moderate Buy” and an average target price of $165.00.

Penske Automotive Group Trading Up 0.3%

NYSE:PAG opened at $166.32 on Friday. Penske Automotive Group has a 12-month low of $134.05 and a 12-month high of $180.12. The firm has a market capitalization of $11.00 billion, a P/E ratio of 12.10 and a beta of 0.90. The company has a debt-to-equity ratio of 0.22, a current ratio of 0.91 and a quick ratio of 0.20. The business has a 50 day simple moving average of $152.47 and a 200 day simple moving average of $158.64.

Penske Automotive Group (NYSE:PAG) last released its quarterly earnings data on Wednesday, April 30th. The company reported $3.39 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.27 by $0.12. Penske Automotive Group had a return on equity of 18.05% and a net margin of 3.02%. The business had revenue of $7.60 billion during the quarter, compared to analyst estimates of $7.68 billion. During the same quarter in the previous year, the firm posted $3.21 EPS. The business’s revenue for the quarter was up 2.1% compared to the same quarter last year. Equities research analysts predict that Penske Automotive Group will post 13.86 EPS for the current year.

Penske Automotive Group Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, June 3rd. Shareholders of record on Tuesday, May 27th will be paid a dividend of $1.26 per share. The ex-dividend date of this dividend is Tuesday, May 27th. This represents a $5.04 annualized dividend and a yield of 3.03%. This is an increase from Penske Automotive Group’s previous quarterly dividend of $1.22. Penske Automotive Group’s payout ratio is presently 34.37%.

Insider Buying and Selling at Penske Automotive Group

In other Penske Automotive Group news, Director John Barr sold 1,529 shares of Penske Automotive Group stock in a transaction on Thursday, March 13th. The stock was sold at an average price of $155.45, for a total transaction of $237,683.05. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. 51.70% of the stock is owned by company insiders.

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.