Group 1 Automotive, Inc. (NYSE:GPI) Short Interest Update

Group 1 Automotive, Inc. (NYSE:GPI) was the recipient of a significant decrease in short interest during the month of February. As of February 15th, there was short interest totalling 1,200,000 shares, a decrease of 12.4% from the January 31st total of 1,370,000 shares. Based on an average trading volume of 133,800 shares, the short-interest ratio is currently 9.0 days. Approximately 9.4% of the company’s shares are short sold.

Group 1 Automotive Stock Down 1.7 %

NYSE GPI traded down $7.65 during trading hours on Friday, hitting $435.50. 81,007 shares of the company were exchanged, compared to its average volume of 127,622. 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 cap of $5.77 billion, a price-to-earnings ratio of 11.90 and a beta of 1.36. The company has a 50 day moving average of $449.16 and a two-hundred day moving average of $408.28. Group 1 Automotive has a 52-week low of $260.00 and a 52-week high of $490.09.

Group 1 Automotive (NYSE:GPI) last released its earnings results on Wednesday, January 29th. The company reported $10.02 earnings per share for the quarter, topping analysts’ consensus estimates of $8.77 by $1.25. Group 1 Automotive had a net margin of 2.47% and a return on equity of 18.09%. Equities research analysts anticipate that Group 1 Automotive will post 41 earnings per share for the current year.

Group 1 Automotive Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 17th. Investors of record on Monday, March 3rd will be issued a $0.50 dividend. This represents a $2.00 annualized dividend and a yield of 0.46%. The ex-dividend date is Monday, March 3rd. This is a positive change from Group 1 Automotive’s previous quarterly dividend of $0.47. Group 1 Automotive’s dividend payout ratio is 5.44%.

Group 1 Automotive announced that its Board of Directors has initiated a share buyback program on Tuesday, November 12th that allows the company to buyback $500.00 million in shares. This buyback authorization allows the company to purchase up to 9.3% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity at Group 1 Automotive

In other news, Director Lincoln Pereira sold 6,000 shares of the business’s stock in a transaction that occurred on Monday, December 16th. The shares were sold at an average price of $426.68, for a total value of $2,560,080.00. Following the sale, the director now directly owns 98,467 shares of the company’s stock, valued at approximately $42,013,899.56. The trade was a 5.74 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 1.70% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the business. FMR LLC raised its position in shares of Group 1 Automotive by 133.0% during the 3rd quarter. FMR LLC now owns 407,930 shares of the company’s stock worth $156,253,000 after acquiring an additional 232,846 shares in the last quarter. Norges Bank purchased a new position in Group 1 Automotive in the fourth quarter valued at approximately $65,721,000. Wealthfront Advisers LLC acquired a new stake in Group 1 Automotive during the fourth quarter worth approximately $37,119,000. Thrivent Financial for Lutherans lifted its position in shares of Group 1 Automotive by 111.1% during the 4th quarter. Thrivent Financial for Lutherans now owns 161,216 shares of the company’s stock worth $67,949,000 after buying an additional 84,832 shares during the last quarter. Finally, Advent International L.P. boosted its holdings in shares of Group 1 Automotive by 65.7% in the 4th quarter. Advent International L.P. now owns 203,951 shares of the company’s stock valued at $85,961,000 after buying an additional 80,870 shares in the last quarter. 99.92% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of analysts have issued reports on the company. StockNews.com raised Group 1 Automotive from a “sell” rating to a “hold” rating in a research report on Friday, November 8th. Jefferies Financial Group started coverage on Group 1 Automotive in a research note on Friday, December 13th. They set a “buy” rating and a $500.00 target price on the stock. JPMorgan Chase & Co. lifted their target price on Group 1 Automotive from $420.00 to $495.00 and gave the company an “overweight” rating in a research report on Friday, February 14th. Guggenheim boosted their price target on shares of Group 1 Automotive from $420.00 to $442.00 and gave the stock a “buy” rating in a research note on Thursday, November 21st. Finally, Stephens reissued an “equal weight” rating and issued a $460.00 price objective on shares of Group 1 Automotive in a research note on Thursday, January 30th. Two investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $460.33.

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.