The stock of Group 1 Automotive, Inc. (NYSE: GPI) has increased by 7.23 when compared to last closing price of 279.50. Despite this, the company has experienced a 12.78% gain in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-04-24 that While the top- and bottom-line numbers for Group 1 Automotive (GPI) give a sense of how the business performed in the quarter ended March 2024, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
Is It Worth Investing in Group 1 Automotive, Inc. (NYSE: GPI) Right Now?
Group 1 Automotive, Inc. (NYSE: GPI) has a higher price-to-earnings ratio of 7.04x compared to its average ratio, The 36-month beta value for GPI is at 1.40. Analysts have varying views on the stock, with 0 analysts rating it as a “buy,” 1 rating it as “overweight,” 9 as “hold,” and 1 as “sell.”
The public float for GPI is 13.01M, and currently, shorts hold a 16.57% of that float. The average trading volume for GPI on April 25, 2024 was 146.19K shares.
GPI’s Market Performance
GPI’s stock has seen a 12.78% increase for the week, with a 6.37% rise in the past month and a 10.72% gain in the past quarter. The volatility ratio for the week is 3.55%, and the volatility levels for the past 30 days are at 2.45% for Group 1 Automotive, Inc. The simple moving average for the last 20 days is 8.57% for GPI stock, with a simple moving average of 11.06% for the last 200 days.
Analysts’ Opinion of GPI
Many brokerage firms have already submitted their reports for GPI stocks, with Guggenheim repeating the rating for GPI by listing it as a “Buy.” The predicted price for GPI in the upcoming period, according to Guggenheim is $305 based on the research report published on April 17, 2024 of the current year 2024.
Morgan Stanley, on the other hand, stated in their research note that they expect to see GPI reach a price target of $255, previously predicting the price at $200. The rating they have provided for GPI stocks is “Equal-Weight” according to the report published on February 29th, 2024.
JP Morgan gave a rating of “Overweight” to GPI, setting the target price at $210 in the report published on October 06th of the previous year.
GPI Trading at 10.32% from the 50-Day Moving Average
After a stumble in the market that brought GPI to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -3.34% of loss for the given period.
Volatility was left at 2.45%, however, over the last 30 days, the volatility rate increased by 3.55%, as shares surge +5.38% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +7.07% upper at present.
During the last 5 trading sessions, GPI rose by +12.78%, which changed the moving average for the period of 200-days by +15.77% in comparison to the 20-day moving average, which settled at $276.81. In addition, Group 1 Automotive, Inc. saw -1.65% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at GPI starting from MCHENRY DANIEL JAMES, who sale 2,259 shares at the price of $264.96 back on Sep 18 ’23. After this action, MCHENRY DANIEL JAMES now owns 19,355 shares of Group 1 Automotive, Inc., valued at $598,584 using the latest closing price.
BARTH CARIN MARCY, the Director of Group 1 Automotive, Inc., sale 2,131 shares at $267.00 during a trade that took place back on Aug 30 ’23, which means that BARTH CARIN MARCY is holding 0 shares at $568,977 based on the most recent closing price.
Stock Fundamentals for GPI
Current profitability levels for the company are sitting at:
- 0.06 for the present operating margin
- 0.17 for the gross margin
The net margin for Group 1 Automotive, Inc. stands at 0.03. The total capital return value is set at 0.19. Equity return is now at value 23.91, with 8.10 for asset returns.
Based on Group 1 Automotive, Inc. (GPI), the company’s capital structure generated 0.41 points at debt to capital in total, while cash flow to debt ratio is standing at 0.09. The debt to equity ratio resting at 0.69. The interest coverage ratio of the stock is 5.76.
Currently, EBITDA for the company is 1.08 billion with net debt to EBITDA at 2.08. When we switch over and look at the enterprise to sales, we see a ratio of 0.35. The receivables turnover for the company is 29.42for trailing twelve months and the total asset turnover is 2.3. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.11.
Conclusion
In conclusion, Group 1 Automotive, Inc. (GPI) has had a better performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
