Penske Automotive Stock Intrinsic Value – PENSKE AUTOMOTIVE Sees Record Earnings and Revenues in Q3

Trending News 🌥️

Penske Automotive ($NYSE:PAG) Group, Inc. is one of the largest global automotive retail and services companies, with operations in the United States, United Kingdom, Canada, Mexico and Europe. Penske Automotive reported a GAAP EPS of $4.31, which was $0.20 higher than expectations and revenue of $7.34B, surpassing estimates by $320M. The company’s reported profits demonstrate the strength of its customer-oriented strategy, which is focused on creating value for customers and delivering superior customer experience through a variety of automotive services. The company’s revenue was driven by a strong customer demand across all its markets, with strong sales in the U.S., Europe and Mexico. The company also reported excellent performance in its services business, which saw increases in service revenues, improving margins and strong customer satisfaction scores.

In addition, Penske Automotive continued to focus on cost-efficiency initiatives, which drove operating expenses down by 3%, further strengthening its market position. Overall, Penske Automotive’s record earnings and revenue demonstrate the company’s success in creating value for customers and driving shareholder returns. The company will continue to focus on leveraging its automotive services to provide superior customer experience and grow its business in the coming quarters.

Price History

On Wednesday, PENSKE AUTOMOTIVE stock opened at $138.1 and closed at $135.9, down 0.7% from the prior closing price of 136.9. The company saw impressive growth in their automotive retail, commercial fleet leasing and truck leasing divisions, which contributed to the record earnings per share and revenues. The company has seen a steady increase in their overall performance since the beginning of the year and these record earnings and revenues provide further evidence of their success. This news is sure to be welcomed by investors, as it shows that PENSKE AUTOMOTIVE is continuing to thrive in a competitive market. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Penske Automotive. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Penske Automotive. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Penske Automotive. More…

Key Ratios Snapshot

Some of the financial key ratios for Penske Automotive are shown below. More…

Analysis – Penske Automotive Stock Intrinsic Value

GoodWhale’s analysis of PENSKE AUTOMOTIVE’s financials reveals that its intrinsic value is around $110.1, calculated using our proprietary Valuation Line. This means that the current market price of PENSKE AUTOMOTIVE’s shares at $135.9 is overvalued by 23.4%. This discrepancy between the intrinsic value and the market price may be a good opportunity for investors to consider buying the stock at a discount. More…

Peers

Penske Automotive Group Inc is an American automotive retailer. It is the second largest publicly traded company in the United States behind AutoNation and is headquartered in Bloomfield Hills, Michigan. The company also owns and operates several automotive websites and a truck leasing and logistics company. Penske Automotive Group operates over 300 retail automotive franchises, representing over 40 different brands. The company also operates in the United Kingdom, Australia, and Mexico. Sonic Automotive Inc is an American automotive retailer.Headquartered in Charlotte, North Carolina, the company operates over 100 dealerships in 15 states. Asbury Automotive Group Inc is an American automotive retailer. As of 2016, Asbury Automotive Group operated 86 dealerships, made up of 77 franchises across the United States. Group 1 Automotive Inc is an American automotive retailer with its headquarters in Houston, Texas. As of 2016, Group 1 Automotive operated 175 dealerships and 153 franchises in the United States and United Kingdom.

– Sonic Automotive Inc ($NYSE:SAH)

Sonic Automotive Inc is a company that operates in the automotive retailing industry. As of 2022, it had a market capitalization of 1.77 billion dollars and a return on equity of 32.11%. Sonic Automotive Inc is a company that operates in the automotive retailing industry. It is based in Charlotte, North Carolina, and was founded in 1997. The company operates dealerships in the United States, and its brands include Audi, BMW, Cadillac, Chevrolet, Jaguar, Land Rover, Lexus, Mercedes-Benz, Porsche, and Volvo.

– Asbury Automotive Group Inc ($NYSE:ABG)

Asbury Automotive Group Inc is one of the largest automotive retailers in the United States. The company operates over 100 dealerships across the country, selling and servicing a variety of makes and models of cars and light trucks. Asbury’s return on equity is impressive, coming in at over 31%. This means that the company is generating a significant amount of profit relative to the amount of equity that shareholders have invested. Asbury’s market cap is just over $3.7 billion, making it a large company but still small enough to be considered nimble in the ever-changing automotive industry.

– Group 1 Automotive Inc ($NYSE:GPI)

Group 1 Automotive Inc is a publicly traded automotive retailer that offers new and used vehicles, parts and services, and financing options through its dealerships. As of 2022, the company had a market capitalization of 2.6 billion dollars and a return on equity of 33.54%. Group 1 Automotive Inc operates in the United States, the United Kingdom, Brazil, and Turkey. The company was founded in 1995 and is headquartered in Houston, Texas.

Summary

The company reported a GAAP EPS of $4.31, beating the estimates by $0.20. Revenue was reported at $7.34B, beating expectations by $320M. This is a positive sign for investors, as it suggests the company’s financial performance is strong despite the challenging business environment.

Investment analysts are likely to maintain their positive outlook on Penske Automotive, as the company continues to benefit from the recovery of the automotive industry. Moving forward, investors should watch for potential positive catalysts, such as sustained consumer demand for cars and trucks, which would bode well for the company’s future performance.