Latest news with #PenskeAutomotiveGroup
Yahoo
07-06-2025
- Automotive
- Yahoo
Here's Why Penske Automotive (PAG) is a Strong Momentum Stock
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics. For momentum investors, upward or downward trends in a stock's price or earnings outlook take precedent, so they'll want to zero in on the Momentum Style Score. This Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates. Established in 1990, Penske Automotive Group, Inc., based in Bloomfield Hills, MI, engages in the operation of automotive and commercial truck dealerships in the United States, the United Kingdom, Canada, Germany, Italy, and Japan. The company also distributes and retails commercial vehicles, diesel engines, gas engines, power systems and related parts and services, principally in Australia and New Zealand. It employs more than 28,900 people across the globe. PAG is a Zacks Rank #3 (Hold) stock, with a Momentum Style Score of A and VGM Score of A. Shares are up 0.2% over the past one week and up 2.5% over the past four weeks. PAG has gained 8.2% in the last one-year period as well. Looking at trading volume, an average of 199,399.30 shares exchanged hands over the last 20 trading days. A company's earnings performance is important for momentum investors as well. For fiscal 2025, four analysts revised their earnings estimate higher in the last 60 days for PAG, while the Zacks Consensus Estimate has increased $0.17 to $13.99 per share. PAG also boasts an average earnings surprise of 2.6%. PAG should be on investors' short list because of its impressive earnings fundamentals, a good Zacks Rank, and strong Momentum and VGM Style Scores. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Penske Automotive Group, Inc. (PAG) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11-05-2025
- Automotive
- Yahoo
Spanish car brand has big plans to sell its EVs and hybrids in America ― soon
A little known Spanish car brand focused on electric vehicles is preparing to sell its vehicles in the United States — turmoil regarding tariffs, trade and environmental policy notwithstanding. Barcelona-based Cupra has already had talks with the Penske Automotive Group, the United States' third largest dealer group with about 200 outlets. Penske also operates dealerships for dozens of brands ― including Cupra ― in Australia, Germany, Italy, New Zealand and the United Kingdom. 'Cupra aims to inspire the United States from its hometown of Barcelona, bringing its design led and performance driven cars to American roads,' the company said in a statement to the Free Press. Easier said than done, but Cupra has made an impression in the crowded European market since Volkswagen's Seat brand launched it in 2018. Seat, known largely for practical, affordable cars, created Cupra as a sporty sub brand. The result impressed VW brass in Germany so much that there's talk Seat may wither away, replaced by the more stylish, profitable and technically advanced Cupra. Cupra sells a mix of electric, hybrid and gasoline vehicles in more than 40 countries, including Mexico, where prices start at just under $37,000 for a gasoline powered Leon compact SUV. The brand hopes an emphasis on performance ― Cupra originated as the name of Seat's racing team ― and style rooted in Barcelona's history as a center of art, architecture and design will set it apart. 'Cupra has a respectable following, but the challenges of the U.S. market are very difficult to overcome,' said S&P Global principal automotive analyst Stephanie Brinley. The United States' huge size and population make it expensive to establish a new brand, both geographically and in shoppers' minds. Cupra has sold more than 800,000 vehicles so far. The company's U.S. focus will be on sporty, upscale EVs and hybrids, but Cupra may also offer some internal combustion models to generate sales and service volume. 'As the first new brand created within the Volkswagen Group, we offer an alternative to the next generation of U.S. car buyers,' the statement continued. 'Positioned between the mass and premium segments, we are not based on legacy or tradition. We are an unconventional challenger brand.' More: 2025 Cadillac Optiq SUV EV shocks with style, features and value The brand plans to begin with sales in 20 states 'strategically aligned with the Cupra brand.' That presumably means states that encourage EV sales with incentives and emissions limits. 'Cupra is totally unknown to the U.S. population,' said Adam Bernard, principal of consultant AutoPerspectives. 'It's a blank slate. The brand doesn't overlap with VW or Audi. Does VW want to spend a pile of money to establish an image for it?' Cupra executives toured the Los Angeles auto show last November to size up the competition. After initial expectations sales would begin in 2027, the official target is now by the end of the decade. More: Honda's $1B Ohio EV hub has an assembly line other automakers will want to see The model line will include gasoline power, hybrids, plug-in hybrids, electric vehicles and extended range EVs with onboard gasoline-powered generators. Cupra plans to build the vehicles at VW group facilities in North America. Current options for that include assembly plants in Chattanooga, Tennessee; Puebla, Mexico, and the Scout Motors plant under construction in South Carolina. Constantly changing U.S. tariff policy will be considered, but won't stop the brand. 'Cupra is monitoring developments closely and will comprehensively address the potential impact on supply chains and our production network,' the statement said. VW infuriated many of its American dealers with plans to sell rugged Scout SUVs and pickups directly to consumers. There's no word on Cupra's sales plan yet, but the overture to Penske is 'obviously an attempt to shortcut' building a sales network, according to Brian Gordon, president of Dave Cantin Group, which advises dealerships. 'A partnership with a large dealer network would be a strategic beachhead.' Contact Mark Phelan: 313-222-6731 or mmphelan@ Follow him on Twitter mark_phelan. Read more on autos and sign up for our autos newsletter. Become a subscriber. This article originally appeared on Detroit Free Press: Spanish car brand Cupra has big plans to sell EVs and hybrids in US Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
27-04-2025
- Automotive
- Yahoo
Is Now The Time To Look At Buying Penske Automotive Group, Inc. (NYSE:PAG)?
Penske Automotive Group, Inc. (NYSE:PAG) saw a double-digit share price rise of over 10% in the past couple of months on the NYSE. While good news for shareholders, the company has traded much higher in the past year. With many analysts covering the large-cap stock, we may expect any price-sensitive announcements have already been factored into the stock's share price. But what if there is still an opportunity to buy? Let's take a look at Penske Automotive Group's outlook and value based on the most recent financial data to see if the opportunity still exists. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. The stock is currently trading at US$157 on the share market, which means it is overvalued by 34% compared to our intrinsic value of $117.70. Not the best news for investors looking to buy! If you like the stock, you may want to keep an eye out for a potential price decline in the future. Given that Penske Automotive Group's share is fairly volatile (i.e. its price movements are magnified relative to the rest of the market) this could mean the price can sink lower, giving us another chance to buy in the future. This is based on its high beta, which is a good indicator for share price volatility. Check out our latest analysis for Penske Automotive Group Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Buying a great company with a robust outlook at a cheap price is always a good investment, so let's also take a look at the company's future expectations. Though in the case of Penske Automotive Group, it is expected to deliver a negative earnings growth of -3.4%, which doesn't help build up its investment thesis. It appears that risk of future uncertainty is high, at least in the near term. Are you a shareholder? If you believe PAG is currently trading above its value, selling high and buying it back up again when its price falls towards its real value can be profitable. Given the risk from a negative growth outlook, this could be the right time to reduce your total portfolio risk. But before you make this decision, take a look at whether its fundamentals have changed. Are you a potential investor? If you've been keeping tabs on PAG for some time, now may not be the best time to enter into the stock. you may want to reconsider buying the stock at this time. The company's price has climbed passed its true value, in addition to a risky future outlook. However, there are also other important factors which we haven't considered today, such as the track record of its management. Should the price fall in the future, will you be well-informed enough to buy? If you want to dive deeper into Penske Automotive Group, you'd also look into what risks it is currently facing. For example - Penske Automotive Group has 3 warning signs we think you should be aware of. If you are no longer interested in Penske Automotive Group, you can use our free platform to see our list of over 50 other stocks with a high growth potential. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Associated Press
08-04-2025
- Automotive
- Associated Press
Paralyzed Veterans of America receives $1.13 million donation from Penske Automotive Group, surpassing $10 million in all-time contributions
WASHINGTON, April 8, 2025 /PRNewswire/ -- Paralyzed Veterans of America today announced it received a donation of $1.13 million from long-time partner Penske Automotive Group. The amount includes donations from customers, partners and employees of Penske Automotive Group, as well as matching contributions from the company. All the proceeds will be used to help veterans with spinal cord injuries and diseases, like MS and ALS, receive the benefits they earned, the specialized health care they need, and the meaningful careers they want. 'Paralyzed Veterans of America is grateful to our partners, like Penske Automotive Group, who are driven to make a difference in the lives of veterans living with spinal cord injuries and diseases,' said Robert Thomas, U.S. Army Veteran and National President of PVA. 'Through their generosity, PVA can provide critical resources and services, advocate for the freedoms of veterans with disabilities, and ensure the men and women who served our country have the opportunities they earned and deserve.' Since the inception of the partnership, Penske Automotive Group and its customers, partners and employees have contributed more than $10 million to PVA. This year's donation, which was part of Penske Automotive Group's Service Matters campaign, will help ensure all veterans live independent, productive lives. 'Since our partnership with PVA started in 2015, we are proud to have contributed more than $10 million and remain committed to making a meaningful difference in the lives of veterans with spinal cord injuries and diseases,' said Robert H. Kurnick, Jr., President of Penske Automotive Group. 'We are grateful to our dedicated team members, partners and loyal customers whose generosity and support continue to help drive PVA's vital mission. Together, we are strengthening our impact and empowering our heroes who have sacrificed so much for our nation.' Visit or contact a Penske Automotive Group dealership to learn more about this partnership and their Service Matters campaign. To learn more about PVA and ways you can join Penske Automotive Group in supporting disabled veterans, visit About Paralyzed Veterans of America Paralyzed Veterans of America is a 501(c)(3) non-profit and the only congressionally chartered veterans service organization dedicated solely for the benefit and representation of veterans with spinal cord injury or diseases. The organization ensures veterans receive the benefits earned through service to our nation; monitors their care in VA spinal cord injury units; and funds research and education in the search for a cure and improved care for individuals with paralysis. As a life-long partner and advocate for veterans and all people with disabilities, PVA also develops training and career services, works to ensure accessibility in public buildings and spaces, and provides health and rehabilitation opportunities through sports and recreation. With more than 70 offices and 33 chapters, Paralyzed Veterans of America serves veterans, their families, and their caregivers in all 50 states, the District of Columbia, and Puerto Rico. Learn more at About Penske Automotive Penske Automotive Group, Inc., (NYSE: PAG) headquartered in Bloomfield Hills, Michigan, is a diversified international transportation services company and one of the world's premier automotive and commercial truck retailers. PAG operates dealerships in the United States, the United Kingdom, Canada, Germany, Italy, Japan, and Australia and is one of the largest retailers of commercial trucks in North America for Freightliner. PAG also distributes and retails commercial vehicles, diesel and gas engines, power systems, and related parts and services principally in Australia and New Zealand. PAG employs over 28,900 people worldwide. Additionally, PAG owns 28.9% of Penske Transportation Solutions ('PTS'), a business that employs over 44,500 people worldwide, manages one of the largest, most comprehensive and modern trucking fleets in North America with over 435,000 trucks, tractors, and trailers under lease, rental, and/or maintenance contracts and provides innovative transportation, supply chain, and technology solutions to its customers. PAG is a member of the S&P Mid Cap 400, Fortune 500, Russell 1000, and Russell 3000 indexes. For additional information, visit the Company's website at
Yahoo
04-03-2025
- Automotive
- Yahoo
Does This Valuation Of Penske Automotive Group, Inc. (NYSE:PAG) Imply Investors Are Overpaying?
Penske Automotive Group's estimated fair value is US$137 based on 2 Stage Free Cash Flow to Equity Current share price of US$168 suggests Penske Automotive Group is potentially 22% overvalued Analyst price target for PAG is US$175, which is 27% above our fair value estimate How far off is Penske Automotive Group, Inc. (NYSE:PAG) from its intrinsic value? Using the most recent financial data, we'll take a look at whether the stock is fairly priced by projecting its future cash flows and then discounting them to today's value. This will be done using the Discounted Cash Flow (DCF) model. There's really not all that much to it, even though it might appear quite complex. We generally believe that a company's value is the present value of all of the cash it will generate in the future. However, a DCF is just one valuation metric among many, and it is not without flaws. For those who are keen learners of equity analysis, the Simply Wall St analysis model here may be something of interest to you. View our latest analysis for Penske Automotive Group We're using the 2-stage growth model, which simply means we take in account two stages of company's growth. In the initial period the company may have a higher growth rate and the second stage is usually assumed to have a stable growth rate. In the first stage we need to estimate the cash flows to the business over the next ten years. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years. A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars: 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Levered FCF ($, Millions) US$731.0m US$695.7m US$685.2m US$683.6m US$688.1m US$697.0m US$709.0m US$723.4m US$739.7m US$757.4m Growth Rate Estimate Source Analyst x1 Analyst x4 Est @ -1.51% Est @ -0.23% Est @ 0.66% Est @ 1.29% Est @ 1.73% Est @ 2.03% Est @ 2.25% Est @ 2.40% Present Value ($, Millions) Discounted @ 9.4% US$668 US$581 US$523 US$476 US$438 US$406 US$377 US$351 US$328 US$307 ("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = US$4.5b We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. For a number of reasons a very conservative growth rate is used that cannot exceed that of a country's GDP growth. In this case we have used the 5-year average of the 10-year government bond yield (2.8%) to estimate future growth. In the same way as with the 10-year 'growth' period, we discount future cash flows to today's value, using a cost of equity of 9.4%. Terminal Value (TV)= FCF2034 × (1 + g) ÷ (r – g) = US$757m× (1 + 2.8%) ÷ (9.4%– 2.8%) = US$12b Present Value of Terminal Value (PVTV)= TV / (1 + r)10= US$12b÷ ( 1 + 9.4%)10= US$4.7b The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is US$9.2b. To get the intrinsic value per share, we divide this by the total number of shares outstanding. Relative to the current share price of US$168, the company appears slightly overvalued at the time of writing. Valuations are imprecise instruments though, rather like a telescope - move a few degrees and end up in a different galaxy. Do keep this in mind. We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows. You don't have to agree with these inputs, I recommend redoing the calculations yourself and playing with them. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Penske Automotive Group as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 9.4%, which is based on a levered beta of 1.546. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. Strength Debt is well covered by earnings and cashflows. Dividends are covered by earnings and cash flows. Weakness Earnings declined over the past year. Dividend is low compared to the top 25% of dividend payers in the Specialty Retail market. Opportunity Annual earnings are forecast to grow for the next 3 years. Good value based on P/E ratio compared to estimated Fair P/E ratio. Threat Annual earnings are forecast to grow slower than the American market. Although the valuation of a company is important, it is only one of many factors that you need to assess for a company. DCF models are not the be-all and end-all of investment valuation. Instead the best use for a DCF model is to test certain assumptions and theories to see if they would lead to the company being undervalued or overvalued. If a company grows at a different rate, or if its cost of equity or risk free rate changes sharply, the output can look very different. Can we work out why the company is trading at a premium to intrinsic value? For Penske Automotive Group, there are three essential items you should look at: Risks: Take risks, for example - Penske Automotive Group has 3 warning signs we think you should be aware of. Management:Have insiders been ramping up their shares to take advantage of the market's sentiment for PAG's future outlook? Check out our management and board analysis with insights on CEO compensation and governance factors. Other High Quality Alternatives: Do you like a good all-rounder? Explore our interactive list of high quality stocks to get an idea of what else is out there you may be missing! PS. Simply Wall St updates its DCF calculation for every American stock every day, so if you want to find the intrinsic value of any other stock just search here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
