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Expert Outlook: Penske Automotive Group Through The Eyes Of 4 Analysts

Benzinga·09/17/2025 18:01:24
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4 analysts have shared their evaluations of Penske Automotive Group (NYSE:PAG) during the recent three months, expressing a mix of bullish and bearish perspectives.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 1 1 1 1 0
Last 30D 1 0 0 0 0
1M Ago 0 0 0 0 0
2M Ago 0 1 1 0 0
3M Ago 0 0 0 1 0

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $177.5, a high estimate of $190.00, and a low estimate of $155.00. Surpassing the previous average price target of $170.00, the current average has increased by 4.41%.

price target chart

Deciphering Analyst Ratings: An In-Depth Analysis

An in-depth analysis of recent analyst actions unveils how financial experts perceive Penske Automotive Group. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Michael Albanses Benchmark Raises Buy $190.00 $185.00
Adam Jonas Morgan Stanley Raises Overweight $190.00 $180.00
Rajat Gupta JP Morgan Raises Neutral $175.00 $155.00
Rajat Gupta JP Morgan Lowers Underweight $155.00 $160.00

Key Insights:

  • Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Penske Automotive Group. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Penske Automotive Group compared to the broader market.
  • Price Targets: Analysts predict movements in price targets, offering estimates for Penske Automotive Group's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Penske Automotive Group's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Penske Automotive Group analyst ratings.

Discovering Penske Automotive Group: A Closer Look

Penske Automotive Group operates in 19 US states and overseas. It has over 150 US and Puerto Rico light-vehicle stores as well as 210 franchised dealerships overseas, primarily in the United Kingdom but also in Australia, Germany, Italy, and Japan. The company is the third-largest US publicly traded dealership in terms of light-vehicle revenue and sells more than 40 brands, with over 90% of retail automotive revenue coming from luxury and import names. Other segments are service and finance and insurance. The firm's Premier Truck Group owns 45 truck dealerships selling mostly Freightliner and Western Star brands, and Penske owns 16 used-vehicle stores, mostly in the US and UK under the CarShop (US) and Sytner Select (UK) brands. Penske is based in Bloomfield Hills, Michigan.

A Deep Dive into Penske Automotive Group's Financials

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Negative Revenue Trend: Examining Penske Automotive Group's financials over 3M reveals challenges. As of 30 June, 2025, the company experienced a decline of approximately -0.45% in revenue growth, reflecting a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Discretionary sector.

Net Margin: Penske Automotive Group's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 3.26%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Penske Automotive Group's ROE excels beyond industry benchmarks, reaching 4.54%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Penske Automotive Group's ROA stands out, surpassing industry averages. With an impressive ROA of 1.46%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 1.5.

Understanding the Relevance of Analyst Ratings

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.