Penske Automotive Group Stock Fundamentals
| PAG Stock | USD 155.14 1.80 1.15% |
Penske Automotive Group fundamentals help investors to digest information that contributes to Penske Automotive's financial success or failures. It also enables traders to predict the movement of Penske Stock. The fundamental analysis module provides a way to measure Penske Automotive's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Penske Automotive stock.
At this time, Penske Automotive's Other Operating Expenses is most likely to increase significantly in the upcoming years. The Penske Automotive's current Operating Income is estimated to increase to about 1.4 B, while Interest Expense is projected to decrease to roughly 214.4 M. Penske | Select Account or Indicator |
Penske Automotive Group Company Return On Equity Analysis
Penske Automotive's Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Current Penske Automotive Return On Equity | 0.18 |
Most of Penske Automotive's fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Penske Automotive Group is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
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Penske Total Stockholder Equity
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Based on the latest financial disclosure, Penske Automotive Group has a Return On Equity of 0.1795. This is 95.01% lower than that of the Specialty Retail sector and 98.98% lower than that of the Consumer Discretionary industry. The return on equity for all United States stocks is 157.9% lower than that of the firm.
Penske Automotive Fundamental Drivers Relationships
Comparative valuation techniques use various fundamental indicators to help in determining Penske Automotive's current stock value. Our valuation model uses many indicators to compare Penske Automotive value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Penske Automotive competition to find correlations between indicators driving Penske Automotive's intrinsic value. More Info.Penske Automotive Group is regarded fourth in return on equity category among its peers. It is regarded fifth in return on asset category among its peers reporting about 0.28 of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for Penske Automotive Group is roughly 3.55 . At this time, Penske Automotive's Return On Equity is most likely to increase slightly in the upcoming years. Comparative valuation analysis is a catch-all technique that is used if you cannot value Penske Automotive by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Penske Return On Equity Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Penske Automotive's direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Penske Automotive could also be used in its relative valuation, which is a method of valuing Penske Automotive by comparing valuation metrics of similar companies.Penske Automotive is currently under evaluation in return on equity category among its peers.
Penske Automotive Current Valuation Drivers
We derive many important indicators used in calculating different scores of Penske Automotive from analyzing Penske Automotive's financial statements. These drivers represent accounts that assess Penske Automotive's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Penske Automotive's important valuation drivers and their relationship over time.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Market Cap | 4.1B | 4.8B | 8.6B | 8.6B | 7.7B | 8.1B | |
| Enterprise Value | 12.8B | 11.9B | 14.9B | 15.4B | 13.9B | 8.0B |
Penske Automotive ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Penske Automotive's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Penske Automotive's managers, analysts, and investors.Environmental | Governance | Social |
Penske Fundamentals
| Return On Equity | 0.18 | ||||
| Return On Asset | 0.0506 | ||||
| Profit Margin | 0.03 % | ||||
| Operating Margin | 0.04 % | ||||
| Current Valuation | 18.76 B | ||||
| Shares Outstanding | 66.77 M | ||||
| Shares Owned By Insiders | 21.07 % | ||||
| Shares Owned By Institutions | 75.57 % | ||||
| Number Of Shares Shorted | 1.15 M | ||||
| Price To Earning | 6.11 X | ||||
| Price To Book | 1.99 X | ||||
| Price To Sales | 0.35 X | ||||
| Revenue | 29.53 B | ||||
| Gross Profit | 4.84 B | ||||
| EBITDA | 1.65 B | ||||
| Net Income | 1.05 B | ||||
| Cash And Equivalents | 106.5 M | ||||
| Cash Per Share | 1.25 X | ||||
| Total Debt | 7.74 B | ||||
| Debt To Equity | 1.60 % | ||||
| Current Ratio | 0.98 X | ||||
| Book Value Per Share | 77.93 X | ||||
| Cash Flow From Operations | 1.09 B | ||||
| Short Ratio | 8.04 X | ||||
| Earnings Per Share | 13.06 X | ||||
| Price To Earnings To Growth | 5.04 X | ||||
| Target Price | 171.25 | ||||
| Number Of Employees | 28.95 K | ||||
| Beta | 1.17 | ||||
| Market Capitalization | 10.36 B | ||||
| Total Asset | 15.67 B | ||||
| Retained Earnings | 4.99 B | ||||
| Working Capital | 21.8 M | ||||
| Current Asset | 4.41 B | ||||
| Current Liabilities | 4.29 B | ||||
| Annual Yield | 0.03 % | ||||
| Five Year Return | 2.58 % | ||||
| Net Asset | 15.67 B | ||||
| Last Dividend Paid | 4.09 |
About Penske Automotive Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Penske Automotive Group's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Penske Automotive using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Penske Automotive Group based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.| Last Reported | Projected for Next Year | ||
| Current Deferred Revenue | 280.2 M | 409.2 M | |
| Total Revenue | 29.5 B | 31 B | |
| Cost Of Revenue | 24.6 B | 25.8 B | |
| Sales General And Administrative To Revenue | 0.11 | 0.12 | |
| Capex To Revenue | 0.01 | 0.02 | |
| Revenue Per Share | 434.23 | 455.94 | |
| Ebit Per Revenue | 0.05 | 0.05 |
Currently Active Assets on Macroaxis
When determining whether Penske Automotive is a strong investment it is important to analyze Penske Automotive's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Penske Automotive's future performance. For an informed investment choice regarding Penske Stock, refer to the following important reports:Check out Penske Automotive Piotroski F Score and Penske Automotive Altman Z Score analysis. You can also try the ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Is Automotive Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Penske Automotive. If investors know Penske will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Penske Automotive listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.14) | Dividend Share 4.09 | Earnings Share 13.06 | Revenue Per Share 447.96 | Quarterly Revenue Growth 0.019 |
The market value of Penske Automotive is measured differently than its book value, which is the value of Penske that is recorded on the company's balance sheet. Investors also form their own opinion of Penske Automotive's value that differs from its market value or its book value, called intrinsic value, which is Penske Automotive's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Penske Automotive's market value can be influenced by many factors that don't directly affect Penske Automotive's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Penske Automotive's value and its price as these two are different measures arrived at by different means. Investors typically determine if Penske Automotive is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Penske Automotive's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.