Group 1 Automotive Inc Stock Research

Market Summary

USD225.79+2.30

Market Closed

1.03%

GPI Stock Price

GPI RSI Chart

GPI Valuation

Market Cap

3.1B

Price/Earnings (Trailing)

4.44

Price/Sales (Trailing)

0.19

EV/EBITDA

5.4

Price/Free Cashflow

9.09

GPI Price/Sales (Trailing)

GPI Profitability

EBT Margin

6.07%

Return on Equity

33.59%

Return on Assets

11.19%

Free Cashflow Yield

11%

GPI Fundamentals

GPI Revenue

Revenue (TTM)

16.5B

Revenue Y/Y

7.43%

Revenue Q/Q

1.5%

GPI Earnings

Earnings (TTM)

706.9M

Earnings Y/Y

-21.93%

Earnings Q/Q

0.96%

Price Action

52 Week Range

136.16242.68

(Low)(High)

Last 7 days

2.3%

Last 30 days

2.1%

Last 90 days

2.4%

Trailing 12 Months

26.3%

GPI Financial Health

Current Ratio

1.03

Debt/Equity

0.87

Debt/Cashflow

0.3

GPI Investor Care

Dividend Yield

0.7%

Dividend/Share (TTM)

1.59

Buy Backs (1Y)

15.76%

Diluted EPS (TTM)

46.37

Peers (Alternatives to Group 1 Automotive)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
HD	294.9B	155.8B	1.65%	-0.74%	17.61	1.89	2.09%	1.38%
ORLY	56.3B	14.8B	3.22%	44.41%	25.52	3.8	9.53%	2.92%
AZO	46.0B	16.9B	-6.96%	21.28%	19.03	2.73	8.24%	0.40%
KMX	11.5B	29.7B	6.71%	-26.91%	23.64	0.39	-6.95%	-57.89%
MID-CAP
PAG	9.8B	28.2B	4.20%	24.09%	7.46	0.35	5.32%	-4.57%
LAD	6.7B	28.5B	9.73%	-19.76%	5.85	0.23	12.95%	-8.74%
AAP	6.6B	11.2B	-8.32%	-40.74%	13.24	0.6	1.43%	-18.54%
MUSA	6.3B	23.4B	2.95%	12.98%	9.39	0.27	23.56%	26.88%
AN	6.3B	26.6B	6.89%	16.01%	4.8	0.24	-0.23%	-12.82%
ABG	4.6B	15.1B	14.28%	18.88%	4.88	0.3	27.26%	31.47%
SMALL-CAP
TA	1.3B	10.8B	-0.81%	138.96%	9.18	0.12	33.09%	75.40%
CWH	903.1M	6.8B	27.78%	2.80%	6.59	0.13	-3.23%	-54.58%
CRMT	541.1M	1.4B	7.35%	-19.33%	12.57	0.39	22.55%	-61.62%
LAZY	166.3M	1.2B	-3.53%	-20.73%	4.39	0.13	-7.00%	-62.71%
LMPX	92.2M	-	64.08%	-52.53%	1.2K	0.29	-	-

Financials for Group 1 Automotive

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2023Q1	2022Q4	2022Q3	2022Q2	2022Q1
Revenue	1.8%	16,508	16,222	15,643	14,892	14,372
Gross Profit	0.1%	2,968	2,965	2,917	2,803	2,684
S&GA Expenses	2.5%	1,828	1,783	1,751	1,676	1,584
EBITDA	-0.1%	1,074	1,075	1,033	1,083	-
EBITDA Margin	-3.6%	0.07*	0.07*	0.07*	0.08*	-
Earnings Before Taxes	-5.7%	929	985	986	953	933
EBT Margin	-3.7%	0.06*	0.06*	0.06*	0.06*	-
Net Income	-5.9%	707	752	682	658	653
Net Income Margin	6.3%	0.05*	0.04*	0.04*	0.05*	-
Free Cahsflow	-18.3%	430	527	725	1,107	-

Balance Sheet					(In Millions)
Description	(%) Q/Q	2023Q1	2022Q4	2022Q3	2022Q2	2022Q1
Assets	3.1%	6,923	6,718	6,252	6,103	6,040
Current Assets	5.7%	2,098	1,985	1,695	1,676	1,648
Cash Equivalents	-55.5%	21.00	48.00	21.00	26.00	32.00
Inventory	13.5%	1,540	1,357	1,186	1,126	1,096
Goodwill	2.9%	1,709	1,662	1,612	1,597	1,588
Current Liabilities	6.9%	2,054	1,921	1,647	1,682	1,619
Long Term Debt	-2.5%	1,903	1,952	1,801	1,851	1,903
Shareholder's Equity	5.1%	2,353	2,238	2,214	2,005	1,949
Retained Earnings	4.9%	3,226	3,074	2,922	2,733	2,543
Additional Paid-In Capital	-1.5%	334	339	337	332	324
Shares Outstanding	-8.6%	14.00	15.00	16.00	17.00	-

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2023Q1	2022Q4	2022Q3	2022Q2	2022Q1
Cashflow From Operations	-14.2%	503	586	676	868	1,247
Share Based Compensation	-8.1%	25.00	27.00	31.00	30.00	30.00
Cashflow From Investing	20.6%	-384	-484	-1,414	-1,453	-1,379
Cashflow From Financing	-85.1%	-124	-67.30	470	429	82.00
Dividend Payments	1.3%	24.00	24.00	24.00	24.00	24.00
Buy Backs	-15.4%	441	521	552	446	326

Risks for GPI

What is the probability of a big loss on GPI?

73.1%

Probability that Group 1 Automotive stock will be more than 20% underwater in next one year

40.8%

Probability that Group 1 Automotive stock will be more than 30% underwater in next one year.

19.6%

Probability that Group 1 Automotive stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does GPI drawdown profile look like?

Y-axis is the maximum loss one would have experienced if Group 1 Automotive was unfortunately bought at previous high price.

Drawdowns

Returns for GPI

Cumulative Returns on GPI

14.5%

10-Year Cumulative Returns

21.8%

7-Year Cumulative Returns

27.4%

5-Year Cumulative Returns

49.1%

3-Year Cumulative Returns

What are the long-term rolling returns for GPI?

FIve years rolling returns for Group 1 Automotive.

Annualized Returns

Which funds bought or sold GPI recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-05-23	Toroso Investments, LLC	new	-	1,266,000	1,266,000	0.02%
2023-05-23	ROYCE & ASSOCIATES LP	reduced	-31.69	-371,489	2,235,220	0.02%
2023-05-22	EMC Capital Management	unchanged	-	67,000	327,000	0.28%
2023-05-22	PUTNAM INVESTMENTS LLC	reduced	-3.85	94,037	548,389	-%
2023-05-22	AMERIPRISE FINANCIAL INC	added	6.65	10,659,400	42,124,400	0.01%
2023-05-18	TITLEIST ASSET MANAGEMENT, LLC	new	-	388,084	388,084	0.08%
2023-05-18	JPMORGAN CHASE & CO	reduced	-8.5	2,479,450	19,175,500	-%
2023-05-18	NEW YORK STATE COMMON RETIREMENT FUND	reduced	-36.66	-2,123,000	8,238,000	0.01%
2023-05-17	Thrivent Financial for Lutherans	reduced	-3.38	574,000	3,272,000	0.01%
2023-05-17	VIRGINIA RETIREMENT SYSTEMS ET AL	reduced	-10.84	148,917	1,334,740	0.01%

Latest Funds Activity

Are funds buying GPI calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own GPI

No. of Funds

Group 1 Automotive News

Schedule 13G FIlings of Group 1 Automotive

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 10, 2023	dimensional fund advisors lp	8.4%	1,228,379	SC 13G/A
Feb 09, 2023	vanguard group inc	11.45%	1,669,487	SC 13G/A
Jan 26, 2023	blackrock inc.	17.7%	2,574,169	SC 13G/A
Jan 20, 2023	blackrock inc.	17.7%	2,574,169	SC 13G/A
Feb 14, 2022	eminence capital, lp	2.8%	506,861	SC 13G/A
Feb 08, 2022	dimensional fund advisors lp	7.4%	1,331,041	SC 13G/A
Jan 27, 2022	blackrock inc.	16.5%	2,983,695	SC 13G/A
Jan 26, 2022	blackrock inc.	16.5%	2,983,695	SC 13G/A
Mar 10, 2021	vanguard group inc	10.14%	1,835,612	SC 13G/A
Feb 16, 2021	eminence capital, lp	5.9%	1,071,753	SC 13G

GPI Fair Value

Group 1 Automotive fair value in different scenarios

The table shows the Fair Value estimates for Group 1 Automotive for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	453.78 100.97%	553.52 145.15%	824.39 265.11%	1094.12 384.57%	1451.49 542.85%
Current Inflation	421.20 86.55%	507.78 124.89%	738.45 227.05%	967.23 328.38%	1270.15 462.54%
Very High Inflation	380.31 68.44%	451.38 99.91%	635.87 181.62%	818.16 262.35%	1059.32 369.16%

Historical Group 1 Automotive Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of Group 1 Automotive

View All Filings

Date Filed	Form Type	Document
May 26, 2023	4	Insider Trading
May 18, 2023	8-K	Current Report
May 15, 2023	144	Notice of Insider Sale Intent
May 09, 2023	8-K	Current Report
Apr 28, 2023	10-Q	Quarterly Report
Apr 26, 2023	8-K	Current Report
Apr 17, 2023	DEF 14A	DEF 14A
Apr 12, 2023	8-K	Current Report
Apr 06, 2023	ARS	ARS
Mar 31, 2023	PRE 14A	PRE 14A

Latest Insider Trading transactions for GPI

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-03-03	JONES MICHAEL DAVID	sold	-344,505	229	-1,500	sr. vice president, aftersales
2023-02-17	DeLongchamps Peter C	sold (taxes)	-416,478	236	-1,759	sr. vp, financial svcs/mfr rel
2023-02-17	Kenningham Daryl	sold (taxes)	-877,470	236	-3,706	president & ceo
2023-02-17	Burman Darryl M	sold	-591,690	236	-2,500	sr. vp & general counsel
2023-02-17	Burman Darryl M	sold (taxes)	-299,277	236	-1,264	sr. vp & general counsel
2023-02-17	JONES MICHAEL DAVID	sold (taxes)	-229,904	236	-971	sr. vice president, aftersales
2023-02-15	DeLongchamps Peter C	sold (taxes)	-69,762	230	-303	sr. vp, financial svcs/mfr rel
2023-02-14	DeLongchamps Peter C	acquired	349,965	230	1,520	sr. vp, financial svcs/mfr rel
2023-02-14	Hobson Gillian A.	acquired	349,965	230	1,520	svp, chief legal officer & sec
2023-02-14	Burman Darryl M	sold (taxes)	-42,824	230	-186	sr. vp & general counsel

About Group 1 Automotive

Earl J. Hesterberg

www.group1auto.com

13700

Group 1 Automotive, Inc., through its subsidiaries, operates in the automotive retail industry. The company sells new and used cars, light trucks, and vehicle parts, as well as service and insurance contracts; arranges related vehicle financing; and offers automotive maintenance and repair services. It operates primarily in 17 states in the United States; and 35 towns in the United Kingdom. As of February 18, 2022, the company owned and operated 200 automotive dealerships, 266 franchises, and 45 collision centers that offer 34 brands of automobiles. Group 1 Automotive, Inc. was incorporated in 1995 and is based in Houston, Texas.

GPI Income Statement

2023-03-31

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
REVENUES	$ 4,130.0	$ 3,844.4
COST OF SALES	3,402.1	3,119.7
GROSS PROFIT	727.9	724.7
Selling, general and administrative expenses	462.8	418.5
Depreciation and amortization expense	22.4	21.2
Asset impairments	1.1	0.0
INCOME FROM OPERATIONS	241.5	285.0
Floorplan interest expense	12.6	5.3
Other interest expense, net	19.7	17.4
Other expense	2.8	0.0
INCOME BEFORE INCOME TAXES	206.4	262.3
Provision for income taxes	47.6	61.2
Net income from continuing operations	158.8	201.1
Net (loss) income from discontinued operations	(0.3)	1.8
NET INCOME	$ 158.4	$ 202.9
BASIC EARNINGS PER SHARE:
Basic earnings per share continuing operations (in dollars per shares)	$ 11.16	$ 11.81
Basic earnings per share discontinuing operations (in dollars per shares)	(0.02)	0.11
Basic earnings per share (in dollars per shares)	11.14	11.92
DILUTED EARNINGS PER SHARE:
Diluted earnings per share continuing operations (in dollars per shares)	11.12	11.78
Diluted earnings per share discontinuing operations (in dollars per shares)	(0.02)	0.11
Diluted earnings per common share (in dollars per share)	$ 11.10	$ 11.88
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING:
Weighted average common shares outstanding, Basic (in shares)	13,861,289	16,529,351
Weighted average common shares outstanding, Diluted (in shares)	13,914,727	16,585,614
New vehicle retail sales
REVENUES	$ 1,955.7	$ 1,745.1
COST OF SALES	1,769.0	1,543.9
Used vehicle retail sales
REVENUES	1,348.9	1,359.9
COST OF SALES	1,272.1	1,272.0
Used vehicle wholesale sales
REVENUES	112.0	93.5
COST OF SALES	110.0	90.6
Parts and service sales
REVENUES	548.3	472.9
COST OF SALES	251.0	213.1
Finance, insurance and other, net
REVENUES	$ 165.1	$ 173.0

GPI Balance Sheet

2023-03-31

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Mar. 31, 2023	Dec. 31, 2022
CURRENT ASSETS:
Cash and cash equivalents	$ 21.3	$ 47.9
Contracts-in-transit and vehicle receivables, net	236.5	278.5
Accounts and notes receivable, net	207.1	199.2
Inventories	1,540.0	1,356.6
Prepaid expenses	22.7	30.5
Other current assets	19.5	19.1
Current assets classified as held for sale	50.5	53.6
TOTAL CURRENT ASSETS	2,097.7	1,985.3
Property and equipment, net of accumulated depreciation of $578.2 and $554.4, respectively	2,162.7	2,128.2
Operating lease assets	246.7	249.1
Goodwill	1,709.4	1,661.8
Intangible franchise rights	546.7	516.3
Other long-term assets	160.0	176.8
TOTAL ASSETS	6,923.2	6,717.5
CURRENT LIABILITIES:
Floorplan notes payable — credit facility and other, net of offset account of $106.7 and $140.2, respectively	848.7	762.1
Floorplan notes payable — manufacturer affiliates, net of offset account of $16.1 and $13.4, respectively	297.4	243.1
Current maturities of long-term debt	85.5	130.3
Current operating lease liabilities	21.4	21.8
Accounts payable	509.8	488.0
Accrued expenses and other current liabilities	287.3	271.5
Current liabilities classified as held for sale	4.3	4.8
TOTAL CURRENT LIABILITIES	2,054.4	1,921.4
Long-term debt	1,903.0	1,952.2
Long-term operating lease liabilities	236.8	238.4
Deferred income taxes	247.5	238.1
Other long-term liabilities	129.0	129.8
Commitments and Contingencies (Note 12)
STOCKHOLDERS’ EQUITY:
Common stock, $0.01 par value, 50,000,000 shares authorized; 25,150,165 and 25,232,620 shares issued, respectively	0.3	0.3
Additional paid-in capital	333.6	338.7
Retained earnings	3,225.5	3,073.6
Accumulated other comprehensive income	16.7	22.5
Treasury stock, at cost; 11,007,160 and 10,940,298 shares, respectively	(1,223.7)	(1,197.5)
TOTAL STOCKHOLDERS’ EQUITY	2,352.5	2,237.5
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 6,923.2	$ 6,717.5