PAG
Penske Corporation (NYSE: PAG) and Mitsui & Co.
Article Summary
HOLD- Penske Corporation (NYSE: PAG) and Mitsui & Co. (TSE: 8031) submitted a $210-per-share all-cash offer to acquire publicly held shares of Penske Automotive Group they do not already own, valuing the free-float buyout at approximately $3.8 billion, according to an amended Schedule 13D filed with the SEC on Wednesday, July 22.
- The offer represents roughly 7.6% premium to PAG's closing price on Tuesday and clears the stock's prior 52-week high of $207.22, while the $210 bid sits above the ceiling of PAG's recent trading range of $140.12.
- The proposal is non-binding and a formal transaction would require review by the board, with standard practice for the board to form a special committee of independent directors to evaluate the offer on behalf of minority shareholders, though no such committee formation has been publicly reported as of Wednesday.
- Penske Automotive Group had gained approximately 25.
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Growth Stock Scoring Breakdown
| METRIC | VALUE | WEIGHT | ANALYSIS |
|---|---|---|---|
| Sales Growth TTM ? | 1.2% | 25% | 20.0 ptsMinimal (1.2%) - Very weak |
| EPS Growth Next 5Y ? | 5.1% | 25% | 20.0 ptsWeak (5.1%) - Low expectations |
| Target Price Upside ? | 10.8% above | 20% | 0.0 ptsAbove Target (10.8% above) - Target: $191.50 vs Current: $214.57 |
| Gross Margin % ? | 15.9% | 15% | 20.0 ptsThin (15.9%) - Low-margin business |
| Drawdown from 52-Wk High ? | 3.6% | 15% | 20.0 ptsBarely a Dip (3.6%) - Near recent highs |
Disclaimer: This rating is for informational purposes only and is not financial advice.
All data sourced from Finviz.
Always conduct your own research and consult with a financial advisor before making investment decisions.
Past performance does not guarantee future results.
About PAG
- Penske Automotive Group, Inc., a diversified transportation services company, operates automotive and commercial truck dealerships in the United States, the United Kingdom, Germany, Italy, Japan, Canada, Australia, New Zealand, and internationally.
- It operates through four segments: Retail Automotive, Retail Commercial Truck, Other, and Non-Automotive Investments.
- The company operates franchise dealerships under franchise agreements with various automotive manufacturers and distributors.
- It is also involved in the sale of new and used vehicles, maintenance and repair services, sale and placement of third-party finance and insurance products, third-party extended service and maintenance contracts, replacement and aftermarket automotive products, collision repair services, and wholesale of parts.
- In addition, the company operates a heavy and medium duty truck dealership, which offers Freightliner and Western Star branded trucks, as well as offers a range of used trucks.
- Further, it imports and distributes Western Star heavy-duty trucks, MAN heavy and medium duty trucks and buses, and Dennis Eagle refuse collection vehicles with associated parts, as well as distributes diesel and gas engines, and power systems.
- Penske Automotive Group, Inc. was incorporated in 1990 and is headquartered in Bloomfield Hills, Michigan.
- Penske Automotive Group, Inc. operates as a subsidiary of Penske Corporation, Inc.