PENSKE AUTOMOTIVE GROUP, INC. (PAG) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does PENSKE AUTOMOTIVE GROUP, INC. Do?
Penske Automotive Group, Inc., a diversified transportation services company, operates automotive and commercial truck dealerships. The company operates through four segments: Retail Automotive, Retail Commercial Truck, Other, and Non-Automotive Investments. It operates dealerships under franchise agreements with various automotive manufacturers and distributors. The company engages in the sale of new and used motor vehicles, and related products and services comprise vehicle and collision repair services, as well as placement of finance and lease contracts, third-party insurance products, and other aftermarket products; and wholesale of parts. It also operates a heavy and medium duty truck dealership, which offers Freightliner and Western Star branded trucks, as well as a range of used trucks, and maintenance and repair services. In addition, it imports and distributes Western Star heavy-duty trucks, MAN heavy and medium duty trucks, buses, and Dennis Eagle refuse collection vehicles with associated parts in Australia, New Zealand, and portions of the Pacific. Further, the company distributes diesel and gas engines, and power systems. The company operates 320 retail automotive franchises, including 146 franchises located in the United States and 174 franchises located outside of the United States; 23 CarShop used vehicle dealerships in the United States and the United Kingdom; and 37 commercial truck dealerships in Texas, Oklahoma, Tennessee, Georgia, Utah, Idaho, Kansas, Missouri, and Oregon, as well as Canada. Penske Automotive Group, Inc. was incorporated in 1990 and is headquartered in Bloomfield Hills, Michigan. PENSKE AUTOMOTIVE GROUP, INC. (PAG) is classified as a mid-cap stock in the Consumer Discretionary sector, specifically within the Retail industry. The company is led by CEO Roger S. Penske and employs approximately 26,500 people, headquartered in Bloomfield Hills, Michigan. With a market capitalization of $9.8B, PAG is one of the notable companies in the Consumer Discretionary sector.
PENSKE AUTOMOTIVE GROUP, INC. (PAG) Stock Rating — Hold (April 2026)
As of April 2026, PENSKE AUTOMOTIVE GROUP, INC. receives a Hold rating with a composite score of 47.1/100 and 3 out of 5 stars from the Blank Capital Research quantitative model.PAG ranks #1,664 out of 4,446 stocks in our coverage universe. Within the Consumer Discretionary sector, PENSKE AUTOMOTIVE GROUP, INC. ranks #142 of 442 stocks, placing it in the upper half of its Consumer Discretionary peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
PAG Stock Price and 52-Week Range
PENSKE AUTOMOTIVE GROUP, INC. (PAG) currently trades at $156.12. The stock gained $0.97 (0.6%) in the most recent trading session. The 52-week high for PAG is $189.51, which means the stock is currently trading -17.6% from its annual peak. The 52-week low is $134.05, putting the stock 16.5% above its annual trough. Recent trading volume was 172K shares, suggesting relatively thin trading activity.
Is PAG Overvalued or Undervalued? — Valuation Analysis
PENSKE AUTOMOTIVE GROUP, INC. (PAG) carries a value factor score of 73/100 in the Blank Capital model, suggesting the stock trades at a meaningful discount to its fundamental earning power. The trailing price-to-earnings ratio is 9.96x, compared to the Consumer Discretionary sector average of 24.47x — a discount of 59%. The price-to-book ratio stands at 1.75x, versus the sector average of 1.99x. The price-to-sales ratio is 0.31x, compared to 0.27x for the average Consumer Discretionary stock. On an enterprise value basis, PAG trades at 9.30x EV/EBITDA, versus 4.91x for the sector.
Based on these multiples, PENSKE AUTOMOTIVE GROUP, INC. appears attractively valued relative to both its sector peers and the broader market. Value-oriented investors may find the current entry point compelling, particularly if the company's fundamental quality metrics also score well.
PENSKE AUTOMOTIVE GROUP, INC. Profitability — ROE, Margins, and Quality Score
PENSKE AUTOMOTIVE GROUP, INC. (PAG) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 17.5%, compared to the Consumer Discretionary sector average of 6.2%, which is within a healthy range. Return on assets (ROA) comes in at 5.6% versus the sector average of 2.5%.
On a margin basis, PENSKE AUTOMOTIVE GROUP, INC. reports gross margins of 16.5%, compared to 36.9% for the sector. The operating margin is 4.0% (sector: 3.8%). Net profit margin stands at 3.1%, versus 2.1% for the average Consumer Discretionary stock. Revenue growth is running at 4.6% on a trailing basis, compared to 3.3% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.
PAG Debt, Balance Sheet, and Financial Health
PENSKE AUTOMOTIVE GROUP, INC. has a debt-to-equity ratio of 39.0%, compared to the Consumer Discretionary sector average of 89.0%. The low leverage indicates a conservative balance sheet with significant financial flexibility. The current ratio is 0.99x, which may signal near-term liquidity tightness. Total debt on the balance sheet is $2.17B. Cash and equivalents stand at $80M.
PAG has a beta of 0.69, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for PENSKE AUTOMOTIVE GROUP, INC. is 80/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.
PENSKE AUTOMOTIVE GROUP, INC. Revenue and Earnings History — Quarterly Trend
In TTM 2026, PENSKE AUTOMOTIVE GROUP, INC. reported revenue of $31.63B and earnings per share (EPS) of $14.13. Net income for the quarter was $978M. Gross margin was 16.5%. Operating income came in at $1.28B.
In FY 2025, PENSKE AUTOMOTIVE GROUP, INC. reported revenue of $31.81B and earnings per share (EPS) of $14.13. Net income for the quarter was $938M. Gross margin was 16.4%. Revenue grew 4.4% year-over-year compared to FY 2024. Operating income came in at $1.28B.
In Q3 2025, PENSKE AUTOMOTIVE GROUP, INC. reported revenue of $8.05B and earnings per share (EPS) of $3.41. Net income for the quarter was $225M. Gross margin was 16.1%. Revenue grew 6.1% year-over-year compared to Q3 2024. Operating income came in at $299M.
In Q2 2025, PENSKE AUTOMOTIVE GROUP, INC. reported revenue of $8.03B and earnings per share (EPS) of $4.03. Net income for the quarter was $268M. Gross margin was 16.8%. Revenue grew 4.4% year-over-year compared to Q2 2024. Operating income came in at $348M.
Over the past 8 quarters, PENSKE AUTOMOTIVE GROUP, INC. has demonstrated a growth trajectory, with revenue expanding from $7.70B to $31.63B. Investors analyzing PAG stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
PAG Dividend Yield and Income Analysis
PENSKE AUTOMOTIVE GROUP, INC. (PAG) currently pays a dividend yield of 2.9%. At this yield, a $10,000 investment in PAG stock would generate approximately $$287.00 in annual dividend income.
PAG Momentum and Technical Analysis Profile
PENSKE AUTOMOTIVE GROUP, INC. (PAG) has a momentum factor score of 38/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 31/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 5/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
PAG vs Competitors — Consumer Discretionary Sector Ranking and Peer Comparison
Within the Consumer Discretionary sector, PENSKE AUTOMOTIVE GROUP, INC. (PAG) ranks #142 out of 442 stocks based on the Blank Capital composite score. This places PAG in the upper half of all Consumer Discretionary stocks in our coverage universe. Key competitors and sector peers include MONARCH CASINO & RESORT INC (MCRI) with a score of 50.5/100, CASEYS GENERAL STORES INC (CASY) with a score of 57.3/100, INGLES MARKETS INC (IMKTA) with a score of 51.0/100, FIVE BELOW, INC (FIVE) with a score of 51.6/100, and TARGET CORP (TGT) with a score of 52.6/100.
Comparing PAG against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full PAG vs S&P 500 (SPY) comparison to assess how PENSKE AUTOMOTIVE GROUP, INC. stacks up against the broader market across all factor dimensions.
PAG Next Earnings Date
No upcoming earnings date has been announced for PENSKE AUTOMOTIVE GROUP, INC. (PAG) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy PAG? — Investment Thesis Summary
PENSKE AUTOMOTIVE GROUP, INC. presents a balanced picture with arguments on both sides. The value score of 73/100 suggests attractive pricing relative to fundamentals. Momentum is weak at 38/100, a headwind for near-term performance. Low volatility (stability score 80/100) reduces downside risk.
In summary, PENSKE AUTOMOTIVE GROUP, INC. (PAG) earns a Hold rating with a composite score of 47.1/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on PAG stock.
Related Resources for PAG Investors
Explore more research and tools: PAG vs S&P 500 comparison, top Consumer Discretionary stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare PAG head-to-head with peers: PAG vs MCRI, PAG vs CASY, PAG vs IMKTA.