Penske Automotive Group Inc
NYSE:PAG

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Penske Automotive Group Inc
NYSE:PAG
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Price: 152.53 USD Market Closed
Market Cap: 10.2B USD
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Gross Margin
Penske Automotive Group Inc

16.5%
Current
17%
Average
32.9%
Industry

Gross Margin is the amount of money a company retains after incurring the direct costs associated with producing the goods it sells and the services it provides. The higher the gross margin, the more capital a company retains, which it can then use to pay other costs or satisfy debt obligations.

Gross Margin
16.5%
=
Gross Profit
4.9B
/
Revenue
30B

Gross Margin Across Competitors

Country US
Market Cap 10.2B USD
Gross Margin
16%
Country US
Market Cap 69.7B USD
Gross Margin
51%
Country US
Market Cap 55.9B USD
Gross Margin
53%
Country US
Market Cap 40.9B USD
Gross Margin
20%
Country ZA
Market Cap 20B Zac
Gross Margin
21%
Country US
Market Cap 12.6B USD
Gross Margin
11%
Country TW
Market Cap 334.8B TWD
Gross Margin
12%
Country ZA
Market Cap 10.1B Zac
Gross Margin
0%
Country US
Market Cap 10B USD
Gross Margin
11%
Country US
Market Cap 9.3B USD
Gross Margin
16%
Country US
Market Cap 6.9B USD
Gross Margin
18%
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Penske Automotive Group Inc
Glance View

Economic Moat
None
Market Cap
10.2B USD
Industry
Retail

Penske Automotive Group Inc., a name synonymous with automotive excellence, operates a sprawling network of retail automotive dealerships across the world. Founded by the legendary automotive entrepreneur Roger Penske, the company has grown to become one of the largest and most diversified automotive retailers in the world. At its core, Penske Automotive excels through its strategic acquisition model, buying and managing high-performance car dealerships primarily across the United States, the United Kingdom, and Australia. This model allows Penske to leverage economies of scale, benefit from geographic diversification, and sharpen operational efficiencies. Each dealership is equipped to provide a comprehensive range of services that cater to every consumer need, from new and pre-owned vehicle sales to offering parts and services that ensure each vehicle continues to perform at its peak. The magic in Penske's financial model lies in its ability to diversify revenue streams within the dealership. The direct sale of vehicles, both new and certified pre-owned, forms the bedrock of their revenue. However, the company deftly amplifies profitability by cultivating a robust parts and service business, providing essential maintenance and repairs that ensure customer loyalty long after the initial sale. Additionally, Penske enhances its financial performance through its finance and insurance (F&I) offerings, which include vehicle warranties, insurance products, and leasing agreements that add high-margin revenue. This combination of diversified revenue avenues not only shields the company against market volatility but also drives consistent growth, reinforcing its status as a leader in the automotive retail sector.

PAG Intrinsic Value
200.43 USD
Undervaluation 24%
Intrinsic Value
Price
What is Gross Margin?

Gross Margin is the amount of money a company retains after incurring the direct costs associated with producing the goods it sells and the services it provides. The higher the gross margin, the more capital a company retains, which it can then use to pay other costs or satisfy debt obligations.

Gross Margin
16.5%
=
Gross Profit
4.9B
/
Revenue
30B
What is the Gross Margin of Penske Automotive Group Inc?

Based on Penske Automotive Group Inc's most recent financial statements, the company has Gross Margin of 16.5%.