GROUP 1 AUTOMOTIVE INC (GPI) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:GPI • US3989051095
346.28 USD
+5.55 (+1.63%)
At close: Feb 6, 2026
346.28 USD
0 (0%)
After Hours: 2/6/2026, 8:04:00 PM
GPI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 121 industry peers in the Specialty Retail industry. While GPI is still in line with the averages on profitability rating, there are concerns on its financial health. GPI may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
- GPI had positive earnings in the past year.
- In the past year GPI had a positive cash flow from operations.
- In the past 5 years GPI has always been profitable.
- GPI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 3.57%, GPI is in the better half of the industry, outperforming 61.98% of the companies in the same industry.
- With a decent Return On Equity value of 12.15%, GPI is doing good in the industry, outperforming 67.77% of the companies in the same industry.
- GPI has a better Return On Invested Capital (8.10%) than 69.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.57% | ||
| ROE | 12.15% | ||
| ROIC | 8.1% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- GPI's Profit Margin of 1.65% is in line compared to the rest of the industry. GPI outperforms 57.85% of its industry peers.
- GPI's Profit Margin has declined in the last couple of years.
- With a decent Operating Margin value of 4.38%, GPI is doing good in the industry, outperforming 63.64% of the companies in the same industry.
- GPI's Operating Margin has declined in the last couple of years.
- GPI has a Gross Margin of 16.09%. This is amonst the worse of the industry: GPI underperforms 82.64% of its industry peers.
- In the last couple of years the Gross Margin of GPI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.38% | ||
| PM (TTM) | 1.65% | ||
| GM | 16.09% |
OM growth 3Y-14.9%
OM growth 5Y-2.77%
PM growth 3Y-31.85%
PM growth 5Y-11.37%
GM growth 3Y-4.25%
GM growth 5Y-0.38%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GPI is destroying value.
- There is no outstanding debt for GPI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- An Altman-Z score of 3.45 indicates that GPI is not in any danger for bankruptcy at the moment.
- With a decent Altman-Z score value of 3.45, GPI is doing good in the industry, outperforming 79.34% of the companies in the same industry.
- GPI has a debt to FCF ratio of 10.91. This is a negative value and a sign of low solvency as GPI would need 10.91 years to pay back of all of its debts.
- The Debt to FCF ratio of GPI (10.91) is comparable to the rest of the industry.
- A Debt/Equity ratio of 1.69 is on the high side and indicates that GPI has dependencies on debt financing.
- With a Debt to Equity ratio value of 1.69, GPI is not doing good in the industry: 66.94% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.69 | ||
| Debt/FCF | 10.91 | ||
| Altman-Z | 3.45 |
ROIC/WACC0.91
WACC8.88%
2.3 Liquidity
- GPI has a Current Ratio of 1.06. This is a normal value and indicates that GPI is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of GPI (1.06) is worse than 69.42% of its industry peers.
- A Quick Ratio of 0.25 indicates that GPI may have some problems paying its short term obligations.
- GPI has a worse Quick ratio (0.25) than 85.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.25 |
3. Growth
3.1 Past
- GPI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.67%.
- GPI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.65% yearly.
- Looking at the last year, GPI shows a quite strong growth in Revenue. The Revenue has grown by 13.23% in the last year.
- Measured over the past years, GPI shows a quite strong growth in Revenue. The Revenue has been growing by 16.32% on average per year.
EPS 1Y (TTM)3.67%
EPS 3Y-3.84%
EPS 5Y17.65%
EPS Q2Q%-14.94%
Revenue 1Y (TTM)13.23%
Revenue growth 3Y11.64%
Revenue growth 5Y16.32%
Sales Q2Q%0.61%
3.2 Future
- The Earnings Per Share is expected to grow by 10.70% on average over the next years. This is quite good.
- GPI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.49% yearly.
EPS Next Y8.16%
EPS Next 2Y8.73%
EPS Next 3Y10.64%
EPS Next 5Y10.7%
Revenue Next Year3%
Revenue Next 2Y3.36%
Revenue Next 3Y3.04%
Revenue Next 5Y4.49%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 8.51, the valuation of GPI can be described as reasonable.
- Compared to the rest of the industry, the Price/Earnings ratio of GPI indicates a rather cheap valuation: GPI is cheaper than 93.39% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.92. GPI is valued rather cheaply when compared to this.
- GPI is valuated cheaply with a Price/Forward Earnings ratio of 7.86.
- GPI's Price/Forward Earnings ratio is rather cheap when compared to the industry. GPI is cheaper than 95.04% of the companies in the same industry.
- GPI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.78.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.51 | ||
| Fwd PE | 7.86 |
4.2 Price Multiples
- 76.86% of the companies in the same industry are more expensive than GPI, based on the Enterprise Value to EBITDA ratio.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of GPI indicates a rather cheap valuation: GPI is cheaper than 86.78% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.87 | ||
| EV/EBITDA | 6.99 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.04
PEG (5Y)0.48
EPS Next 2Y8.73%
EPS Next 3Y10.64%
5. Dividend
5.1 Amount
- GPI has a yearly dividend return of 0.59%, which is pretty low.
- GPI's Dividend Yield is a higher than the industry average which is at 2.19.
- With a Dividend Yield of 0.59, GPI pays less dividend than the S&P500 average, which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
5.2 History
- On average, the dividend of GPI grows each year by 11.18%, which is quite nice.
- GPI has paid a dividend for at least 10 years, which is a reliable track record.
- GPI has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)11.18%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
- GPI pays out 6.93% of its income as dividend. This is a sustainable payout ratio.
- GPI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP6.93%
EPS Next 2Y8.73%
EPS Next 3Y10.64%
346.28
+5.55 (+1.63%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)01-29 2026-01-29/bmo
Earnings (Next)04-22 2026-04-22
Inst Owners101.63%
Inst Owner Change-2%
Ins Owners2.15%
Ins Owner Change-0.14%
Market Cap4.37B
Revenue(TTM)22.57B
Net Income(TTM)371.10M
Analysts76.92
Price Target473.03 (36.6%)
Short Float %9.32%
Short Ratio6.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
Yearly Dividend1.87
Dividend Growth(5Y)11.18%
DP6.93%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.96%
Min EPS beat(2)-3.54%
Max EPS beat(2)7.46%
EPS beat(4)3
Avg EPS beat(4)4.25%
Min EPS beat(4)-3.54%
Max EPS beat(4)9.53%
EPS beat(8)5
Avg EPS beat(8)1.34%
EPS beat(12)9
Avg EPS beat(12)2.65%
EPS beat(16)13
Avg EPS beat(16)4.09%
Revenue beat(2)2
Avg Revenue beat(2)0.81%
Min Revenue beat(2)0.43%
Max Revenue beat(2)1.18%
Revenue beat(4)4
Avg Revenue beat(4)1.66%
Min Revenue beat(4)0.41%
Max Revenue beat(4)4.62%
Revenue beat(8)7
Avg Revenue beat(8)1.11%
Revenue beat(12)11
Avg Revenue beat(12)2.03%
Revenue beat(16)14
Avg Revenue beat(16)1.36%
PT rev (1m)0%
PT rev (3m)-5.22%
EPS NQ rev (1m)-5.15%
EPS NQ rev (3m)-7.83%
EPS NY rev (1m)-0.73%
EPS NY rev (3m)-1.3%
Revenue NQ rev (1m)-2.93%
Revenue NQ rev (3m)-1.31%
Revenue NY rev (1m)-0.31%
Revenue NY rev (3m)0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.51 | ||
| Fwd PE | 7.86 | ||
| P/S | 0.19 | ||
| P/FCF | 8.87 | ||
| P/OCF | 5.62 | ||
| P/B | 1.43 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.99 |
EPS(TTM)40.71
EY11.76%
EPS(NY)44.03
Fwd EY12.72%
FCF(TTM)39.04
FCFY11.27%
OCF(TTM)61.58
OCFY17.78%
SpS1784.44
BVpS241.73
TBVpS-15.85
PEG (NY)1.04
PEG (5Y)0.48
Graham Number470.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.57% | ||
| ROE | 12.15% | ||
| ROCE | 13.98% | ||
| ROIC | 8.1% | ||
| ROICexc | 8.13% | ||
| ROICexgc | 12.78% | ||
| OM | 4.38% | ||
| PM (TTM) | 1.65% | ||
| GM | 16.09% | ||
| FCFM | 2.19% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-14.9%
OM growth 5Y-2.77%
PM growth 3Y-31.85%
PM growth 5Y-11.37%
GM growth 3Y-4.25%
GM growth 5Y-0.38%
F-Score6
Asset Turnover2.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.69 | ||
| Debt/FCF | 10.91 | ||
| Debt/EBITDA | 4.67 | ||
| Cap/Depr | 235.1% | ||
| Cap/Sales | 1.26% | ||
| Interest Coverage | 3.71 | ||
| Cash Conversion | 70.24% | ||
| Profit Quality | 132.88% | ||
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.25 | ||
| Altman-Z | 3.45 |
F-Score6
WACC8.88%
ROIC/WACC0.91
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.67%
EPS 3Y-3.84%
EPS 5Y17.65%
EPS Q2Q%-14.94%
EPS Next Y8.16%
EPS Next 2Y8.73%
EPS Next 3Y10.64%
EPS Next 5Y10.7%
Revenue 1Y (TTM)13.23%
Revenue growth 3Y11.64%
Revenue growth 5Y16.32%
Sales Q2Q%0.61%
Revenue Next Year3%
Revenue Next 2Y3.36%
Revenue Next 3Y3.04%
Revenue Next 5Y4.49%
EBIT growth 1Y9.96%
EBIT growth 3Y-4.99%
EBIT growth 5Y13.1%
EBIT Next Year13.92%
EBIT Next 3Y8.42%
EBIT Next 5Y7.78%
FCF growth 1Y1794.5%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y353.53%
OCF growth 3YN/A
OCF growth 5YN/A
GROUP 1 AUTOMOTIVE INC / GPI FAQ
Can you provide the ChartMill fundamental rating for GROUP 1 AUTOMOTIVE INC?
ChartMill assigns a fundamental rating of 4 / 10 to GPI.
Can you provide the valuation status for GROUP 1 AUTOMOTIVE INC?
ChartMill assigns a valuation rating of 7 / 10 to GROUP 1 AUTOMOTIVE INC (GPI). This can be considered as Undervalued.
What is the profitability of GPI stock?
GROUP 1 AUTOMOTIVE INC (GPI) has a profitability rating of 4 / 10.
What are the PE and PB ratios of GROUP 1 AUTOMOTIVE INC (GPI) stock?
The Price/Earnings (PE) ratio for GROUP 1 AUTOMOTIVE INC (GPI) is 8.51 and the Price/Book (PB) ratio is 1.43.
How sustainable is the dividend of GROUP 1 AUTOMOTIVE INC (GPI) stock?
The dividend rating of GROUP 1 AUTOMOTIVE INC (GPI) is 5 / 10 and the dividend payout ratio is 6.93%.