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GPI

Group 1 Automotive Inc. Common Stock (GPI) fair value

Consumer Cyclical · Auto & Truck Dealerships · NYSE · United States
$244.97+0.90%
Market cap $2.9BNext earnings 2026-10-28Updated Oct 19, 2026
Add earnings to calendarGoogle
Our verdict
Trades 48% below our fair value
Price
$244.97
Model fair valueConfidence: good
$467
Model range
$366 to $670
Fair value $467
Price $245
2 models fit Group 1 Automotive Inc. Common Stock and they disagree: 0 of 2 land within 15% of the average. The price is below every model.
Two or more of our models back this value.
Large discount(i)Bronze43
Valued as a mature, profitable company: Discounted cash flow, P/E comparison, EV/EBITDA comparison, Graham number, and Dividend discount.
ACCE opinionGroup 1 Automotive Inc. Common Stock (GPI)
Fair value (2 models)
$467
ACCE price target
$265
Rating
Undervalued
Horizon
12 months
Fair value published on 19 Oct 2026, 18:04 CEST; previously $343 since 30 Sept 2026, 00:00 CEST.
ACCE price target published on 11 Oct 2026, 00:00 CEST.
Rating published on 19 Oct 2026, 18:04 CEST.
Price used: $245 at the close on 23 Oct 2026, 22:00 CEST.
Models: P/E comparison and Graham number.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Full methodology
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
47.6% below
+90.7% to fair value
ACCE score
39
out of 100
Analysts
67% buy
12 covering
P/E
10.1x
forward 5.7x
1-year return
-43.2%
Dividend yield
0.04%

Group 1 Automotive Inc. Common Stock in four questions

Plain answers, details below
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OverviewAsk ACCEValuationQualityAnalystsSmart MoneyCompareNews and Record

Overview

ACCE thesis

Group 1 Automotive runs a network of franchised new and used car dealerships across the US, the UK and Brazil, with a large parts, service and finance and insurance (F&I) business that carries far higher margins than vehicle sales. The structural case rests on that aftermarket mix: service and parts revenue is recurring and tends to hold up when new-vehicle volumes soften, and the franchise model gives the company manufacturer relationships that are hard for independents to replicate. The near-term catalyst is a normalisation in new-vehicle affordability and inventory, which would lift unit volumes and the F&I income attached to each sale. The stock is interesting now mainly on valuation: it trades at 10.0x trailing and 5.7x forward earnings, yet revenue is down 5.6% and operating margin is only 3.8%, so the discount reflects a cyclical earnings trough that the market is not yet willing to call a bottom. The score of 39/100 and absence from major indices mean this is a name that needs a deeper look at margin recovery and cash conversion before any conclusion is reached.

AI-assisted·How I use AIWritten Oct 18, 2026
⚠ Investor warnings · 3 flagsAI-assisted·How I use AI
  • high
    Leverage with shrinking earnings
    Debt/Equity of 2.10 sits alongside revenue down 5.6% YoY and earnings down 20.1%. Less earnings cushion makes the debt load harder to carry.
  • moderate
    Heavy short interest
    Short interest is 17.6% of float. A high short position signals that a meaningful group of investors expects further weakness.
  • moderate
    Score slipping over 90 days
    The ACCE Score fell from 43 to 39 over 90 days. Quality (34) and momentum (17) are the weak components.

AI research notes

AI-assisted·How I use AIWritten Oct 19, 2026 · figures from 2026-06-30 · prices to Oct 23, 2026
Why it could do well
  • Shares trade at 5.9 times forward earnings against a sector median of 17.6 times, a steep discount.
  • Free cash flow over the last twelve months reached $375M, a 13.0% yield on the current share price.
  • The share count fell 4.1% last year, so each remaining share claims a larger slice of the business.
Why it could disappoint
  • Revenue fell 5.6% year over year, reversing a five-year average growth rate of 16.3% a year.
  • Return on invested capital of 3.1% and a net margin of 1.3% leave little profit from each dollar of sales.
  • Debt equals 2.10 times equity, and the latest quarterly earnings missed expectations by 10.9%.
Each chip shows the exact figure and where it comes from. A claim without a source is not published.

Next results

Oct 28, 2026
We update the fair value about 2 days after the results, once the new figures are filed.Add to calendarGoogle

Walk me through this stock

Plain-English pros, cons, and what to watch. Pro feature.

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Ask ACCE

Valuation

INVESTOR
Where GPI's valuation models land
Price
$244.97
Model fair value
$467
Model range
$366 to $670
Fair value $467
Price $245
The price is below the whole model range.
Model
Fair value
Upside
Discounted cash flow
Dividend discount
EV/EBITDA comparison
Graham number
P/E comparison
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See what each model says, the assumptions behind it, the bad, normal and good cases, and why the fair value changed.

Quality

INVESTOR
Quality and conviction INVESTOR FEATURE

The full quality picture: a reason under every score, how the scores moved, and the conviction breakdown.

  • +A plain reason under every score
  • +Conviction breakdown and growth / value / quality / momentum scores
  • +Score history: how each score moved over time

Analysts

Wall Street consensus

Bullish67% buy · 12 covering analysts
● Strong buy 7● Buy 1● Hold 3● Sell 0● Strong sell 1
Analyst intelligence INVESTOR FEATURE

The full analyst picture: the price-target distribution against the current price, forward consensus estimates, and how ACCE's own models compare.

  • +Price-target low / average / high vs the current price, with implied upside
  • +Forward revenue and EPS consensus by fiscal year
  • +ACCE fair-value models lined up against the Street

Smart Money

PRO

In one line

Trades are only made public after a delay. We show the delay so you know how old the news is.

Company insiders
No trades filed
Last 90 days
Congress
No trades filed
Last 180 days
Average delay
No trades filed
From trade to public filing
Do politicians beat the market? Our backtest →
Smart money tracking PRO FEATURE

Follow the informed money: 13F position changes, insider and Congress trades, and 13D activist filings.

  • +Quarter-over-quarter institutional position changes
  • +Every insider and Congress trade, with how late it was disclosed
  • +Active 13D activist filings and top holders

Compare

Where it sits vs peers

News and Record

Press releases mentioning this company

Recent performance

1 week
+1.1%
1 month
-1.0%
3 months
-26.0%
6 months
-28.2%
YTD
-37.7%
1 year
-43.2%

SEC filings

Recommendation history, last 12 months

DateTypeNewPreviousPrice
19 Oct 2026, 18:04 CESTFair value$467$343$242
19 Oct 2026, 18:04 CESTRatingUndervaluedfirst publication$242
11 Oct 2026, 00:00 CESTACCE price target$265first publication$232
30 Sept 2026, 00:00 CESTFair value$343$352$242
27 Sept 2026, 00:00 CESTFair value$352$345$252
20 Sept 2026, 00:00 CESTFair value$345$352$246
17 Sept 2026, 00:00 CESTFair value$352$357$275
10 Sept 2026, 00:00 CESTFair value$357$364$282
30 Aug 2026, 00:00 CESTFair value$364$382$264
22 Aug 2026, 00:00 CESTFair value$382$377$263

This analysis is not personalised investment advice and does not take your situation, objectives or risk tolerance into account. ACCE Investments is not an authorised investment firm.

Investing in shares carries a risk of losing capital. The value of an investment can go down as well as up.

Valuation horizon: 12 months from the publication date.

Conflicts of interest. ACCE Investments is operated by Adrien Chantreuil, who may hold personal positions in the securities analysed. Positions are declared on each security. ACCE receives no payment from the companies analysed or from any intermediary for this analysis.

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Snapshot

Growth7Value96Quality34Momentum17Total39
Valuation
Trailing P/E
10.1x
Forward P/E
5.7x
PEG
0.29
P/B
1.02x
EV / Revenue
0.4x
Book value/sh
$250.24
Enterprise value
$8.6B
Profitability
ROE
9.5%
FCF yield
13.99%
ROIC
3.1%
Health and risk
Debt / equity
2.10
Dividend yield
0.04%
Beta
0.92

Price

-42.2% · 1Y

Ask anything about GPI

Answered from Group 1 Automotive Inc. Common Stock fundamentals + recent valuations. Every number shows its source and date.

This stock Peer Peer median weaker → stronger
P/Ebetter than 67% of peers
low 6.1x10.1xhigh 188.0x
ROEbetter than 33% of peers
low 1%9%high 28%
Div yieldbetter than 33% of peers
low 0.0%0.0%high 5.4%

Peers

Prices Oct 23, 2026
CompanyPriceFair valuevs fair valueP/EROEQualityScore
GPI Group 1 Automotive Inc. Common Stock$244.97$46748% below10.1x9.5%3439
INCH.L Inchcape plc£6.26£1144% below9.3x19.4%5353
ABG Asbury Automotive Group Inc Common Stock$173.43$38855% below6.1x13.2%4344
BYD.TO Boyd Group Services Inc.C$116.54C$1106% above188.0x0.7%4243
APE.AX Eagers Automotive LimitedA$18.45A$1523% above21.4x13.2%3946
BGSI Boyd Group Services Inc. Common Shares$83.44$83At fair value181.4x0.7%4245
VVV Valvoline Inc. Common Stock$32.44$4121% below39.0x28.4%6160

Sector report card

Where GPI ranks against its sector peers on each metric.

Computing percentiles…
  • PR Newswire•Oct 7, 2026
    Group 1 Automotive Schedules Release of Third Quarter 2026 Financial Results
  • PR Newswire•Sep 22, 2026
    Group 1 Automotive Closes $1,250.0 Million Offering of Senior Notes
  • PR Newswire•Sep 22, 2026
    Group 1 Automotive Appoints Benjamin Hart to Board of Directors
12 more press releases · full archive on Investor+.INVESTOR
40 filings
October 2026
Oct 21
8-KCurrent reportPeriod 2026-10-19
View on SEC →
September 2026
Sep 30
Form 4Insider transactionPeriod 2026-09-28
View on SEC →
Sep 28
Form 4Insider transactionPeriod 2026-09-24
View on SEC →
37 more filings + AI summaries on Investor+.INVESTOR