J.P. Morgan Maintains Neutral Rating On Penske Automotive Group

According to J.P. Morgan, Penske Automotive Group PAG Neutral rating is maintained. J.P. Morgan said that it left FY2011 and FY2012 EPS unchanged primarily because we are now penciling higher SG&A. “We continue to expect gross margins of new and used vehicles to decline as inventories return to normal levels. We leave our Dec 2011 price target of $23 unchanged.” Penske Automotive Group closed yesterday at $23.40.