Group 1 Automotive (GPI) Competitors

CarMax (NYSE:KMX) and Group 1 Automotive (NYSE:GPI) are both retail/wholesale companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, community ranking, dividends, risk, media sentiment, institutional ownership, earnings, profitability and analyst recommendations.

Is KMX or GPI more profitable?

Group 1 Automotive has a net margin of 2.68% compared to CarMax's net margin of 1.61%. Group 1 Automotive's return on equity of 18.83% beat CarMax's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
CarMax	1.61%	6.83%	1.53%
Group 1 Automotive	2.68%	18.83%	6.23%

Does the media prefer KMX or GPI?

In the previous week, Group 1 Automotive had 5 more articles in the media than CarMax. MarketBeat recorded 9 mentions for Group 1 Automotive and 4 mentions for CarMax. CarMax's average media sentiment score of 0.44 beat Group 1 Automotive's score of 0.01 indicating that CarMax is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
CarMax	2 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Group 1 Automotive	3 Very Positive mention(s)	0 Positive mention(s)	5 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Do analysts recommend KMX or GPI?

CarMax presently has a consensus target price of $79.73, suggesting a potential upside of 10.27%. Group 1 Automotive has a consensus target price of $396.80, suggesting a potential upside of 9.56%. Given CarMax's higher probable upside, equities analysts plainly believe CarMax is more favorable than Group 1 Automotive.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CarMax	3 Sell rating(s)	4 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	2.23
Group 1 Automotive	0 Sell rating(s)	1 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.80

Does the MarketBeat Community prefer KMX or GPI?

CarMax received 239 more outperform votes than Group 1 Automotive when rated by MarketBeat users. Likewise, 63.49% of users gave CarMax an outperform vote while only 59.74% of users gave Group 1 Automotive an outperform vote.

Company	Underperform	Outperform
CarMax	Outperform Votes 699 63.49%	Underperform Votes 402 36.51%
Group 1 Automotive	Outperform Votes 460 59.74%	Underperform Votes 310 40.26%

Which has preferable earnings & valuation, KMX or GPI?

Group 1 Automotive has lower revenue, but higher earnings than CarMax. Group 1 Automotive is trading at a lower price-to-earnings ratio than CarMax, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CarMax	$26.54B	0.42	$479.20M	$2.66	27.18
Group 1 Automotive	$18.87B	0.26	$601.60M	$37.53	9.65

Do institutionals & insiders have more ownership in KMX or GPI?

99.9% of Group 1 Automotive shares are held by institutional investors. 1.7% of CarMax shares are held by company insiders. Comparatively, 1.7% of Group 1 Automotive shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Which has more risk and volatility, KMX or GPI?

CarMax has a beta of 1.68, meaning that its stock price is 68% more volatile than the S&P 500. Comparatively, Group 1 Automotive has a beta of 1.32, meaning that its stock price is 32% more volatile than the S&P 500.

Summary

CarMax and Group 1 Automotive tied by winning 9 of the 18 factors compared between the two stocks.