Group 1 Automotive (GPI) Competitors

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

Which has higher valuation and earnings, GPI or KMX?

Group 1 Automotive has higher earnings, but lower revenue 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
Group 1 Automotive	$19.93B	0.28	$498.10M	$36.75	11.46
CarMax	$25.98B	0.44	$479.20M	$2.95	25.19

Do analysts prefer GPI or KMX?

Group 1 Automotive presently has a consensus target price of $460.33, indicating a potential upside of 9.28%. CarMax has a consensus target price of $90.45, indicating a potential upside of 21.74%. Given CarMax's higher probable upside, analysts clearly believe CarMax is more favorable than Group 1 Automotive.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Group 1 Automotive	0 Sell rating(s)	1 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.83
CarMax	2 Sell rating(s)	4 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.38

Is GPI or KMX more profitable?

Group 1 Automotive has a net margin of 2.47% compared to CarMax's net margin of 1.77%. Group 1 Automotive's return on equity of 18.09% beat CarMax's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Group 1 Automotive	2.47%	18.09%	5.64%
CarMax	1.77%	7.49%	1.69%

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

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

Does the media favor GPI or KMX?

In the previous week, CarMax had 13 more articles in the media than Group 1 Automotive. MarketBeat recorded 18 mentions for CarMax and 5 mentions for Group 1 Automotive. Group 1 Automotive's average media sentiment score of 1.46 beat CarMax's score of 1.36 indicating that Group 1 Automotive is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Group 1 Automotive	5 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
CarMax	12 Very Positive mention(s)	3 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Does the MarketBeat Community favor GPI or KMX?

CarMax received 238 more outperform votes than Group 1 Automotive when rated by MarketBeat users. Likewise, 63.20% of users gave CarMax an outperform vote while only 59.90% of users gave Group 1 Automotive an outperform vote.

Company	Underperform	Outperform
Group 1 Automotive	Outperform Votes 466 59.90%	Underperform Votes 312 40.10%
CarMax	Outperform Votes 704 63.20%	Underperform Votes 410 36.80%

Which has more volatility and risk, GPI or KMX?

Group 1 Automotive has a beta of 1.33, meaning that its share price is 33% more volatile than the S&P 500. Comparatively, CarMax has a beta of 1.76, meaning that its share price is 76% more volatile than the S&P 500.

Summary

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