
Did a $500 Million Buyback and Dividend Boost Just Shift Group 1 Automotive's (GPI) Investment Narrative?

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Group 1 Automotive announced a $500 million share buyback authorization and a quarterly dividend of $0.50 per share, reflecting confidence in financial stability and commitment to shareholder returns. The buyback and dividend do not change the key short-term catalyst of aftermarket margin expansion or address digital competition risks. The company projects $25 billion revenue and $636.8 million earnings by 2028, requiring 4.4% yearly revenue growth. Fair value estimates range from $437.90 to $490.66 per share.
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