KeyBanc Downgrades Penske Automotive Group (PAG) to Sector Weight

KeyBanc downgraded Penske Automotive Group (NYSE: PAG) from Overweight to Sector Weight and removed its price target. Analyst Brett Hoselton noted risk from exposure to the U.K.

"Downgrading to SW: 1) we are lowering our 2017 earnings outlook by 10% driven by a potential slowdown in car sales in the U.K. and FX headwinds following Brexit decision, as well as higher interest expense from recently completed debt offering; and 2) multiple discount is likely to persist mid-term in light of the highly uncertain U.K. outlook, which is ~35% of revenue mix," said Hoselton.

For an analyst ratings summary and ratings history on Penske Automotive Group click here. For more ratings news on Penske Automotive Group click here.

Shares of Penske Automotive Group closed at $31.72 yesterday.

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