My thoughts about the Group 1 1Q07 call (04/30/07)
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With Group 1, I would encourage you to focus on some of the metrics I provided above. 

In particular how operating profit per store (despite some pretty tough hurricane rebuild comparison headwinds this year in the first quarter) actually remained flat.  And also the 9.3% 2007 earnings yield (the most attractive among all of the players) and 1.3% dividend yield.  Now current earnings yields do not tell you future returns.  So clearly the investors are saying Group 1 is unlikely to grow like the rest of the auto retailers.  I’m not convinced that is the case (and why I rank them #3.) 

To illustrate just how much of a standup CEO Earl Hesterberg is, one who I think takes a ...

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Related Companies: Group 1 Automotive

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