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Auto Trader Group Executes Share Buyback to Optimize Capital Structure

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Auto Trader Group Executes Share Buyback to Optimize Capital Structure

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Auto Trader ( (GB:AUTO) ) just unveiled an update.

Auto Trader Group plc has announced a significant transaction involving the repurchase of 375,200 of its ordinary shares for cancellation, executed through Merrill Lynch International at an average price of 780.9219 pence per share. This move is part of a broader buyback programme, which may impact the company’s share value and voting rights, reflecting a strategic effort to manage its capital structure and potentially enhance shareholder value.

The most recent analyst rating on (GB:AUTO) stock is a Sell with a £7.65 price target. To see the full list of analyst forecasts on Auto Trader stock, see the GB:AUTO Stock Forecast page.

Spark’s Take on GB:AUTO Stock

According to Spark, TipRanks’ AI Analyst, GB:AUTO is a Outperform.

Auto Trader’s strong financial performance and positive earnings call are the primary drivers of its score. However, technical indicators suggest bearish momentum, and valuation metrics indicate moderate attractiveness. Challenges highlighted in the earnings call, such as the digital services tax and declining used car prices, also weigh on the overall score.

To see Spark’s full report on GB:AUTO stock, click here.

More about Auto Trader

Auto Trader Group plc operates in the automotive industry, primarily offering a digital marketplace for buying and selling new and used vehicles. The company focuses on connecting car buyers and sellers through its online platform, serving a wide range of stakeholders including individual consumers, car dealerships, and manufacturers.

Average Trading Volume: 1,844,412

Technical Sentiment Signal: Hold

Current Market Cap: £6.71B

Learn more about AUTO stock on TipRanks’ Stock Analysis page.

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