Here’s Why Group 1 Automotive (GPI) Rose in Q2

Alluvium Asset Management, an asset management company, released its “Conventum – Alluvium Global Fund” second-quarter 2025 investor letter. A copy of the letter can be downloaded here. It appears that the market continues to rise on news of new tariff deals. In the quarter, the Fund was up 8.5% in USD terms, 3.1% in AUD terms, but down 0.1% in EUR terms. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter, Conventum – Alluvium Global Fund highlighted stocks such as Group 1 Automotive, Inc. (NYSE:GPI). Group 1 Automotive, Inc. (NYSE:GPI) operates in the automotive retail industry, headquartered in Houston, Texas. The one-month return of Group 1 Automotive, Inc. (NYSE:GPI) was 13.31%, and its shares gained 23.36% of their value over the last 52 weeks. On August 29, 2025, Group 1 Automotive, Inc. (NYSE:GPI) stock closed at $464.78 per share, with a market capitalization of $6.01 billion.

Conventum – Alluvium Global Fund stated the following regarding Group 1 Automotive, Inc. (NYSE:GPI) in its second quarter 2025 investor letter:

“Both our auto dealerships performed well. Autonation was up 22.7% and Group 1 Automotive, Inc. (NYSE:GPI) was up 14.5%. Just like nature abhors a vacuum, markets commentators like to attribute cause to price movements. We can’t oblige in this case. All that has happened from our perspective is that these businesses continued their accession from cheap investments to those that are more fairly priced (to reach a level which is still far from expensive). Together, they account for 7.6% of the Fund.”

Group 1 Automotive, Inc. (GPI): Among the Stocks That Outperform the Broader Market

Group 1 Automotive, Inc. (NYSE:GPI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 40 hedge fund portfolios held Group 1 Automotive, Inc. (NYSE:GPI) at the end of the second quarter, which was 38 in the previous quarter. While we acknowledge the risk and potential of Group 1 Automotive, Inc. (NYSE:GPI) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Group 1 Automotive, Inc. (NYSE:GPI) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Group 1 Automotive, Inc. (NYSE:GPI) and shared a bullish thesis on the company. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.