Penske Automotive Group, Inc.’s PAG first-quarter 2016 earnings per share improved 7.1% to 90 cents from 84 cents earned a year ago. Moreover, earnings surpassed the Zacks Consensus Estimate of 87 cents. Net income rose 5.5% to $79.3 million in the reported quarter from $75.2 million a year ago. Income from continuing operations increased 4.2% to $79.3 million from $76.1 million in the year-ago quarter. Revenues grew 7.6% year over year to $4.82 billion, surpassing the Zacks Consensus Estimate of $4.77 billion. Excluding foreign exchange, total revenue increased 10%, driven by a 9.9% rise in total retail automotive sales to 111,494 units.Same-store retail revenues rose 2.5%. Same-store retail automotive revenues improved 2.7% to $4.29 billion.Gross profit went up 4.9% to $723.8 million from $689.9 million in the first quarter of 2015. Operating income augmented 6.3% to $144.1 million from $135.5 million a year ago.Segment PerformanceThe company operates under three reportable segments – Retail Automotive, U.S. Commercial Trucks, and Commercial Vehicles Australia/Power Systems and Other.Revenues from Retail Automotive rose 7.8% to $4.5 billion.Revenues from U.S. Commercial Trucks increased 7.3% to $206.7 million from $192.7 million recorded in the year-ago quarter.Revenues from Commercial Vehicles Australia/Power Systems and Other inched up 1.5% to $105 million in the reported quarter.Financial PositionPenske Automotive had cash and cash equivalents of $45.6 million as of Mar 31, 2016, down from $62.4 million as of Dec 31, 2015. Long-term debt was $1.38 billion as of Mar 31, 2016, up from $1.28 billion as of Dec 31, 2015.Share RepurchasesDuring the first quarter of 2016, Penske Automotive repurchased 4.5 million shares for a total of $167.9 million. As of Mar 31, 2016, the company has $32.1 million remaining under its current share repurchase authorization.Acquisition UpdateIn Apr 2016, Penske Automotive’s subsidiary, Premier Truck Group announced the acquisition of Harper Truck Centres, a Freightliner, Western Star, Thomas Built Bus and Fuso commercial truck dealership. This group operates in Ontario, Canada.The Harper Truck Centres group operates through five dealerships in the greater Toronto market area and services Highway 401, a major access route for trucks between Buffalo, NY and Detroit, MI. Penske Automotive expects this acquisition to add annual revenues of $130 million.Zacks RankCurrently, Penske Automotive carries a Zacks Rank #4 (Sell).Some better-ranked automobile stocks include Lear Corp. LEA, Federal-Mogul Holdings Corporation FDML and Superior Industries International, Inc. SUP. All three stocks sport a Zacks Rank #1 (Strong Buy).Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report PENSKE AUTO GRP (PAG): Free Stock Analysis Report SUPERIOR INDS (SUP): Free Stock Analysis Report LEAR CORPORATN (LEA): Free Stock Analysis Report FEDERAL MOGUL-A (FDML): Free Stock Analysis Report To read this article on Zacks.com click here.