ASBURY AUTOMOTIVE GROUP (ABG) Stock Fundamental Analysis
NYSE:ABG - US0434361046 - Common Stock
251.355 USD
-0.19 (-0.07%)
Overall ABG gets a fundamental rating of 5 out of 10. We evaluated ABG against 123 industry peers in the Specialty Retail industry. Both the profitability and the financial health of ABG get a neutral evaluation. Nothing too spectacular is happening here. ABG is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings would make ABG suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year ABG was profitable.
In the past year ABG had a positive cash flow from operations.
ABG had positive earnings in each of the past 5 years.
Each year in the past 5 years ABG had a positive operating cash flow.
1.2 Ratios
ABG has a Return On Assets of 5.33%. This is in the better half of the industry: ABG outperforms 69.92% of its industry peers.
The Return On Equity of ABG (14.30%) is better than 70.73% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.25%, ABG is in the better half of the industry, outperforming 70.73% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ABG is below the industry average of 12.10%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.33% | ||
| ROE | 14.3% | ||
| ROIC | 8.25% |
ROA(3y)7.51%
ROA(5y)7.22%
ROE(3y)21.73%
ROE(5y)23.68%
ROIC(3y)9.95%
ROIC(5y)9.48%
1.3 Margins
Looking at the Profit Margin, with a value of 3.13%, ABG is in the better half of the industry, outperforming 68.29% of the companies in the same industry.
ABG's Profit Margin has been stable in the last couple of years.
With a decent Operating Margin value of 5.75%, ABG is doing good in the industry, outperforming 72.36% of the companies in the same industry.
ABG's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 17.05%, ABG is doing worse than 82.11% of the companies in the same industry.
ABG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.75% | ||
| PM (TTM) | 3.13% | ||
| GM | 17.05% |
OM growth 3Y-10.52%
OM growth 5Y4.29%
PM growth 3Y-22.64%
PM growth 5Y-0.38%
GM growth 3Y-3.91%
GM growth 5Y1.13%
2. Health
2.1 Basic Checks
ABG has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for ABG has been reduced compared to 1 year ago.
ABG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ABG has been reduced compared to a year ago.
2.2 Solvency
ABG has an Altman-Z score of 3.06. This indicates that ABG is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.06, ABG is in the better half of the industry, outperforming 69.11% of the companies in the same industry.
ABG has a debt to FCF ratio of 5.94. This is a neutral value as ABG would need 5.94 years to pay back of all of its debts.
The Debt to FCF ratio of ABG (5.94) is better than 60.98% of its industry peers.
A Debt/Equity ratio of 1.13 is on the high side and indicates that ABG has dependencies on debt financing.
ABG has a Debt to Equity ratio (1.13) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | 5.94 | ||
| Altman-Z | 3.06 |
ROIC/WACC0.96
WACC8.61%
2.3 Liquidity
A Current Ratio of 1.30 indicates that ABG should not have too much problems paying its short term obligations.
ABG's Current ratio of 1.30 is in line compared to the rest of the industry. ABG outperforms 47.97% of its industry peers.
A Quick Ratio of 0.49 indicates that ABG may have some problems paying its short term obligations.
The Quick ratio of ABG (0.49) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
The earnings per share for ABG have decreased by -3.43% in the last year.
Measured over the past years, ABG shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.59% on average per year.
ABG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.40%.
Measured over the past years, ABG shows a quite strong growth in Revenue. The Revenue has been growing by 18.98% on average per year.
EPS 1Y (TTM)-3.43%
EPS 3Y-0.07%
EPS 5Y23.59%
EPS Q2Q%16.09%
Revenue 1Y (TTM)8.4%
Revenue growth 3Y20.44%
Revenue growth 5Y18.98%
Sales Q2Q%2.99%
3.2 Future
Based on estimates for the next years, ABG will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.76% on average per year.
Based on estimates for the next years, ABG will show a small growth in Revenue. The Revenue will grow by 7.83% on average per year.
EPS Next Y3.15%
EPS Next 2Y1.69%
EPS Next 3Y6.67%
EPS Next 5Y11.76%
Revenue Next Year8.63%
Revenue Next 2Y8.78%
Revenue Next 3Y6.12%
Revenue Next 5Y7.83%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
ABG is valuated reasonably with a Price/Earnings ratio of 9.02.
ABG's Price/Earnings ratio is rather cheap when compared to the industry. ABG is cheaper than 91.06% of the companies in the same industry.
When comparing the Price/Earnings ratio of ABG to the average of the S&P500 Index (27.13), we can say ABG is valued rather cheaply.
ABG is valuated reasonably with a Price/Forward Earnings ratio of 8.93.
Based on the Price/Forward Earnings ratio, ABG is valued cheaply inside the industry as 89.43% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.76. ABG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.02 | ||
| Fwd PE | 8.93 |
4.2 Price Multiples
ABG's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ABG is cheaper than 72.36% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ABG is valued cheaply inside the industry as 94.31% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.77 | ||
| EV/EBITDA | 7.42 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of ABG may justify a higher PE ratio.
PEG (NY)2.86
PEG (5Y)0.38
EPS Next 2Y1.69%
EPS Next 3Y6.67%
5. Dividend
5.1 Amount
ABG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:ABG (9/2/2025, 10:36:23 AM)
251.355
-0.19 (-0.07%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners108.44%
Inst Owner Change-4.94%
Ins Owners0.6%
Ins Owner Change3.13%
Market Cap4.94B
Analysts53.75
Price Target268.94 (7%)
Short Float %5.62%
Short Ratio5.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.14%
Min EPS beat(2)1.09%
Max EPS beat(2)7.19%
EPS beat(4)3
Avg EPS beat(4)5.73%
Min EPS beat(4)-4.4%
Max EPS beat(4)19.03%
EPS beat(8)3
Avg EPS beat(8)-1.44%
EPS beat(12)6
Avg EPS beat(12)0.73%
EPS beat(16)10
Avg EPS beat(16)3.92%
Revenue beat(2)0
Avg Revenue beat(2)-3.98%
Min Revenue beat(2)-5.2%
Max Revenue beat(2)-2.76%
Revenue beat(4)1
Avg Revenue beat(4)-0.83%
Min Revenue beat(4)-5.2%
Max Revenue beat(4)7.1%
Revenue beat(8)2
Avg Revenue beat(8)-1.12%
Revenue beat(12)2
Avg Revenue beat(12)-2.16%
Revenue beat(16)5
Avg Revenue beat(16)-0.87%
PT rev (1m)6.1%
PT rev (3m)6.1%
EPS NQ rev (1m)3.42%
EPS NQ rev (3m)4.11%
EPS NY rev (1m)3.36%
EPS NY rev (3m)3.7%
Revenue NQ rev (1m)5.01%
Revenue NQ rev (3m)12.54%
Revenue NY rev (1m)2.67%
Revenue NY rev (3m)2.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.02 | ||
| Fwd PE | 8.93 | ||
| P/S | 0.29 | ||
| P/FCF | 6.77 | ||
| P/OCF | 5.12 | ||
| P/B | 1.31 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.42 |
EPS(TTM)27.86
EY11.08%
EPS(NY)28.15
Fwd EY11.2%
FCF(TTM)37.13
FCFY14.77%
OCF(TTM)49.07
OCFY19.52%
SpS878.07
BVpS192.12
TBVpS-0.74
PEG (NY)2.86
PEG (5Y)0.38
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.33% | ||
| ROE | 14.3% | ||
| ROCE | 12.84% | ||
| ROIC | 8.25% | ||
| ROICexc | 8.31% | ||
| ROICexgc | 14.4% | ||
| OM | 5.75% | ||
| PM (TTM) | 3.13% | ||
| GM | 17.05% | ||
| FCFM | 4.23% |
ROA(3y)7.51%
ROA(5y)7.22%
ROE(3y)21.73%
ROE(5y)23.68%
ROIC(3y)9.95%
ROIC(5y)9.48%
ROICexc(3y)10.15%
ROICexc(5y)9.64%
ROICexgc(3y)19.39%
ROICexgc(5y)17.84%
ROCE(3y)15.35%
ROCE(5y)14.97%
ROICexcg growth 3Y-8.23%
ROICexcg growth 5Y3.87%
ROICexc growth 3Y-2.42%
ROICexc growth 5Y-4.41%
OM growth 3Y-10.52%
OM growth 5Y4.29%
PM growth 3Y-22.64%
PM growth 5Y-0.38%
GM growth 3Y-3.91%
GM growth 5Y1.13%
F-Score8
Asset Turnover1.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | 5.94 | ||
| Debt/EBITDA | 3.98 | ||
| Cap/Depr | 307.86% | ||
| Cap/Sales | 1.36% | ||
| Interest Coverage | 3.74 | ||
| Cash Conversion | 90.28% | ||
| Profit Quality | 135.17% | ||
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.49 | ||
| Altman-Z | 3.06 |
F-Score8
WACC8.61%
ROIC/WACC0.96
Cap/Depr(3y)264.46%
Cap/Depr(5y)326.79%
Cap/Sales(3y)1.17%
Cap/Sales(5y)1.45%
Profit Quality(3y)56.3%
Profit Quality(5y)113.82%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.43%
EPS 3Y-0.07%
EPS 5Y23.59%
EPS Q2Q%16.09%
EPS Next Y3.15%
EPS Next 2Y1.69%
EPS Next 3Y6.67%
EPS Next 5Y11.76%
Revenue 1Y (TTM)8.4%
Revenue growth 3Y20.44%
Revenue growth 5Y18.98%
Sales Q2Q%2.99%
Revenue Next Year8.63%
Revenue Next 2Y8.78%
Revenue Next 3Y6.12%
Revenue Next 5Y7.83%
EBIT growth 1Y-1.26%
EBIT growth 3Y7.77%
EBIT growth 5Y24.08%
EBIT Next Year10%
EBIT Next 3Y7.95%
EBIT Next 5Y7.62%
FCF growth 1Y134.09%
FCF growth 3Y-25.95%
FCF growth 5Y4.77%
OCF growth 1Y129.17%
OCF growth 3Y-16.76%
OCF growth 5Y13.92%