ASBURY AUTOMOTIVE GROUP (ABG) Stock Fundamental Analysis
USA - NYSE:ABG - US0434361046 - Common Stock
238.685 USD
+4.35 (+1.86%)
Overall ABG gets a fundamental rating of 5 out of 10. We evaluated ABG against 121 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 may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make ABG suitable for value investing!
1. Profitability
1.1 Basic Checks
ABG had positive earnings in the past year.
ABG had a positive operating cash flow in the past year.
ABG had positive earnings in each of the past 5 years.
ABG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ABG has a better Return On Assets (5.33%) than 70.25% of its industry peers.
With a decent Return On Equity value of 14.30%, ABG is doing good in the industry, outperforming 71.07% of the companies in the same industry.
ABG's Return On Invested Capital of 8.25% is fine compared to the rest of the industry. ABG outperforms 68.59% of its industry peers.
ABG had an Average Return On Invested Capital over the past 3 years of 9.95%. This is in line with the industry average of 11.81%.
| 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
ABG has a Profit Margin of 3.13%. This is in the better half of the industry: ABG outperforms 68.59% of its industry peers.
In the last couple of years the Profit Margin of ABG has remained more or less at the same level.
ABG's Operating Margin of 5.75% is fine compared to the rest of the industry. ABG outperforms 70.25% of its industry peers.
In the last couple of years the Operating Margin of ABG has grown nicely.
ABG has a worse Gross Margin (17.05%) than 82.64% of its industry peers.
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ABG is still creating some value.
Compared to 1 year ago, ABG has less shares outstanding
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
An Altman-Z score of 3.03 indicates that ABG is not in any danger for bankruptcy at the moment.
The Altman-Z score of ABG (3.03) is better than 69.42% of its industry peers.
The Debt to FCF ratio of ABG is 5.94, which is a neutral value as it means it would take ABG, 5.94 years of fcf income to pay off all of its debts.
ABG has a better Debt to FCF ratio (5.94) than 60.33% 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.
With a Debt to Equity ratio value of 1.13, ABG perfoms like the industry average, outperforming 41.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | 5.94 | ||
| Altman-Z | 3.03 |
ROIC/WACC0.96
WACC8.57%
2.3 Liquidity
ABG has a Current Ratio of 1.30. This is a normal value and indicates that ABG is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of ABG (1.30) is comparable to the rest of the industry.
A Quick Ratio of 0.49 indicates that ABG may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.49, ABG is in line with its industry, outperforming 47.93% of the companies in the same 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.
The Earnings Per Share has been growing by 23.59% on average over the past years. This is a very strong growth
The Revenue has grown by 8.40% in the past year. This is quite good.
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
ABG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.76% yearly.
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 Y3.07%
EPS Next 2Y1.4%
EPS Next 3Y6.03%
EPS Next 5Y11.76%
Revenue Next Year8.49%
Revenue Next 2Y8.51%
Revenue Next 3Y6.04%
Revenue Next 5Y7.83%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.57 indicates a reasonable valuation of ABG.
90.08% of the companies in the same industry are more expensive than ABG, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.08, ABG is valued rather cheaply.
With a Price/Forward Earnings ratio of 8.53, the valuation of ABG can be described as very reasonable.
90.08% of the companies in the same industry are more expensive than ABG, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.09. ABG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.57 | ||
| Fwd PE | 8.53 |
4.2 Price Multiples
71.90% of the companies in the same industry are more expensive than ABG, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ABG is valued cheaper than 95.04% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.43 | ||
| EV/EBITDA | 7.1 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ABG does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of ABG may justify a higher PE ratio.
PEG (NY)2.79
PEG (5Y)0.36
EPS Next 2Y1.4%
EPS Next 3Y6.03%
5. Dividend
5.1 Amount
No dividends for ABG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:ABG (10/28/2025, 9:53:50 AM)
238.685
+4.35 (+1.86%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners106.95%
Inst Owner Change0.02%
Ins Owners0.58%
Ins Owner Change-0.69%
Market Cap4.69B
Revenue(TTM)17.26B
Net Income(TTM)540.00M
Analysts70.77
Price Target264.18 (10.68%)
Short Float %5.22%
Short Ratio6.84
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)0.45%
PT rev (3m)4.23%
EPS NQ rev (1m)-0.25%
EPS NQ rev (3m)5.01%
EPS NY rev (1m)-0.18%
EPS NY rev (3m)3.27%
Revenue NQ rev (1m)-0.47%
Revenue NQ rev (3m)7.42%
Revenue NY rev (1m)-0.21%
Revenue NY rev (3m)2.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.57 | ||
| Fwd PE | 8.53 | ||
| P/S | 0.27 | ||
| P/FCF | 6.43 | ||
| P/OCF | 4.86 | ||
| P/B | 1.24 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.1 |
EPS(TTM)27.86
EY11.67%
EPS(NY)27.98
Fwd EY11.72%
FCF(TTM)37.13
FCFY15.55%
OCF(TTM)49.07
OCFY20.56%
SpS878.07
BVpS192.12
TBVpS-0.74
PEG (NY)2.79
PEG (5Y)0.36
Graham Number347.03
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%
ROICexgc growth 3Y-8.23%
ROICexgc 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 | 3.03 |
F-Score8
WACC8.57%
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 Y3.07%
EPS Next 2Y1.4%
EPS Next 3Y6.03%
EPS Next 5Y11.76%
Revenue 1Y (TTM)8.4%
Revenue growth 3Y20.44%
Revenue growth 5Y18.98%
Sales Q2Q%2.99%
Revenue Next Year8.49%
Revenue Next 2Y8.51%
Revenue Next 3Y6.04%
Revenue Next 5Y7.83%
EBIT growth 1Y-1.26%
EBIT growth 3Y7.77%
EBIT growth 5Y24.08%
EBIT Next Year11.07%
EBIT Next 3Y5.77%
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%
ASBURY AUTOMOTIVE GROUP / ABG FAQ
What is the fundamental rating for ABG stock?
ChartMill assigns a fundamental rating of 5 / 10 to ABG.
Can you provide the valuation status for ASBURY AUTOMOTIVE GROUP?
ChartMill assigns a valuation rating of 7 / 10 to ASBURY AUTOMOTIVE GROUP (ABG). This can be considered as Undervalued.
What is the profitability of ABG stock?
ASBURY AUTOMOTIVE GROUP (ABG) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for ABG stock?
The Price/Earnings (PE) ratio for ASBURY AUTOMOTIVE GROUP (ABG) is 8.57 and the Price/Book (PB) ratio is 1.24.
How financially healthy is ASBURY AUTOMOTIVE GROUP?
The financial health rating of ASBURY AUTOMOTIVE GROUP (ABG) is 5 / 10.