ABG Stock Analysis: Asbury Automotive | NYSE
Auto & Truck Dealerships | NYSE, USA | Market Cap: 3.105m USD | 12M Return: -16.8% | US0434361046 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 48.3M
EPS Trend: -80.3%
Qual. Beats: 0
Rev. Trend: 95.7%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Asbury Automotive Group, Inc. (ABG) is a U.S. automotive retailer headquartered in Atlanta, Georgia, founded in 1996 and listed on the NYSE since 2002. The company operates through two segments: Dealerships and Total Care Auto, Powered by Asbury (TCA), selling new and used vehicles, replacement parts, and providing repair, maintenance, collision, and reconditioning services through a network of dealerships and auctions.
In addition to vehicle sales, Asbury generates revenue from finance and insurance products arranged through third parties, as well as aftermarket offerings such as extended service contracts, guaranteed asset protection (GAP) coverage, prepaid maintenance, key replacement, paintless dent repair, appearance protection, and tire, wheel, and lease wear-and-tear contracts. Customers include individual retail buyers, other dealers, and licensed wholesalers.
As a mid-cap stock in the Consumer Discretionary sectors Automotive Retail sub-industry, Asbury operates in a fragmented industry that has experienced significant consolidation over the past decade, with public dealer groups frequently acquiring smaller regional operators to expand scale and geographic reach. F&I and aftermarket product sales typically carry higher margins than core vehicle sales, making them a key earnings driver for dealership groups.
- Used vehicle gross profit margins normalize after pandemic peak
- Clicklane digital retail platform drives F&I product penetration higher
- Larry H. Miller acquisition expands dealership count and geographic footprint
- New vehicle inventory shortage pressures unit volumes amid OEM production constraints
| Net Income: 509.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA -2.86 > 1.0 |
| NWC/Revenue: -1.70% < 20% (prev 4.21%; Δ -5.91% < -1%) |
| CFO/TA 0.07 > 3% & CFO 811.4m > Net Income 509.5m |
| Net Debt (5.73b) to EBITDA (1.07b): 5.37 < 3 |
| Current Ratio: 0.91 > 1.5 & < 3 |
| Outstanding Shares: last quarter (19.0m) vs 12m ago -3.55% < -2% |
| Gross Margin: 17.11% > 18% (prev 17.06%; Δ 0.05% > 0.5%) |
| Asset Turnover: 166.9% > 50% (prev 170.4%; Δ -3.51% > 0%) |
| Interest Coverage Ratio: 3.34 > 6 (EBIT TTM 978.0m / Interest Expense TTM 293.2m) |
| A: -0.03 (Total Current Assets 3.08b - Total Current Liabilities 3.39b) / Total Assets 11.4b |
| B: 0.32 (Retained Earnings 3.66b / Total Assets 11.4b) |
| C: 0.09 (EBIT TTM 978.0m / Avg Total Assets 10.8b) |
| D: 0.52 (Book Value of Equity 3.92b / Total Liabilities 7.49b) |
| Altman-Z'' = 2.03 = BBB |
| DSRI: 0.88 (Receivables 437.2m/475.3m, Revenue 18.0b/17.3b) |
| GMI: 1.00 (GM 17.06% / 17.11%) |
| AQI: 1.01 (AQ_t 0.43 / AQ_t-1 0.42) |
| SGI: 1.04 (Revenue 18.0b / 17.3b) |
| TATA: -0.03 (NI 509.5m - CFO 811.4m) / TA 11.4b) |
| Beneish M = -3.09 (Cap -4..+1) = AA |
As of October 28, 2026, the stock is trading at USD 194.99 with a total of 830,088 shares traded. Over the past week, the price has changed by +13.28%, over one month by +8.52%, over three months by -13.96% and over the past year by -16.79%.
Current recommended Stop Loss: 180.80 (which is 7.3% or 2.1 ATR below the current price).
Asbury Automotive has received a consensus analysts rating of 3.55. Therefore, it is recommended to hold ABG.
- StrongBuy: 3
- Buy: 1
- Hold: 6
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 227 | 16.4% |
P/E Trailing = 6.4274
P/E Forward = 5.9916
P/S = 0.1727
P/B = 0.79
P/EG = 0.4406
Revenue TTM = 18.0b USD
EBIT TTM = 978.0m USD
EBITDA TTM = 1.07b USD
Long Term Debt = 3.09b USD (from longTermDebt, last fiscal year)
Short Term Debt = 2.31b USD (from shortTermDebt, last quarter)
Debt = 5.77b USD (from shortLongTermDebtTotal, last quarter) + Leases 239.5m
Net Debt = 5.73b USD (calculated: Debt 5.77b - CCE 35.7m)
Enterprise Value = 8.84b USD (3.10b + Debt 5.77b - CCE 35.7m)
Interest Coverage Ratio = 3.34 (Ebit TTM 978.0m / Interest Expense TTM 293.2m)
EV/FCF = 17.81x (Enterprise Value 8.84b / FCF TTM 496.3m)
FCF Yield = 5.61% (FCF TTM 496.3m / Enterprise Value 8.84b)
FCF Margin = 2.76% (FCF TTM 496.3m / Revenue TTM 18.0b)
Net Margin = 2.83% (Net Income TTM 509.5m / Revenue TTM 18.0b)
Gross Margin = 17.11% ((Revenue TTM 18.0b - Cost of Revenue TTM 14.9b) / Revenue TTM)
Gross Margin QoQ = 17.18% (prev 17.67%)
Tobins Q-Ratio = 0.77 (Enterprise Value 8.84b / Total Assets 11.4b)
Interest Expense / Debt = 5.08% (Interest Expense 293.2m / Debt 5.77b)
Taxrate = 25.60% (175.3m / 684.8m)
NOPAT = 727.6m (EBIT 978.0m * (1 - 25.60%))
Current Ratio = 0.91 (Total Current Assets 3.08b / Total Current Liabilities 3.39b)
Debt / Equity = 1.47 (Debt 5.77b / totalStockholderEquity, last quarter 3.92b)
Debt / EBITDA = 5.37 (Net Debt 5.73b / EBITDA 1.07b)
Debt / FCF = 11.55 (Net Debt 5.73b / FCF TTM 496.3m)
Total Stockholder Equity = 3.91b (last 4 quarters mean from totalStockholderEquity)
RoA = 4.73% (Net Income 509.5m / Total Assets 11.4b)
RoE = 13.04% (Net Income TTM 509.5m / Total Stockholder Equity 3.91b)
RoCE = 13.97% (EBIT 978.0m / Capital Employed (Equity 3.91b + L.T.Debt 3.09b))
RoIC = 7.06% (NOPAT 727.6m / Invested Capital 10.3b)
WACC = 4.90% (E(3.10b)/V(8.87b) * Re(6.98%) + D(5.77b)/V(8.87b) * Rd(5.08%) * (1-Tc(0.26)))
Discount Rate = 6.98% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -95.47 | Cagr: -3.11%
[DCF] Terminal Value 73.10% ; FCFF base≈589.8m ; Y1≈517.2m ; Y5≈417.9m
[DCF] Fair Price = 54.21 (EV 6.71b - Net Debt 5.73b = Equity 973.1m / Shares 18.0m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: -80.31 | EPS CAGR: -6.45% | SUE: -0.62 | # QB: 0
Revenue Correlation: 95.69 | Revenue CAGR: 8.35% | SUE: -0.57 | # QB: 0
EPS current Year (2026-12-31): EPS=25.60 | Chg30d=-3.05% | Revisions=-62% | GrowthEPS=-8.9% | GrowthRev=-1.9%
EPS next Year (2027-12-31): EPS=29.07 | Chg30d=-4.02% | Revisions=-62% | GrowthEPS=+13.6% | GrowthRev=+4.2%
[Analyst] Revisions Ratio: -77% (up=0, down=10)