Asbury Automotive Group
Market Cap
US$1.6b
Last Updated
2020/06/05 01:54 UTC
Data Sources
Company Financials +
Executive Summary
Asbury Automotive Group, Inc., together with its subsidiaries, operates as an automotive retailer in the United States.
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with adequate balance sheet.
Similar Companies
Share Price & News
How has Asbury Automotive Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ABG's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
11.5%
ABG
5.7%
US Specialty Retail
3.8%
US Market
1 Year Return
3.5%
ABG
3.5%
US Specialty Retail
9.7%
US Market
Return vs Industry: ABG matched the US Specialty Retail industry which returned 3.6% over the past year.
Return vs Market: ABG underperformed the US Market which returned 8.9% over the past year.
Shareholder returns
| ABG | Industry | Market | |
|---|---|---|---|
| 7 Day | 11.5% | 5.7% | 3.8% |
| 30 Day | 24.3% | 18.8% | 11.4% |
| 90 Day | -7.3% | 2.3% | 6.8% |
| 1 Year | 3.5%3.5% | 4.9%3.5% | 12.1%9.7% |
| 3 Year | 45.7%45.7% | 29.4%23.2% | 36.2%27.2% |
| 5 Year | -8.0%-8.0% | 23.5%13.0% | 63.7%45.4% |
Price Volatility Vs. Market
How volatile is Asbury Automotive Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
Is Asbury Automotive Group, Inc.’s (NYSE:ABG) 17% ROCE Any Good?2 weeks ago | Simply Wall St
A Rising Share Price Has Us Looking Closely At Asbury Automotive Group, Inc.'s (NYSE:ABG) P/E Ratio1 month ago | Simply Wall St
What Is Asbury Automotive Group's (NYSE:ABG) P/E Ratio After Its Share Price Rocketed?Valuation
Is Asbury Automotive Group undervalued compared to its fair value and its price relative to the market?
24.9%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ABG ($80.65) is trading below our estimate of fair value ($107.43)
Significantly Below Fair Value: ABG is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ABG is good value based on its PE Ratio (9.4x) compared to the Specialty Retail industry average (14.8x).
PE vs Market: ABG is good value based on its PE Ratio (9.4x) compared to the US market (16.4x).
Price to Earnings Growth Ratio
PEG Ratio: ABG is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: ABG is overvalued based on its PB Ratio (2.4x) compared to the US Specialty Retail industry average (1.2x).
Next Steps
Future Growth
How is Asbury Automotive Group forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
16.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ABG's forecast earnings growth (16.6% per year) is above the savings rate (2.2%).
Earnings vs Market: ABG's earnings (16.6% per year) are forecast to grow slower than the US market (22.3% per year).
High Growth Earnings: ABG's earnings are forecast to grow, but not significantly.
Revenue vs Market: ABG's revenue (4.5% per year) is forecast to grow slower than the US market (8.8% per year).
High Growth Revenue: ABG's revenue (4.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ABG's Return on Equity is forecast to be low in 3 years time (19.2%).
Next Steps
Past Performance
How has Asbury Automotive Group performed over the past 5 years?
4.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ABG has high quality earnings.
Growing Profit Margin: ABG's current net profit margins (2.3%) are lower than last year (2.4%).
Past Earnings Growth Analysis
Earnings Trend: ABG's earnings have grown by 4.9% per year over the past 5 years.
Accelerating Growth: ABG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ABG had negative earnings growth (-3.5%) over the past year, making it difficult to compare to the Specialty Retail industry average (-5.6%).
Return on Equity
High ROE: Whilst ABG's Return on Equity (24.66%) is high, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is Asbury Automotive Group's financial position?
Financial Position Analysis
Short Term Liabilities: ABG's short term assets ($1.8B) exceed its short term liabilities ($1.2B).
Long Term Liabilities: ABG's short term assets ($1.8B) exceed its long term liabilities ($1.2B).
Debt to Equity History and Analysis
Debt Level: ABG's debt to equity ratio (315.6%) is considered high.
Reducing Debt: ABG's debt to equity ratio has reduced from 390% to 315.6% over the past 5 years.
Debt Coverage: ABG's debt is not well covered by operating cash flow (19.8%).
Interest Coverage: ABG's interest payments on its debt are well covered by EBIT (3.5x coverage).
Balance Sheet
Next Steps
Dividend
What is Asbury Automotive Group's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ABG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate ABG's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if ABG's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ABG's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: ABG is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ABG's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.4yrs
Average management tenure
CEO
David Hult (53yo)
2.42yrs
Tenure
US$5,459,308
Compensation
Mr. David W. Hult has been Chief Executive Officer, President and Director at Asbury Automotive Group, Inc. since January 1, 2018. Mr. Hult serves as Chief Executive Officer and President at Precision Moto ...
CEO Compensation Analysis
Compensation vs Market: David's total compensation ($USD5.46M) is about average for companies of similar size in the US market ($USD4.72M).
Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.42yrs | US$5.46m | 0.30% $4.7m | |
| VP, Corporate Controller & Chief Accounting Officer | 4.92yrs | US$437.63k | 0.017% $258.9k | |
| Senior VP | 8.17yrs | US$1.74m | 0.056% $870.4k | |
| Senior VP & Chief Human Resources Officer | 2.42yrs | US$1.36m | 0.050% $781.6k | |
| Senior VP & CFO | 0.083yr | no data | no data | |
| Senior Vice President of Operations | 0.42yr | no data | 0.088% $1.4m | |
| Chief Information Officer & VP | no data | no data | no data | |
| Chief Audit & Risk Executive | no data | no data | no data | |
| VP of Finance & Treasurer | no data | no data | no data |
2.4yrs
Average Tenure
48.5yo
Average Age
Experienced Management: ABG's management team is considered experienced (2.4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.42yrs | US$5.46m | 0.30% $4.7m | |
| Independent Non-Executive Chairman | 1.17yrs | US$331.33k | 0.040% $627.3k | |
| Independent Director | 13.42yrs | US$317.66k | 0.089% $1.4m | |
| Independent Director | 12.67yrs | US$260.96k | 0.041% $634.7k | |
| Independent Director | 2.17yrs | US$251.07k | 0.021% $323.9k | |
| Independent Director | 18.17yrs | US$242.90k | 0.054% $847.6k | |
| Independent Director | 5.42yrs | US$259.72k | 0.037% $578.4k | |
| Independent Director | 1.42yrs | US$250.68k | 0.014% $211.7k |
3.9yrs
Average Tenure
58yo
Average Age
Experienced Board: ABG's board of directors are considered experienced (3.9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ABG insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Asbury Automotive Group, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Asbury Automotive Group, Inc.
- Ticker: ABG
- Exchange: NYSE
- Founded: 1996
- Industry: Automotive Retail
- Sector: Retail
- Market Cap: US$1.556b
- Shares outstanding: 19.29m
- Website: https://www.asburyauto.com
Number of Employees
Location
- Asbury Automotive Group, Inc.
- 2905 Premiere Parkway, NW
- Suite 300
- Duluth
- Georgia
- 30097
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ABG | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Mar 2002 |
| AWG | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Mar 2002 |
Biography
Asbury Automotive Group, Inc., together with its subsidiaries, operates as an automotive retailer in the United States. It offers a range of automotive products and services, including new and used vehicles; and vehicle repair and maintenance services, replacement parts, and collision repair services. The company also provides finance and insurance products, including arranging vehicle financing through third parties; and aftermarket products, such as extended service contracts, guaranteed asset protection debt cancellation, prepaid maintenance, and credit life and disability insurance. As of December 31, 2019, the company owned and operated 107 new vehicle franchises representing 31 brands of automobiles at 88 dealership locations; and 25 collision centers in the United States. Asbury Automotive Group, Inc. was founded in 1996 and is headquartered in Duluth, Georgia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/06/05 01:54 |
| End of Day Share Price | 2020/06/04 00:00 |
| Earnings | 2020/03/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.