Asbury Automotive Group (ABG) versus The Competition Financial Analysis

Asbury Automotive Group (NYSE: ABG) is one of 20 public companies in the “Automotive dealers & gasoline service stations” industry, but how does it weigh in compared to its rivals? We will compare Asbury Automotive Group to similar businesses based on the strength of its institutional ownership, earnings, profitability, risk, dividends, valuation and analyst recommendations.

Insider and Institutional Ownership

How to Become a New Pot Stock Millionaire

62.0% of shares of all “Automotive dealers & gasoline service stations” companies are held by institutional investors. 1.9% of Asbury Automotive Group shares are held by insiders. Comparatively, 16.5% of shares of all “Automotive dealers & gasoline service stations” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations for Asbury Automotive Group and its rivals, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Asbury Automotive Group 1 3 0 0 1.75
Asbury Automotive Group Competitors 115 622 667 29 2.43

Asbury Automotive Group presently has a consensus target price of $62.25, suggesting a potential downside of 5.97%. As a group, “Automotive dealers & gasoline service stations” companies have a potential upside of 18.94%. Given Asbury Automotive Group’s rivals stronger consensus rating and higher probable upside, analysts plainly believe Asbury Automotive Group has less favorable growth aspects than its rivals.

Profitability

This table compares Asbury Automotive Group and its rivals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Asbury Automotive Group 2.15% 39.80% 5.75%
Asbury Automotive Group Competitors 3.22% 33.52% 3.60%

Valuation and Earnings

This table compares Asbury Automotive Group and its rivals gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Asbury Automotive Group $6.46 billion $139.10 million 10.30
Asbury Automotive Group Competitors $8.01 billion $220.42 million 12.00

Asbury Automotive Group’s rivals have higher revenue and earnings than Asbury Automotive Group. Asbury Automotive Group is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Risk & Volatility

Asbury Automotive Group has a beta of 1.54, indicating that its stock price is 54% more volatile than the S&P 500. Comparatively, Asbury Automotive Group’s rivals have a beta of 9.96, indicating that their average stock price is 896% more volatile than the S&P 500.

Summary

Asbury Automotive Group rivals beat Asbury Automotive Group on 11 of the 13 factors compared.

Asbury Automotive Group Company Profile

Asbury Automotive Group, Inc. 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, 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 insurance, prepaid maintenance, and credit life and disability insurance. As of February 06, 2018 the company owned and operated 95 new vehicle franchises representing 29 brands of automobiles at 81 dealership locations, and 24 collision centers in the United States. Asbury Automotive Group, Inc. was founded in 1995 and is headquartered in Duluth, Georgia.

Receive News & Ratings for Asbury Automotive Group Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Asbury Automotive Group and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply