ASBURY AUTOMOTIVE GROUP (ABG) Stock Fundamental Analysis
NYSE:ABG • US0434361046
226.18 USD
+2.97 (+1.33%)
At close: Feb 20, 2026
226.18 USD
0 (0%)
After Hours: 2/20/2026, 8:15:36 PM
ABG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 123 industry peers in the Specialty Retail industry. There are concerns on the financial health of ABG while its profitability can be described as average. ABG scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
- In the past year ABG was profitable.
- 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 4 of the past 5 years.
1.2 Ratios
- The Return On Assets of ABG (4.76%) is better than 69.11% of its industry peers.
- Looking at the Return On Equity, with a value of 14.46%, ABG is in the better half of the industry, outperforming 73.17% of the companies in the same industry.
- ABG has a Return On Invested Capital of 7.18%. This is in the better half of the industry: ABG outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.76% | ||
| ROE | 14.46% | ||
| ROIC | 7.18% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- ABG's Profit Margin of 3.15% is fine compared to the rest of the industry. ABG outperforms 69.11% of its industry peers.
- In the last couple of years the Profit Margin of ABG has declined.
- ABG has a Operating Margin of 5.69%. This is in the better half of the industry: ABG outperforms 69.92% of its industry peers.
- In the last couple of years the Operating Margin of ABG has remained more or less at the same level.
- ABG's Gross Margin of 16.99% is on the low side compared to the rest of the industry. ABG is outperformed by 79.67% of its industry peers.
- ABG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.69% | ||
| PM (TTM) | 3.15% | ||
| GM | 16.99% |
OM growth 3Y-12.29%
OM growth 5Y-0.4%
PM growth 3Y-24.92%
PM growth 5Y-5.15%
GM growth 3Y-5.3%
GM growth 5Y-0.1%
2. Health
2.1 Basic Checks
- ABG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ABG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- An Altman-Z score of 2.56 indicates that ABG is not a great score, but indicates only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 2.56, ABG perfoms like the industry average, outperforming 56.10% of the companies in the same industry.
- The Debt to FCF ratio of ABG is 9.11, which is on the high side as it means it would take ABG, 9.11 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of ABG (9.11) is comparable to the rest of the industry.
- ABG has a Debt/Equity ratio of 1.45. This is a high value indicating a heavy dependency on external financing.
- With a Debt to Equity ratio value of 1.45, ABG is not doing good in the industry: 61.79% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 9.11 | ||
| Altman-Z | 2.56 |
ROIC/WACC0.81
WACC8.87%
2.3 Liquidity
- ABG has a Current Ratio of 0.99. This is a bad value and indicates that ABG is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.99, ABG is doing worse than 72.36% of the companies in the same industry.
- A Quick Ratio of 0.30 indicates that ABG may have some problems paying its short term obligations.
- The Quick ratio of ABG (0.30) is worse than 70.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.3 |
3. Growth
3.1 Past
- ABG shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.20%.
- Measured over the past years, ABG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.95% on average per year.
- Looking at the last year, ABG shows a small growth in Revenue. The Revenue has grown by 4.71% in the last year.
- Measured over the past years, ABG shows a very strong growth in Revenue. The Revenue has been growing by 20.34% on average per year.
EPS 1Y (TTM)3.2%
EPS 3Y-9.31%
EPS 5Y16.95%
EPS Q2Q%-8.13%
Revenue 1Y (TTM)4.71%
Revenue growth 3Y5.26%
Revenue growth 5Y20.34%
Sales Q2Q%3.82%
3.2 Future
- The Earnings Per Share is expected to grow by 14.20% on average over the next years. This is quite good.
- The Revenue is expected to grow by 8.41% on average over the next years. This is quite good.
EPS Next Y0.34%
EPS Next 2Y7.52%
EPS Next 3Y15.97%
EPS Next 5Y14.2%
Revenue Next Year4.35%
Revenue Next 2Y2.94%
Revenue Next 3Y1.22%
Revenue Next 5Y8.41%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last 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
- With a Price/Earnings ratio of 8.05, the valuation of ABG can be described as very reasonable.
- Compared to the rest of the industry, the Price/Earnings ratio of ABG indicates a rather cheap valuation: ABG is cheaper than 95.12% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 26.99, ABG is valued rather cheaply.
- The Price/Forward Earnings ratio is 8.02, which indicates a very decent valuation of ABG.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ABG indicates a rather cheap valuation: ABG is cheaper than 93.50% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of ABG to the average of the S&P500 Index (28.02), we can say ABG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.05 | ||
| Fwd PE | 8.02 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ABG is valued a bit cheaper than the industry average as 75.61% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of ABG indicates a rather cheap valuation: ABG is cheaper than 90.24% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.99 | ||
| EV/EBITDA | 7.29 |
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.
- A more expensive valuation may be justified as ABG's earnings are expected to grow with 15.97% in the coming years.
PEG (NY)23.38
PEG (5Y)0.48
EPS Next 2Y7.52%
EPS Next 3Y15.97%
5. Dividend
5.1 Amount
- No dividends for ABG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
226.18
+2.97 (+1.33%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)02-05 2026-02-05/bmo
Earnings (Next)04-27 2026-04-27
Inst Owners106.84%
Inst Owner Change-1.17%
Ins Owners0.58%
Ins Owner Change2.61%
Market Cap4.40B
Revenue(TTM)18.00B
Net Income(TTM)560.80M
Analysts69.23
Price Target254.56 (12.55%)
Short Float %5.43%
Short Ratio5.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)5.66%
Min EPS beat(2)4.13%
Max EPS beat(2)7.19%
EPS beat(4)4
Avg EPS beat(4)7.86%
Min EPS beat(4)1.09%
Max EPS beat(4)19.03%
EPS beat(8)4
Avg EPS beat(8)-0.33%
EPS beat(12)7
Avg EPS beat(12)1.15%
EPS beat(16)10
Avg EPS beat(16)3.14%
Revenue beat(2)0
Avg Revenue beat(2)-2.31%
Min Revenue beat(2)-2.76%
Max Revenue beat(2)-1.86%
Revenue beat(4)1
Avg Revenue beat(4)-0.68%
Min Revenue beat(4)-5.2%
Max Revenue beat(4)7.1%
Revenue beat(8)2
Avg Revenue beat(8)-0.89%
Revenue beat(12)2
Avg Revenue beat(12)-2.04%
Revenue beat(16)4
Avg Revenue beat(16)-1.4%
PT rev (1m)-0.06%
PT rev (3m)-3.64%
EPS NQ rev (1m)0.77%
EPS NQ rev (3m)-2.71%
EPS NY rev (1m)-0.45%
EPS NY rev (3m)0.04%
Revenue NQ rev (1m)0.47%
Revenue NQ rev (3m)-1.22%
Revenue NY rev (1m)-2.81%
Revenue NY rev (3m)-4.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.05 | ||
| Fwd PE | 8.02 | ||
| P/S | 0.25 | ||
| P/FCF | 6.99 | ||
| P/OCF | 5.07 | ||
| P/B | 1.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.29 |
EPS(TTM)28.09
EY12.42%
EPS(NY)28.19
Fwd EY12.46%
FCF(TTM)32.36
FCFY14.31%
OCF(TTM)44.62
OCFY19.73%
SpS917.03
BVpS199.49
TBVpS-33.7
PEG (NY)23.38
PEG (5Y)0.48
Graham Number355.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.76% | ||
| ROE | 14.46% | ||
| ROCE | 12.05% | ||
| ROIC | 7.18% | ||
| ROICexc | 7.2% | ||
| ROICexgc | 12.67% | ||
| OM | 5.69% | ||
| PM (TTM) | 3.15% | ||
| GM | 16.99% | ||
| FCFM | 3.53% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-12.29%
OM growth 5Y-0.4%
PM growth 3Y-24.92%
PM growth 5Y-5.15%
GM growth 3Y-5.3%
GM growth 5Y-0.1%
F-Score5
Asset Turnover1.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 9.11 | ||
| Debt/EBITDA | 5.14 | ||
| Cap/Depr | 303.44% | ||
| Cap/Sales | 1.34% | ||
| Interest Coverage | 3.75 | ||
| Cash Conversion | 79.4% | ||
| Profit Quality | 112.16% | ||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.3 | ||
| Altman-Z | 2.56 |
F-Score5
WACC8.87%
ROIC/WACC0.81
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.2%
EPS 3Y-9.31%
EPS 5Y16.95%
EPS Q2Q%-8.13%
EPS Next Y0.34%
EPS Next 2Y7.52%
EPS Next 3Y15.97%
EPS Next 5Y14.2%
Revenue 1Y (TTM)4.71%
Revenue growth 3Y5.26%
Revenue growth 5Y20.34%
Sales Q2Q%3.82%
Revenue Next Year4.35%
Revenue Next 2Y2.94%
Revenue Next 3Y1.22%
Revenue Next 5Y8.41%
EBIT growth 1Y4.2%
EBIT growth 3Y-7.68%
EBIT growth 5Y19.85%
EBIT Next Year5.64%
EBIT Next 3Y9.54%
EBIT Next 5Y8.39%
FCF growth 1Y153.22%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y73.43%
OCF growth 3YN/A
OCF growth 5YN/A
ASBURY AUTOMOTIVE GROUP / ABG FAQ
What is the fundamental rating for ABG stock?
ChartMill assigns a fundamental rating of 4 / 10 to ABG.
What is the valuation status for ABG stock?
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 5 / 10.
Can you provide the PE and PB ratios for ABG stock?
The Price/Earnings (PE) ratio for ASBURY AUTOMOTIVE GROUP (ABG) is 8.05 and the Price/Book (PB) ratio is 1.13.