Asbury Automotive Group Inc
Find Ratings ReportsASBURY AUTOMOTIVE GROUP INC's gross profit margin for the fourth quarter of its fiscal year 2023 has decreased when compared to the same period a year ago. Even though sales increased, the net income has decreased. ASBURY AUTOMOTIVE GROUP INC has very weak liquidity. Currently, the Quick Ratio is 0.22 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has increased by 11.73% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
---|---|---|
Net Sales ($mil) | 3811.7 | 3706.0 |
EBITDA ($mil) | 262.3 | 319.3 |
EBIT ($mil) | 245.1 | 303.9 |
Net Income ($mil) | 55.5 | 353.2 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 51.9 | 240.7 |
Total Assets ($mil) | 10159.4 | 8021.4 |
Total Debt ($mil) | 5479.2 | 3688.8 |
Equity ($mil) | 3244.1 | 2903.5 |
Profitability | Q4 FY23 | Q4 FY22 |
---|---|---|
Gross Profit Margin | 17.66 | 19.92 |
EBITDA Margin | 6.88 | 8.61 |
Operating Margin | 6.43 | 8.2 |
Sales Turnover | 1.46 | 1.92 |
Return on Assets | 5.93 | 12.43 |
Return on Equity | 18.57 | 34.35 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 1.06 | 1.85 |
Debt/Capital | 0.63 | 0.56 |
Interest Expense | 48.9 | 40.8 |
Interest Coverage | 5.01 | 7.45 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 20.33 | 21.57 |
Div / share | 0.0 | 0.0 |
EPS | 2.7 | 15.95 |
Book value / share | 159.55 | 134.61 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 176266.0 | 151051.0 |
BUY. ASBURY AUTOMOTIVE GROUP INC's P/E ratio indicates a significant discount compared to an average of 31.04 for the Motor Vehicle and Parts Dealers subsector and a significant discount compared to the S&P 500 average of 27.95. For additional comparison, its price-to-book ratio of 1.28 indicates a significant discount versus the S&P 500 average of 4.68 and a significant discount versus the subsector average of 6.33. The price-to-sales ratio is well below both the S&P 500 average and the subsector average, indicating a discount. Upon assessment of these and other key valuation criteria, ASBURY AUTOMOTIVE GROUP INC proves to trade at a discount to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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ABG 7.16 | Peers 31.04 | ABG 13.30 | Peers 17.67 | |||||||||||||||||||||
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations. ABG is trading at a significant discount to its peers. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. ABG is trading at a discount to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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ABG 6.46 | Peers 18.52 | ABG 0.69 | Peers 2.06 | |||||||||||||||||||||
Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations. ABG is trading at a significant discount to its peers. |
Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. ABG trades at a significant discount to its peers. |
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Price/Book |
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Earnings Growth |
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ABG 1.28 | Peers 6.33 | ABG -35.92 | Peers 17.49 | |||||||||||||||||||||
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. ABG is trading at a significant discount to its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, ABG is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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ABG 0.28 | Peers 2.45 | ABG -4.09 | Peers 13.22 | |||||||||||||||||||||
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. ABG is trading at a significant discount to its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. ABG significantly trails its peers on the basis of sales growth. |
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