JPMorgan Chase & Co. Lowers Asbury Automotive Group (NYSE:ABG) Price Target to $190.00

Key Points

• JPMorgan lowered Asbury Automotive Group’s price target to $190 from $220 and maintained an “underweight” rating, implying roughly 15% downside from the stock’s reported $223.97 price.
• Analyst sentiment remains cautious overall: Asbury has a consensus “Hold” rating and an average price target of $245.29, based on two Buy, six Hold, and one Sell rating.
• Asbury reported quarterly EPS of $6.82, beating estimates of $6.31, while revenue of $4.38 billion came in below the $4.49 billion consensus estimate; the stock traded down $4 on Tuesday.

Asbury Automotive Group (NYSE:ABG - Get Free Report) had its target price cut by research analysts at JPMorgan Chase & Co. from $220.00 to $190.00 in a research report issued on Tuesday,Benzinga reports. The firm presently has an "underweight" rating on the stock. JPMorgan Chase & Co.'s target price would suggest a potential downside of 15.17% from the company's current price.

ABG has been the subject of a number of other reports. UBS Group set a $250.00 price objective on Asbury Automotive Group in a research report on Wednesday, July 29th. Citigroup lifted their price target on shares of Asbury Automotive Group from $212.00 to $250.00 and gave the company a "neutral" rating in a research note on Friday. Barclays boosted their price target on shares of Asbury Automotive Group from $225.00 to $265.00 and gave the stock an "equal weight" rating in a report on Wednesday, July 29th. Morgan Stanley set a $220.00 price objective on shares of Asbury Automotive Group in a research report on Thursday, May 7th. Finally, Stephens reaffirmed an "overweight" rating and set a $242.00 price objective on shares of Asbury Automotive Group in a report on Tuesday, June 2nd. Two analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus price target of $245.29.

Asbury Automotive Group Stock Performance

ABG traded down $4.00 on Tuesday, reaching $223.97. The stock had a trading volume of 135,142 shares, compared to its average volume of 249,891. The business's 50-day moving average price is $207.04 and its two-hundred day moving average price is $209.07. The company has a current ratio of 0.94, a quick ratio of 0.29 and a debt-to-equity ratio of 0.78. Asbury Automotive Group has a 12-month low of $172.01 and a 12-month high of $263.38. The company has a market cap of $4.17 billion, a P/E ratio of 8.38, a price-to-earnings-growth ratio of 0.89 and a beta of 0.71.

Asbury Automotive Group (NYSE:ABG - Get Free Report) last announced its quarterly earnings results on Tuesday, July 28th. The company reported $6.82 earnings per share for the quarter, beating the consensus estimate of $6.31 by $0.51. The firm had revenue of $4.38 billion during the quarter, compared to analyst estimates of $4.49 billion. Asbury Automotive Group had a return on equity of 12.74% and a net margin of 2.83%.Asbury Automotive Group's revenue for the quarter was up .3% compared to the same quarter last year. During the same quarter in the previous year, the business earned $7.43 EPS. Sell-side analysts forecast that Asbury Automotive Group will post 26.39 earnings per share for the current year.

Insider Activity

In other Asbury Automotive Group news, SVP Jed Milstein sold 948 shares of Asbury Automotive Group stock in a transaction dated Wednesday, July 29th. The shares were sold at an average price of $250.28, for a total transaction of $237,265.44. Following the completion of the sale, the senior vice president directly owned 11,259 shares in the company, valued at $2,817,902.52. This trade represents a 7.77% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director B. Christopher Disantis acquired 157 shares of the firm's stock in a transaction dated Wednesday, May 20th. The stock was bought at an average price of $182.31 per share, for a total transaction of $28,622.67. Following the completion of the acquisition, the director owned 6,400 shares in the company, valued at approximately $1,166,784. The trade was a 2.51% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 0.75% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Asbury Automotive Group

Several hedge funds have recently bought and sold shares of the company. Los Angeles Capital Management LLC purchased a new stake in Asbury Automotive Group during the fourth quarter worth about $25,000. Torren Management LLC acquired a new position in shares of Asbury Automotive Group in the fourth quarter valued at approximately $27,000. Quarry LP grew its holdings in shares of Asbury Automotive Group by 319.2% in the third quarter. Quarry LP now owns 109 shares of the company's stock valued at $27,000 after purchasing an additional 83 shares in the last quarter. Bogart Wealth LLC increased its stake in Asbury Automotive Group by 52.4% during the 4th quarter. Bogart Wealth LLC now owns 128 shares of the company's stock worth $30,000 after buying an additional 44 shares during the period. Finally, Osaic Holdings Inc. increased its stake in Asbury Automotive Group by 69.2% during the 2nd quarter. Osaic Holdings Inc. now owns 132 shares of the company's stock worth $31,000 after buying an additional 54 shares during the period.

About Asbury Automotive Group

Asbury Automotive Group, Inc NYSE: ABG is one of the largest automotive retailers in the United States. Headquartered in Duluth, Georgia, the company operates a network of franchised dealerships representing a diverse portfolio of automotive brands. Its core business activities include the sale of new and pre-owned vehicles, as well as the provision of vehicle finance, insurance and protection products to retail customers.

In addition to retail sales, Asbury offers a comprehensive suite of after-sales services, from scheduled maintenance and certified collision repair to parts distribution.

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