Asbury Automotive Group (NYSE:ABG) Sets New 52-Week Low After Analyst Downgrade

Key Points

• Asbury Automotive Group shares hit a new 52-week low, falling to $167.30 after Morgan Stanley cut its price target from $230 to $184 while maintaining an equal-weight rating.
• Analyst sentiment remains mixed but centers on a consensus “Hold” rating, with an average price target of $230.17; targets range from $184 at Morgan Stanley to $300 at Seaport Research Partners.
• The company’s latest quarter beat EPS estimates, reporting $6.82 per share versus $6.31 expected, while revenue reached $4.38 billion and increased 0.3% year over year.

Asbury Automotive Group, Inc. (NYSE:ABG - Get Free Report) hit a new 52-week low during mid-day trading on Tuesday after Morgan Stanley lowered their price target on the stock from $230.00 to $184.00. Morgan Stanley currently has an equal weight rating on the stock. Asbury Automotive Group traded as low as $167.30 and last traded at $172.0660, with a volume of 301433 shares traded. The stock had previously closed at $175.88.

Other equities research analysts have also recently issued research reports about the company. Barclays raised their price objective on Asbury Automotive Group from $225.00 to $265.00 and gave the stock an "equal weight" rating in a report on Wednesday, July 29th. Weiss Ratings reissued a "hold (c-)" rating on shares of Asbury Automotive Group in a research note on Friday, July 24th. Seaport Research Partners raised shares of Asbury Automotive Group from a "neutral" rating to a "buy" rating and set a $300.00 price objective for the company in a research note on Tuesday, September 8th. UBS Group set a $250.00 price objective on shares of Asbury Automotive Group in a report on Wednesday, July 29th. Finally, Citigroup raised their target price on shares of Asbury Automotive Group from $212.00 to $250.00 and gave the stock a "neutral" rating in a research report on Friday, July 31st. Two analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, Asbury Automotive Group has a consensus rating of "Hold" and an average price target of $230.17.

Insider Buying and Selling at Asbury Automotive Group

In related news, SVP Jed Milstein sold 948 shares of the firm's stock in a transaction on 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 of the company's stock, valued at approximately $2,817,902.52. This trade represents a 7.77% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 0.75% of the company's stock.

Institutional Investors Weigh In On Asbury Automotive Group

A number of institutional investors have recently modified their holdings of the stock. Versant Capital Management Inc lifted its stake in Asbury Automotive Group by 42.4% during the third quarter. Versant Capital Management Inc now owns 534 shares of the company's stock worth $92,000 after purchasing an additional 159 shares during the last quarter. Cim Investment Management Inc. increased its position in Asbury Automotive Group by 7.3% in the 2nd quarter. Cim Investment Management Inc. now owns 1,167 shares of the company's stock valued at $235,000 after acquiring an additional 79 shares during the period. Engineers Gate Manager LP grew its position in Asbury Automotive Group by 1,067.2% in the 2nd quarter. Engineers Gate Manager LP now owns 14,217 shares of the company's stock valued at $2,859,000 after buying an additional 12,999 shares in the last quarter. GoodHaven Capital Management LLC increased its stake in shares of Asbury Automotive Group by 29.0% during the second quarter. GoodHaven Capital Management LLC now owns 56,450 shares of the company's stock valued at $11,351,000 after acquiring an additional 12,689 shares during the period. Finally, Allworth Financial LP boosted its stake in Asbury Automotive Group by 263.3% during the 2nd quarter. Allworth Financial LP now owns 178 shares of the company's stock valued at $36,000 after purchasing an additional 129 shares in the last quarter.

Asbury Automotive Group Trading Down 2.2%

The stock has a market capitalization of $3.09 billion, a P/E ratio of 6.43, a price-to-earnings-growth ratio of 0.68 and a beta of 0.78. The business has a 50 day simple moving average of $205.88 and a 200-day simple moving average of $201.97. The company has a debt-to-equity ratio of 0.77, a quick ratio of 0.29 and a current ratio of 0.91.

Asbury Automotive Group (NYSE:ABG - Get Free Report) last posted its quarterly earnings data on Tuesday, July 28th. The company reported $6.82 EPS for the quarter, topping analysts' consensus estimates of $6.31 by $0.51. The company had revenue of $4.38 billion for the quarter, compared to the consensus estimate of $4.49 billion. Asbury Automotive Group had a return on equity of 12.72% and a net margin of 2.83%.The company's quarterly revenue was up .3% compared to the same quarter last year. During the same quarter in the previous year, the business earned $7.43 EPS. On average, analysts predict that Asbury Automotive Group, Inc. will post 26.44 EPS for the current year.

About Asbury Automotive Group

Asbury Automotive Group, Inc is a U.S.-based automotive retailer that operates franchised dealerships representing a range of domestic and international vehicle manufacturers. The company sells new and used cars, trucks and sport utility vehicles, and provides related financing and insurance products.

In addition to vehicle sales, Asbury's dealerships offer automotive maintenance and repair, replacement parts, collision repair and other after-sales services. The company also operates Clicklane, a digital retail platform designed to support online vehicle purchasing, financing and trade-ins.

Headquartered in Duluth, Georgia, Asbury serves customers through dealership locations across multiple U.S.

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