Macroaxis provides advice on Asbury Automotive to complement and cross-verify current
analyst consensus on Asbury Automotive Group. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon.
The successful prediction of Asbury Automotive
stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published
stock prices of traded companies, such as Asbury Automotive Group, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at
the intrinsic value of Asbury Automotive based on Asbury Automotive hews, social hype, general headline patterns, and widely used
predictive technical indicators. We also calculate exposure to Asbury Automotive's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Asbury Automotive's related companies.
Use Technical Analysis to project Asbury expected Price
Asbury Automotive technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Asbury Automotive technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Asbury Automotive trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions.
More Info...Asbury Automotive Gross Profit
Asbury Automotive Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Asbury Automotive previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Asbury Automotive Gross Profit growth over the last 10 years. Please check Asbury Automotive's
gross profit and other
fundamental indicators for more details.
Breaking down Asbury Automotive Further
Asbury Automotive reported the last year's revenue of 7.72
B. Total Income to common stockholders was 327.7
M with profit before taxes, overhead, and interest of 1.22
B.
| 2018 | 2019 | 2020 | 2021 (projected) |
Consolidated Income | 168 M | 184.4 M | 254.4 M | 212.38 M | Direct Expenses | 5.77 B | 6.04 B | 5.91 B | 5.18 B |
Cost of Revenue Breakdown
Asbury Automotive Cost of Revenue is increasing over the years with slightly volatile fluctuation. Ongoing Cost of Revenue is projected to grow to about 5.9
B this year. Cost of Revenue usually refers to the aggregate cost of goods produced and sold and services rendered during the reporting period. Asbury Automotive Cost of Revenue is projected to increase significantly based on the last few years of reporting. The past year's Cost of Revenue was at 5.91 Billion
| 2014 | 4.9 Billion |
| 2015 | 5.53 Billion |
| 2016 | 5.47 Billion |
| 2017 | 5.4 Billion |
| 2018 | 5.77 Billion |
| 2019 | 6.04 Billion |
| 2020 | 5.91 Billion |
| 2021 | 5.95 Billion |
Asbury may start a come-back in August
Mean deviation is down to 1.63. It may indicate a possible volatility dip. Asbury Automotive Group currently demonstrates below-average downside deviation. It has Information Ratio of -0.02 and Jensen Alpha of 0.0. However, we advise investors to further question Asbury Automotive Group expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Asbury Automotive's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Asbury Automotive's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Our Takeaway on Asbury Automotive Investment
When is the right time to buy or sell Asbury Automotive Group? Buying stocks such as Asbury Automotive isn't very hard. However, what challenging for most investors is doing it at the right time. Proper market timing is something most people cannot do without
sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.
While some shareholders may not share our view we believe that the current risk-reward utility is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Asbury Automotive.
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Rifka Kats is a Member of Macroaxis Editorial Board. Rifka writes about retail product and service companies from the perspective of a regular consumer and sophisticated investor at the same time. She is passionate about corporate ethics and equality in the workforce.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Rifka Kats do not own shares of Asbury Automotive Group. Please refer to our
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