Asbury Automotive Q4 EPS beats estimates, revenue misses

Overview

• U.S. auto retailer's Q4 revenue rose 4% but missed analyst expectations

• Adjusted EPS for Q4 beat analyst expectations

• Company repurchased 212,000 shares for $50 mln

Outlook

• Company did not provide specific guidance for future quarters or years

Result Drivers

• USED VEHICLE PROFIT - Same store used retail gross profit increased by 4%, contributing to overall gross profit growth

• TEKION IMPLEMENTATION - Continued transition to Tekion with implementation across 15 additional stores

• STORE DIVESTITURES - Divested four stores as part of capital allocation and portfolio optimization efforts

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the auto vehicles, parts & service retailers peer group is "buy."

• Wall Street's median 12-month price target for Asbury Automotive Group Inc is $250.00, about 5.5% above its February 4 closing price of $237.04

• The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nBw4Y0tpca

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