CoverMe

Asbury Auto: Outstanding Yield Makes It a Bargain - Barron's

I appreciate your article, I'm a "newbie" investor and your insights are always appreciated. However, even with a .15% decrease in guidance, ABG has missed earnings estimates for the past three quarters.

That being said, the stock is up more than 7% today.

Could you (or anyone else, really) take a moment to explain a little more fully... (be sure to talk slowly and use small words) because I'm surely not "getting it." Seeing the chart take a long slide, losing about 50% of its' value since its' high in April a year ago, makes me wonder if a bet on ABG is a bet on the overall market having "bottomed" rather than a bet on the company itself.

The dividend is pretty, but looking at the chart, I feel like there are much better places to park my money that are going to do better than 5.9% over the next year (although the CFO said they "could" support the dividend... who says they actually will?). Again, I'm not getting it, but there's apparently something that everyone else IS getting.

Thanks again, and thanks in advance for any comments.