LRT Capital Management, an investment management company, released its “LRT Global Opportunities Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The strategy leverages a systematic long/short approach to generate positive returns while effectively controlling downside risks and maintaining low net exposure to the equity markets. In September, the strategy returned -8.00% (net), and the YTD return was -0.17%. It was a challenging month for the strategy, as the market indexes surged, with a select few highly overvalued mega-cap stocks, while the rest of the market declined. In addition, please check the fund’s top five holdings to know its best picks in 2025.
In its third-quarter 2025 investor letter, LRT Global Opportunities Strategy highlighted stocks such as Asbury Automotive Group, Inc. (NYSE:ABG). Headquartered in Duluth, Georgia, Asbury Automotive Group, Inc. (NYSE:ABG) is an automotive retailer. The one-month return of Asbury Automotive Group, Inc. (NYSE:ABG) was -2.69%, and its shares gained 8.08% of their value over the last 52 weeks. On October 6, 2025, Asbury Automotive Group, Inc. (NYSE:ABG) stock closed at $247.51 per share, with a market capitalization of $4.866 billion.
LRT Global Opportunities Strategy stated the following regarding Asbury Automotive Group, Inc. (NYSE:ABG) in its third quarter 2025 investor letter:
“Asbury Automotive Group, Inc. (NYSE:ABG) stands as a premier operator and strategic consolidator within the vast U.S. automotive retail landscape. The company manages a geographically diverse and growing portfolio of dealerships, providing a comprehensive suite of offerings that includes new and used vehicles, financing and insurance products, and, most critically, parts and service operations. While the automotive retail sector is often characterized as fragmented and cyclical, Asbury’s disciplined operational methodology, clear strategic focus, and shareholder-friendly capital allocation have established it as a category leader with a durable model for long-term, profitable growth.
The fundamental competitive advantage of Asbury is rooted in the resilience of its business model, particularly its high-margin parts and service segment. This division generates a consistent, annuity-like revenue stream that provides significant profit stability throughout economic cycles. As vehicles become increasingly complex and technologically advanced, the specialized expertise and equipment housed within a franchised dealer’s service bay become ever more essential, deepening this protective moat against independent competition. This operational backbone is complemented by the company’s strategic focus on owning dealerships with desirable import and luxury brands situated in attractive, high-growth metropolitan areas. This brand mix not only ensures access to a strong and resilient customer base but also drives higher margin service work and greater customer loyalty over the lifetime of the vehicle.…” (Click here to read the full text)
Asbury Automotive Group, Inc. (NYSE:ABG) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 30 hedge fund portfolios held Asbury Automotive Group, Inc. (NYSE:ABG) at the end of the second quarter, compared to 40 in the previous quarter. While we acknowledge the risk and potential of Asbury Automotive Group, Inc. (NYSE:ABG) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Asbury Automotive Group, Inc. (NYSE:ABG) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Asbury Automotive Group, Inc. (NYSE:ABG) and shared the list of best automotive stocks to buy according to hedge funds. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.
READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.
Disclosure: None. This article is originally published at Insider Monkey.
