Abacus Life (ABL) AI Stock Analysis

• Market Cap: $831.88M
• Dividend Yield: N/A
• Average Volume (3M): 747.93K
• Price to Earnings (P/E): 109.0
• Beta (1Y): 0.47
• Revenue Growth: 91.78%
• EPS Growth: N/A
• Country: US
• Employees: 157
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Life
• EPS (TTM): 0.24
• Shares Outstanding: 97,752,850
• 10 Day Avg. Volume: 794,987
• 30 Day Avg. Volume: 747,931
• PEG Ratio: 0.08
• Price to Book (P/B): 1.31
• Price to Sales (P/S): 4.95
• P/FCF Ratio: -2.64
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 4.51
• Enterprise Value/Gross Profit: 5.16
• Enterprise Value/Ebitda: 11.67
• 1Y Price Target: $12.17
• Price Target Upside: 43.01% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 0.82
• Revenue Forecast (FY): $217.01M

• Rating: 68 Neutral
• Price Target: $9.50 ▲(11.63% Upside)

Abacus Life's overall stock score is driven by strong earnings call performance and positive technical indicators, despite challenges in valuation and financial performance. The company's strategic initiatives and revenue growth are significant positives, but high P/E ratio and cash flow issues warrant caution.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial stability.

Strategic Initiatives

These initiatives reflect confidence in the company's financial health and commitment to returning value to shareholders, supporting long-term growth.

Securitization Milestone

This milestone opens new institutional channels, validating demand and enhancing Abacus's funding capabilities for sustained growth.

Negative Factors

Profitability Challenges

Negative profit margins indicate ongoing challenges in converting revenue into profit, which could hinder long-term financial health.

Cash Flow Issues

Negative cash flow growth suggests difficulties in generating cash from operations, potentially impacting future investment and growth.

Increased Operating Expenses

Rising expenses could pressure margins, affecting profitability and financial flexibility if not managed effectively over the long term.

Abacus Life Business Overview & Revenue Model

Company Description

Abacus Life (ABL) is a financial services company specializing in the purchase and management of life insurance policies. Operating in the life settlements sector, ABL focuses on providing liquidity solutions for policyholders looking to sell their life insurance policies for a cash value. The company offers a range of services, including policy appraisals, funding solutions, and ongoing management of acquired policies, catering to both individual clients and institutional investors.

How the Company Makes Money

Abacus Life generates revenue primarily through the acquisition of life insurance policies at a discount to their face value. The company earns money by collecting the death benefits upon the policyholder's passing, which typically exceeds the initial purchase price. Key revenue streams include the premiums paid on acquired policies, the appreciation in policy value, and potential investment income from the capital used to purchase these policies. Additionally, ABL may engage in partnerships with financial institutions and brokers that facilitate policy acquisitions, further enhancing its revenue potential through commission structures and referral fees.

Abacus Life Financial Statement Overview

Summary

Abacus Life demonstrates strong revenue growth and operational efficiency, but faces challenges in profitability and cash flow management. The balance sheet is stable with moderate leverage, yet the negative return on equity indicates inefficiencies. Overall, the company needs to focus on improving profitability and cash flow generation to enhance financial health.

Income Statement

Abacus Life shows a strong revenue growth rate of 21.54% TTM, indicating a positive trajectory. However, the net profit margin is negative at -0.72% TTM, reflecting profitability challenges. The EBIT margin of 20.03% TTM is healthy, suggesting operational efficiency, but the EBITDA margin of 28.95% TTM indicates room for improvement in managing non-operating expenses.

Balance Sheet

The company's debt-to-equity ratio of 0.86 TTM is moderate, indicating a balanced approach to leveraging. However, the return on equity is negative at -0.30% TTM, highlighting inefficiencies in generating returns for shareholders. The equity ratio of 47.84% TTM suggests a stable capital structure with a solid equity base.

Cash Flow

Abacus Life's free cash flow growth rate is negative at -14.99% TTM, indicating cash flow challenges. The operating cash flow to net income ratio of 0.19 TTM suggests limited cash generation from operations. Additionally, the free cash flow to net income ratio of -4.84 TTM highlights significant cash flow management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	196.55M	111.92M	66.40M	44.71M	22.59M	1.22M
Gross Profit	172.01M	100.55M	59.91M	38.83M	8.39M	710.01K
EBITDA	76.02M	6.76M	23.78M	34.81M	1.03M	662.02K
Net Income	11.04M	-23.96M	9.52M	31.68M	997.41K	662.02K
Balance Sheet
Total Assets	918.94M	874.16M	331.83M	59.09M	1.84M	3.74M
Cash, Cash Equivalents and Short-Term Investments	86.42M	131.94M	27.84M	30.05M	102.42K	1.85M
Total Debt	124.71M	385.91M	141.74M	28.33M	1.05M	148.97K
Total Liabilities	479.34M	450.87M	167.76M	30.95M	1.07M	160.70K
Stockholders Equity	439.59M	424.15M	163.93M	27.25M	915.05K	2.08M
Cash Flow
Free Cash Flow	-111.14M	-209.62M	-64.71M	10.61M	1.12M	650.13K
Operating Cash Flow	-110.22M	-208.81M	-64.52M	10.69M	1.34M	650.13K
Investing Cash Flow	-17.77M	-4.96M	2.24M	-3.70M	-241.53K	-1.25M
Financing Cash Flow	195.00M	320.12M	57.82M	22.96M	-354.58K	697.81K

Abacus Life Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.51
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ABL, the sentiment is Positive. The current price of 8.51 is above the 20-day moving average (MA) of 7.28, above the 50-day MA of 6.28, and above the 200-day MA of 6.45, indicating a bullish trend. The MACD of 0.69 indicates Negative momentum. The RSI at 73.32 is Negative, neither overbought nor oversold. The STOCH value of 84.72 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ABL.

Abacus Life Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BHF	74 Outperform	$3.71B	4.43	16.27%	―	27.71%	―
CNO	72 Outperform	$4.15B	15.23	11.12%	1.54%	-1.61%	15.79%
ABL	68 Neutral	$831.88M	108.96	3.17%	―	91.78%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
AAME	62 Neutral	$65.68M	14.29	4.75%	0.62%	11.99%	―
CIA	60 Neutral	$299.77M	27.90	5.02%	―	-0.55%	-51.14%
GNW	60 Neutral	$3.66B	17.36	2.86%	―	1.41%	150.35%

Abacus Life Corporate Events

Abacus Life to Transfer Stock Listing to NYSE

On December 19, 2025, Abacus Global Management announced it would voluntarily transfer the listings of its common stock and 9.875% Fixed Rate Senior Notes due 2028 from Nasdaq to the New York Stock Exchange, with trading on Nasdaq expected to cease at the close of December 29, 2025 and trading on the NYSE to begin on or about December 30, 2025 under new ticker symbols “ABX” for the common stock and “ABXL” for the notes. Management framed the move as a strategic shift intended to tap the NYSE’s broader institutional investor base, global reach, and deeper liquidity, positioning the company to support its growth strategy and long-term shareholder value, while the NYSE welcomed Abacus as a complementary addition to its roster of issuers.

Abacus Life Announces Inaugural Annual Cash Dividend

On November 25, 2025, Abacus Global Management announced the timing of its inaugural annual cash dividend of $0.20 per share, payable on December 17, 2025, to shareholders of record as of December 2, 2025. This dividend reflects the company’s confidence in its business strength and is part of a broader capital allocation strategy to balance growth investments with shareholder returns, aiming to distribute up to 25% of adjusted net income or up to 55% of recurring revenue.

Abacus Life Announces $10M Stock Repurchase Program

On November 6, 2025, Abacus Global Management announced a $10 million stock repurchase program and an annual cash dividend of $0.20 per share, reflecting confidence in its long-term business model and capital strength. The initiatives are part of a broader capital allocation strategy aimed at enhancing shareholder value through consistent returns and strategic growth investments, funded by cash on hand and free cash flow.

Abacus Life Reports Strong Q3 2025 Earnings Growth

On November 6, 2025, Abacus Global Management reported its third-quarter 2025 results, marking the tenth consecutive quarter of earnings growth. The company achieved a record revenue growth of 124% year-over-year, reaching $63.0 million, and increased its adjusted net income by 60% to $23.6 million. Abacus also completed the strategic acquisition of AccuQuote and announced a $50 million securitized asset-backed rated note, enhancing its financial services platform and creating a scalable funding mechanism. These achievements have reinforced the company’s momentum and visibility in the market, with an increased full-year 2025 outlook for adjusted net income growth between 72% and 81%.

Abacus Life Raises 2025 Outlook Amid Revenue Surge

In a letter to shareholders dated September 25, 2025, Abacus Life reported nearly doubling its year-over-year revenue and adjusted net income, driven by strong demand for its investment products. The company raised its full-year 2025 outlook for adjusted net income, expecting growth of 59% to 72%, and announced its inclusion in the Russell 2000 and Russell 3000 indices. Despite a recent short attack, Abacus has maintained confidence among stakeholders and continues to focus on its growth strategy. The company introduced new key performance indicators to enhance transparency and demonstrate its value creation capabilities. Abacus’s business model, which integrates four synergistic verticals, is positioned for substantial market opportunities, aiming for sustainable, profitable growth.