Abacus Life (ABL) AI Stock Analysis

• Market Cap: $520.66M
• Dividend Yield: N/A
• Average Volume (3M): 1.08M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.62
• Revenue Growth: 76.25%
• EPS Growth: -924.20%
• Country: US
• Employees: 157
• Sector: Financial
• Sector Strength: 74
• Industry: Insurance - Life
• EPS (TTM): 0.18
• Shares Outstanding: 97,867,820
• 10 Day Avg. Volume: 765,471
• 30 Day Avg. Volume: 1,075,007
• PEG Ratio: -1.20
• Price to Book (P/B): 1.09
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.76
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 1.24
• Enterprise Value/Gross Profit: 4.71
• Enterprise Value/Ebitda: 7.43
• 1Y Price Target: $13.25
• Price Target Upside: 149.06% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 48 Neutral
• Price Target: $5.00 ▼(-6.02%Downside)

The overall stock score for Abacus Life is significantly impacted by its weak financial performance and bearish technical indicators. Although recent corporate events are positive, they are not sufficient to offset the challenges posed by unprofitability and cash flow issues.

Positive Factors

Acquisitions

Investor Day Review highlights upbeat sentiment on acquisitions for Abacus Life, Inc.

Financial Guidance

Guidance for Abacus Life, Inc. has been reaffirmed, indicating confidence in future performance.

Market Position

A short report against Abacus Life, Inc. has been refuted, strengthening the company's market position.

Negative Factors

Short Report Concerns

Morpheus Research claimed that ABL used unreliable estimates of life expectancy provided by non-independent Lapetus Solutions to over-value ABL's portfolio of life insurance settlements.

Valuation Concerns

The upside to the price target is now 127%, given the decline in ABL shares following the Morpheus report.

Abacus Life Business Overview & Revenue Model

Company Description

Abacus Life, Inc. operates as an alternative asset manager specializing in life insurance products. It purchases life insurance policies from consumers seeking liquidity and manages policies over time via trading, holding, and/or servicing. The company was founded in 2004 and is based in Orlando, Florida.

How the Company Makes Money

Abacus Life makes money primarily through the acquisition and management of life insurance policies. The company purchases these policies at a discount from their face value and continues to pay the premiums. Upon the maturity of these policies, Abacus Life collects the death benefits, with the difference between the purchase price, premiums paid, and the death benefit amounting to profit. Key revenue streams include the proceeds from policy maturities and the management of a diversified portfolio of life insurance assets. Strategic partnerships with financial advisors, brokers, and insurance companies also play a significant role in sourcing policies and expanding the company's market reach.

Abacus Life Financial Statement Overview

Summary

Abacus Life exhibits a mixed financial performance. Strong revenue growth is offset by negative net profit margin and cash flow challenges, indicating financial instability.

Income Statement

Abacus Life shows a mixed income statement performance. The TTM data indicates a significant increase in total revenue compared to the previous annual period, resulting in a strong revenue growth rate. However, net profit margin is negative due to significant net losses, which raises concerns about profitability. The gross profit margin remains healthy, but the EBIT and EBITDA margins are inconsistent, reflecting volatility in operating performance.

Balance Sheet

The balance sheet of Abacus Life demonstrates a stable equity base with a reasonable equity ratio. The company has managed to maintain a low debt-to-equity ratio, indicating controlled leverage. However, the return on equity is impacted by negative net income, which is a concern for investors looking for profitable returns.

Cash Flow

The cash flow analysis is concerning as Abacus Life reports negative operating cash flow in both TTM and previous annual periods, leading to negative free cash flow. This indicates cash management challenges. The operating cash flow to net income ratio is unfavorable due to persistent net losses, which raises sustainability risks.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	111.92M	66.40M	44.71M	22.59M	27.37M
Gross Profit	100.55M	59.91M	38.83M	8.39M	26.86M
EBITDA	12.72M	23.33M	34.81M	1.03M	0.00
Net Income	-23.96M	9.52M	31.68M	997.41K	1.44M
Balance Sheet
Total Assets	874.16M	331.83M	59.09M	5.29M	3.74M
Cash, Cash Equivalents and Short-Term Investments	131.94M	27.84M	30.05M	2.60M	1.85M
Total Debt	385.91M	141.74M	28.33M	367.51K	65.61K
Total Liabilities	450.87M	167.76M	30.95M	2.57M	1.13M
Stockholders Equity	424.15M	163.93M	27.25M	80.00K	2.08M
Cash Flow
Free Cash Flow	-209.62M	-64.71M	10.61M	1.12M	904.09K
Operating Cash Flow	-211.01M	-64.52M	10.69M	1.34M	904.09K
Investing Cash Flow	-4.96M	2.24M	-3.70M	-241.53K	16.40K
Financing Cash Flow	320.12M	57.82M	22.96M	-354.58K	-329.10K

Abacus Life Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 5.32
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ABL, the sentiment is Neutral. The current price of 5.32 is above the 20-day moving average (MA) of 5.18, below the 50-day MA of 6.38, and below the 200-day MA of 7.63, indicating a neutral trend. The MACD of -0.26 indicates Negative momentum. The RSI at 48.40 is Neutral, neither overbought nor oversold. The STOCH value of 79.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ABL.

Abacus Life Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GNW	73 Outperform	$3.10B	15.16	2.73%	―	0.98%	156.14%
Sector *	68 Neutral	$17.10B	11.62	9.70%	3.86%	11.32%	-7.37%
CIA	59 Neutral	$191.07M	22.02	4.23%	―	1.80%	-39.04%
CNO	58 Neutral	$3.72B	13.10	12.47%	1.73%	-0.78%	-16.22%
AAME	57 Neutral	$44.26M	―	-1.43%	1.84%	2.04%	-66.36%
BHF	49 Neutral	$2.90B	6.04	13.00%	―	142.17%	―
ABL	48 Neutral	$520.66M	―	-5.98%	―	76.25%	-924.20%

Abacus Life Corporate Events

Abacus Life Launches Warrant Exchange Offer

On June 30, 2025, Abacus Global Management announced the commencement of an exchange offer and consent solicitation related to its outstanding public and private placement warrants. The company aims to simplify its capital structure and reduce the potential dilutive impact of the warrants by offering 0.23 shares of common stock in exchange for each warrant tendered. If successful, this move could increase the company’s flexibility for future financing and potentially result in an increase of approximately 5% in the total outstanding shares of common stock. The offer and consent solicitation are set to expire on July 29, 2025, and require the consent of at least 50% of the public warrant holders to amend the warrant agreement.

The most recent analyst rating on (ABL) stock is a Buy with a $14.00 price target. To see the full list of analyst forecasts on Abacus Life stock, see the ABL Stock Forecast page.

Abacus Life Announces Warrant Exchange Offer Plan

On June 27, 2025, Abacus Global Management, Inc. announced its plan to conduct a registered exchange offer and consent solicitation for its outstanding public and private placement warrants. The company intends to offer holders 0.23 shares of common stock for each warrant exchanged, while also seeking consent to amend the Warrant Agreement to allow a mandatory exchange at a slightly lower ratio. This move aims to streamline the company’s capital structure and potentially enhance shareholder value.

The most recent analyst rating on (ABL) stock is a Buy with a $14.00 price target. To see the full list of analyst forecasts on Abacus Life stock, see the ABL Stock Forecast page.

Abacus Life Holds 2025 Annual Stockholders Meeting

On June 12, 2025, Abacus Global Management, Inc. held its 2025 Annual Meeting of Stockholders where key decisions were made regarding the company’s governance and financial oversight. The meeting resulted in the re-election of Cornelis Michiel van Katwijk, Mary Beth Schulte, and Karla Radka as Class II directors for a three-year term, and the ratification of Grant Thornton LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025.

The most recent analyst rating on (ABL) stock is a Buy with a $14.00 price target. To see the full list of analyst forecasts on Abacus Life stock, see the ABL Stock Forecast page.

Abacus Life Announces Executive Compensation Changes

On May 8, 2025, Abacus Global Management, Inc. announced salary adjustments and compensation changes for its executive team, including the CEO, CFO, and Presidents. The changes involve increased annual salaries, performance-based restricted stock units (RSUs), and annual cash bonuses tied to the company’s 2025 performance targets. The RSUs will vest based on the company’s adjusted net income performance, with a stretch target set at $140 million. Additionally, the CEO is eligible for a one-time equity bonus if certain market capitalization targets are achieved.

The most recent analyst rating on (ABL) stock is a Buy with a $14.00 price target. To see the full list of analyst forecasts on Abacus Life stock, see the ABL Stock Forecast page.