Across the recent three months, 12 analysts have shared their insights on CarGurus CARG, expressing a variety of opinions spanning from bullish to bearish.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 5 | 6 | 1 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 2 | 0 | 0 | 0 |
| 3M Ago | 4 | 4 | 1 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $41.21, a high estimate of $46.00, and a low estimate of $35.00. Observing a 22.25% increase, the current average has risen from the previous average price target of $33.71.
Investigating Analyst Ratings: An Elaborate Study
A clear picture of CarGurus's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Chris Pierce | Needham | Raises | Buy | $45.00 | $39.00 |
| Nicholas Jones | JMP Securities | Maintains | Market Outperform | $46.00 | $46.00 |
| Nicholas Jones | JMP Securities | Raises | Market Outperform | $46.00 | $41.00 |
| Brad Erickson | RBC Capital | Raises | Outperform | $42.00 | $30.00 |
| Naved Khan | B. Riley Securities | Raises | Buy | $40.00 | $30.00 |
| Nicholas Jones | JMP Securities | Raises | Market Outperform | $41.00 | $32.00 |
| Chris Pierce | Needham | Raises | Buy | $39.00 | $27.00 |
| Rajat Gupta | JP Morgan | Raises | Overweight | $40.00 | $36.00 |
| Tom White | DA Davidson | Raises | Neutral | $38.50 | $26.50 |
| Jed Kelly | Oppenheimer | Raises | Outperform | $44.00 | $32.00 |
| Marvin Fong | BTIG | Raises | Buy | $35.00 | $30.00 |
| John Colantuoni | Jefferies | Raises | Buy | $38.00 | $35.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to CarGurus. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of CarGurus compared to the broader market.
- Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of CarGurus's stock. This examination reveals shifts in analysts' expectations over time.
To gain a panoramic view of CarGurus's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
Stay up to date on CarGurus analyst ratings.
About CarGurus
CarGurus Inc is a company that acts as an online automotive marketplace connecting buyers and sellers of new and used cars. The company provides three types of marketplace Listing products, Restricted Listings, and Enhanced or Featured Listing through which it offers real-time and historical data analyzing the connections and pricing analysis. The listing platforms offer auto manufacturers and others to buy advertising on the company's site and target consumers based on the make, model, and zip code of the cars. The company operates through two segments namely U.S. Marketplace and Digital Wholesale. It generates majority of revenue from the U.S. Marketplace.
Financial Insights: CarGurus
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
Positive Revenue Trend: Examining CarGurus's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 5.44% as of 30 September, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Communication Services sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 9.73%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): CarGurus's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 4.81%, the company showcases efficient use of equity capital and strong financial health.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 2.94%, the company showcases effective utilization of assets.
Debt Management: CarGurus's debt-to-equity ratio is below the industry average. With a ratio of 0.39, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
Analyst Ratings: What Are They?
Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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