In the preceding three months, 6 analysts have released ratings for CarGurus (NASDAQ:CARG), presenting a wide array of perspectives from bullish to bearish.
The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 1 | 3 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 2 | 1 | 1 | 0 | 0 |
| 3M Ago | 0 | 0 | 1 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $39.0, a high estimate of $44.00, and a low estimate of $35.00. Observing a 3.17% increase, the current average has risen from the previous average price target of $37.80.
Diving into Analyst Ratings: An In-Depth Exploration
The perception of CarGurus by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Kunal Madhukar | UBS | Raises | Neutral | $40.00 | $36.00 |
| Marvin Fong | BTIG | Maintains | Buy | $39.00 | $39.00 |
| Jed Kelly | Oppenheimer | Lowers | Outperform | $40.00 | $42.00 |
| Kunal Madhukar | UBS | Raises | Neutral | $36.00 | $33.00 |
| Chris Pierce | Needham | Raises | Buy | $44.00 | $39.00 |
| Robert Mollins | Gordon Haskett | Announces | Hold | $35.00 | - |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to CarGurus. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of CarGurus compared to the broader market.
- Price Targets: Understanding forecasts, analysts offer estimates for CarGurus's future value. Examining the current and prior targets provides insight into analysts' changing expectations.
Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into CarGurus's market standing. Stay informed and make well-considered decisions with our Ratings Table.
Stay up to date on CarGurus analyst ratings.
Unveiling the Story Behind 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 Listings, 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 maximum revenue from the U.S. Marketplace segment. Geographically, the company derives its key revenue from the United States and the rest from international markets.
Breaking Down CarGurus's Financial Performance
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
Revenue Growth: CarGurus displayed positive results in 3M. As of 30 June, 2025, the company achieved a solid revenue growth rate of approximately 7.01%. This indicates a notable increase in the company's 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: CarGurus's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 9.55% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): CarGurus's ROE excels beyond industry benchmarks, reaching 5.34%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): CarGurus's ROA stands out, surpassing industry averages. With an impressive ROA of 3.16%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.45.
The Basics of Analyst Ratings
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.
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