CarGurus (NASDAQ:CARG) Upgraded to “Buy” at Wall Street Zen

by · The Markets Daily

Wall Street Zen upgraded shares of CarGurus (NASDAQ:CARG – Free Report) from a hold rating to a buy rating in a research note issued to investors on Saturday.

Several other analysts also recently issued reports on CARG. Needham & Company LLC lifted their price target on shares of CarGurus from $43.00 to $44.00 and gave the company a “buy” rating in a research report on Friday, August 7th. BTIG Research upped their price objective on shares of CarGurus from $40.00 to $41.00 and gave the stock a “buy” rating in a report on Friday, August 7th. UBS Group raised their price objective on shares of CarGurus from $37.00 to $40.00 and gave the company a “neutral” rating in a research note on Friday, August 7th. JPMorgan Chase & Co. lifted their price objective on shares of CarGurus from $36.00 to $38.00 and gave the company a “neutral” rating in a report on Friday, May 8th. Finally, Royal Bank Of Canada lifted their price objective on shares of CarGurus from $35.00 to $42.00 and gave the company an “outperform” rating in a report on Friday, August 7th. One research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and seven have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $40.75.

Read Our Latest Report on CARG

CarGurus Stock Performance

CARG stock opened at $36.85 on Friday. The stock’s 50 day simple moving average is $34.64 and its 200 day simple moving average is $32.88. CarGurus has a fifty-two week low of $26.39 and a fifty-two week high of $41.22. The company has a market cap of $3.28 billion, a P/E ratio of 20.03, a price-to-earnings-growth ratio of 1.31 and a beta of 1.17.

CarGurus (NASDAQ:CARG – Get Free Report) last announced its quarterly earnings data on Thursday, August 6th. The company reported $0.66 EPS for the quarter, beating analysts’ consensus estimates of $0.61 by $0.05. The firm had revenue of $250.97 million during the quarter, compared to analysts’ expectations of $249.85 million. CarGurus had a return on equity of 62.88% and a net margin of 18.06%.The company’s revenue for the quarter was up 7.2% compared to the same quarter last year. During the same quarter last year, the firm posted $0.57 earnings per share. CarGurus has set its Q3 2026 guidance at 0.630-0.690 EPS. Equities analysts predict that CarGurus will post 2.17 earnings per share for the current year.

Insider Buying and Selling

In related news, CMO Dafna Sarnoff sold 17,151 shares of CarGurus stock in a transaction that occurred on Thursday, August 13th. The stock was sold at an average price of $37.00, for a total transaction of $634,587.00. Following the transaction, the chief marketing officer owned 109,668 shares of the company’s stock, valued at $4,057,716. The trade was a 13.52% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Greg M. Schwartz sold 10,000 shares of the company’s stock in a transaction on Wednesday, August 12th. The stock was sold at an average price of $36.07, for a total value of $360,700.00. Following the sale, the director owned 8,716 shares of the company’s stock, valued at $314,386.12. This trade represents a 53.43% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 60,015 shares of company stock valued at $2,112,102. 18.19% of the stock is currently owned by company insiders.

Institutional Trading of CarGurus

Institutional investors have recently made changes to their positions in the company. UBS Group AG lifted its position in shares of CarGurus by 158.2% during the third quarter. UBS Group AG now owns 1,537,856 shares of the company’s stock valued at $57,254,000 after purchasing an additional 942,199 shares in the last quarter. Wellington Management Group LLP grew its position in CarGurus by 6.6% in the 3rd quarter. Wellington Management Group LLP now owns 9,636,671 shares of the company’s stock worth $358,773,000 after purchasing an additional 594,670 shares in the last quarter. William Blair Investment Management LLC bought a new stake in CarGurus in the 4th quarter worth about $21,756,000. Northwestern Mutual Wealth Management Co. grew its position in CarGurus by 159,137.1% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 536,629 shares of the company’s stock worth $22,787,000 after purchasing an additional 536,292 shares in the last quarter. Finally, Bank of New York Mellon Corp purchased a new stake in CarGurus in the 2nd quarter valued at about $15,631,000. Institutional investors own 86.90% of the company’s stock.

CarGurus Company Profile

(Get Free Report)

CarGurus, Inc operates an online automotive marketplace designed to connect buyers and sellers of new and used vehicles. Through its proprietary search engine and data-driven pricing tools, the platform enables consumers to compare listings, assess fair market values and locate local dealers offering competitive deals. CarGurus also provides detailed vehicle history reports, dealer reviews and financing options to streamline the car-shopping process for both private parties and franchised dealerships.

The company’s core product offerings include Instant Market Value (IMV), which leverages pricing algorithms to help buyers identify over- or under-priced vehicles, as well as dealer subscription services that grant automotive retailers access to lead generation tools, targeted advertising and dynamic pricing insights.

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