CarGurus (NASDAQ:CARG) Releases Quarterly Earnings Results, Misses Estimates By $0.06 EPS

CarGurus (NASDAQ:CARG) issued its quarterly earnings results on Thursday. The company reported $0.44 EPS for the quarter, missing analysts’ consensus estimates of $0.50 by ($0.06), Zacks reports. The business had revenue of $228.54 million for the quarter, compared to analyst estimates of $231.72 million. CarGurus had a return on equity of 27.14% and a net margin of 2.34%. CarGurus updated its Q1 2025 guidance to 0.410-0.470 EPS.

CarGurus Stock Down 17.1 %

NASDAQ CARG traded down $6.44 during trading hours on Friday, reaching $31.15. 3,763,547 shares of the company were exchanged, compared to its average volume of 719,070. CarGurus has a 1 year low of $21.18 and a 1 year high of $41.33. The business’s 50 day simple moving average is $37.81 and its 200-day simple moving average is $33.67. The stock has a market capitalization of $3.23 billion, a P/E ratio of 173.07, a P/E/G ratio of 1.72 and a beta of 1.59.

Insider Buying and Selling

In other CarGurus news, COO Samuel Zales sold 20,000 shares of the stock in a transaction dated Monday, February 3rd. The shares were sold at an average price of $38.36, for a total transaction of $767,200.00. Following the completion of the transaction, the chief operating officer now owns 400,025 shares in the company, valued at $15,344,959. This trade represents a 4.76 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Zachary Emerson Hallowell sold 2,203 shares of the stock in a transaction dated Friday, January 17th. The stock was sold at an average price of $38.12, for a total transaction of $83,978.36. Following the transaction, the chief executive officer now owns 115,983 shares of the company’s stock, valued at $4,421,271.96. This represents a 1.86 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 59,388 shares of company stock worth $2,204,338. Insiders own 17.20% of the company’s stock.

Wall Street Analysts Forecast Growth

CARG has been the topic of a number of recent analyst reports. Needham & Company LLC restated a “buy” rating and issued a $45.00 price target on shares of CarGurus in a research report on Friday. B. Riley boosted their target price on shares of CarGurus from $30.00 to $40.00 and gave the company a “buy” rating in a report on Monday, November 11th. JPMorgan Chase & Co. upped their price target on shares of CarGurus from $40.00 to $42.00 and gave the company an “overweight” rating in a research report on Friday. Oppenheimer lifted their price objective on CarGurus from $32.00 to $44.00 and gave the stock an “outperform” rating in a research report on Friday, November 8th. Finally, DA Davidson upped their target price on CarGurus from $26.50 to $38.50 and gave the company a “neutral” rating in a research report on Friday, November 8th. Two research analysts have rated the stock with a hold rating, eight have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, CarGurus currently has a consensus rating of “Moderate Buy” and an average price target of $38.59.

About CarGurus

CarGurus, Inc operates an online automotive platform for buying and selling vehicles in the United States and internationally. It operates through two segments, U.S. Marketplace and Digital Wholesale. The company provides an online automotive marketplace where customers can search for new and used car listings from its dealers and sell their car to dealers and other consumers; and paid listings subscriptions for enhanced access to its marketplace that connects dealers to a large audience of informed and engaged consumers.