CarGurus (NASDAQ:CARG) Given New $33.50 Price Target at DA Davidson

CarGurus (NASDAQ:CARG) had its price target lowered by DA Davidson from $37.50 to $33.50 in a report released on Friday,Benzinga reports. The brokerage currently has a neutral rating on the stock.

Several other research firms have also recently commented on CARG. Jefferies Financial Group upped their price target on CarGurus from $42.00 to $45.00 and gave the company a “buy” rating in a report on Thursday, December 11th. Citigroup boosted their price objective on CarGurus from $37.00 to $41.00 and gave the company a “neutral” rating in a research report on Tuesday, October 28th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of CarGurus in a research report on Monday, December 29th. Needham & Company LLC lowered their price target on shares of CarGurus from $44.00 to $37.00 and set a “buy” rating on the stock in a report on Thursday, February 5th. Finally, BTIG Research dropped their price objective on shares of CarGurus from $44.00 to $37.00 and set a “buy” rating for the company in a research note on Friday. Five research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $38.50.

CarGurus Trading Up 3.3%

Shares of CARG stock opened at $30.17 on Friday. The firm has a market capitalization of $2.88 billion, a P/E ratio of 19.46, a price-to-earnings-growth ratio of 1.10 and a beta of 1.35. CarGurus has a 1 year low of $24.65 and a 1 year high of $39.42. The firm’s fifty day simple moving average is $34.28 and its 200 day simple moving average is $34.80.

CarGurus (NASDAQ:CARG) last issued its quarterly earnings results on Thursday, February 19th. The company reported $0.63 earnings per share for the quarter, beating analysts’ consensus estimates of $0.61 by $0.02. CarGurus had a net margin of 16.60% and a return on equity of 46.62%. The firm had revenue of $209.09 million during the quarter, compared to the consensus estimate of $239.07 million. During the same period in the prior year, the firm earned $0.55 EPS. The business’s revenue was up 14.7% on a year-over-year basis. CarGurus has set its Q1 2026 guidance at 0.520-0.580 EPS. Equities research analysts anticipate that CarGurus will post 1.41 EPS for the current fiscal year.

Insider Buying and Selling at CarGurus

In other news, insider Ismail Elshareef sold 1,645 shares of the business’s stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $32.21, for a total value of $52,985.45. Following the sale, the insider owned 91,822 shares in the company, valued at approximately $2,957,586.62. The trade was a 1.76% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Jason Trevisan sold 20,000 shares of CarGurus stock in a transaction dated Tuesday, December 9th. The shares were sold at an average price of $37.00, for a total transaction of $740,000.00. Following the transaction, the chief executive officer directly owned 655,483 shares of the company’s stock, valued at $24,252,871. This represents a 2.96% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 49,003 shares of company stock valued at $1,858,494. 16.99% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On CarGurus

A number of large investors have recently bought and sold shares of the business. BNP PARIBAS ASSET MANAGEMENT Holding S.A. bought a new position in CarGurus in the 2nd quarter valued at $27,000. MAI Capital Management increased its stake in shares of CarGurus by 661.0% in the second quarter. MAI Capital Management now owns 1,172 shares of the company’s stock valued at $39,000 after buying an additional 1,018 shares in the last quarter. Farther Finance Advisors LLC raised its holdings in shares of CarGurus by 71.1% in the third quarter. Farther Finance Advisors LLC now owns 1,066 shares of the company’s stock valued at $40,000 after buying an additional 443 shares during the last quarter. Brown Brothers Harriman & Co. acquired a new position in CarGurus during the 3rd quarter worth about $46,000. Finally, Torren Management LLC acquired a new position in CarGurus during the 4th quarter worth about $49,000. 86.90% of the stock is currently owned by institutional investors.

CarGurus News Summary

Here are the key news stories impacting CarGurus this week:

• Positive Sentiment: Q4 EPS beat and strong profitability: CarGurus reported $0.63 EPS vs. $0.61 consensus and showed healthy margins and return on equity, giving confidence in earnings quality. MarketBeat: Q4 results
• Positive Sentiment: Raised revenue guidance for FY2026 and Q1: Management set FY revenue around $997.7M–$1.0B (above consensus ~$970.9M) and Q1 revenue guidance $240.5M–$245.5M (slightly above the $238.8M consensus), which supports top-line momentum. GlobeNewswire: Earnings release
• Positive Sentiment: Share buyback support: CarGurus repurchased ~ $350M in 2025 and announced a new $250M repurchase program for 2026 — a clear capital-return signal that can lift EPS and shareholder value. GlobeNewswire: Buyback details
• Positive Sentiment: AI and international growth narrative: Management is accelerating AI-driven product launches and emphasizing international expansion, which analysts highlight as multi-year growth drivers. Seeking Alpha: AI & guidance
• Neutral Sentiment: Mixed guidance nuance — EPS vs. revenue: Q1 EPS guide (0.520–0.580) centers near/barely under consensus (0.560), while revenue guidance is modestly above consensus — investors should watch upcoming quarters to see if EPS catches up to revenue strength. Company slide deck
• Negative Sentiment: Revenue miss in quarter: Reported Q4 revenue ($209.1M) came in well below the consensus (~$239M), which tempers the EPS beat and may worry revenue-focused investors. MarketBeat: Revenue details
• Negative Sentiment: Analyst price-target cuts: RBC and DA Davidson trimmed targets (RBC $40?$34; DA Davidson $37.50?$33.50), which can cap near-term upside despite some analysts retaining positive ratings. The Fly: RBC note
• Negative Sentiment: Data-security headline: An alleged breach (1.7M records) reported by ShinyHunters creates reputational and potential regulatory risk; investors may view this as a short-term headwind. MSN: Data-breach report

About CarGurus

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.