CarGurus (NASDAQ:CARG) Stock Rating Lowered by Wall Street Zen

CarGurus (NASDAQ:CARG) was downgraded by equities researchers at Wall Street Zen from a “buy” rating to a “hold” rating in a research note issued on Saturday, Wall Street Zen reports.

Other equities analysts have also issued research reports about the company. UBS Group boosted their target price on CarGurus from $37.00 to $40.00 and gave the stock a “neutral” rating in a research report on Friday, August 7th. Needham & Company LLC raised their price target on shares of CarGurus from $43.00 to $44.00 and gave the company a “buy” rating in a report on Friday, August 7th. Oppenheimer raised their price target on shares of CarGurus from $38.00 to $44.00 and gave the company an “outperform” rating in a report on Wednesday, August 12th. Barclays lifted their price target on shares of CarGurus from $40.00 to $41.00 and gave the stock an “overweight” rating in a research note on Monday, August 10th. Finally, Citigroup boosted their price objective on shares of CarGurus from $32.00 to $39.00 and gave the company a “neutral” rating in a report on Friday, August 14th. One analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $40.75.

CarGurus Price Performance

NASDAQ:CARG opened at $30.02 on Friday. The stock has a market cap of $2.67 billion, a price-to-earnings ratio of 16.32, a PEG ratio of 1.07 and a beta of 1.22. The company’s 50 day moving average price is $34.80 and its 200-day moving average price is $33.61. CarGurus has a 52 week low of $26.39 and a 52 week high of $41.22.

CarGurus (NASDAQ:CARG) last posted its quarterly earnings results on Thursday, August 6th. The company reported $0.66 earnings per share for the quarter, topping the consensus estimate 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 was up 7.2% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.57 earnings per share. CarGurus has set its Q3 2026 guidance at 0.630-0.690 EPS. As a group, sell-side analysts anticipate that CarGurus will post 2.17 earnings per share for the current year.

Insider Activity at CarGurus

In other CarGurus news, CEO Jason Trevisan sold 1,100 shares of the company’s stock in a transaction that occurred on Friday, August 7th. The stock was sold at an average price of $41.06, for a total value of $45,166.00. Following the completion of the transaction, the chief executive officer directly owned 674,762 shares in the company, valued at $27,705,727.72. This represents a 0.16% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Javier Zamora sold 6,205 shares of the stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $37.08, for a total transaction of $230,081.40. Following the sale, the general counsel directly owned 80,260 shares of the company’s stock, valued at approximately $2,976,040.80. This trade represents a 7.18% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 54,456 shares of company stock valued at $1,981,734 in the last 90 days. 18.19% of the stock is owned by company insiders.

Institutional Trading of CarGurus

Several hedge funds have recently bought and sold shares of CARG. Public Employees Retirement System of Ohio purchased a new position in shares of CarGurus during the second quarter valued at about $43,000. Rockefeller Capital Management L.P. increased its holdings in shares of CarGurus by 356.5% in the fourth quarter. Rockefeller Capital Management L.P. now owns 2,173 shares of the company’s stock worth $83,000 after purchasing an additional 1,697 shares during the last quarter. Versant Capital Management Inc lifted its position in shares of CarGurus by 20.2% in the third quarter. Versant Capital Management Inc now owns 2,325 shares of the company’s stock worth $72,000 after buying an additional 391 shares in the last quarter. EverSource Wealth Advisors LLC lifted its position in shares of CarGurus by 28.3% in the first quarter. EverSource Wealth Advisors LLC now owns 3,778 shares of the company’s stock worth $129,000 after buying an additional 834 shares in the last quarter. Finally, Nykredit A S bought a new position in CarGurus during the second quarter valued at approximately $183,000. Hedge funds and other institutional investors own 86.90% of the company’s stock.

About CarGurus

CarGurus, Inc is a digital automotive marketplace that connects consumers with dealerships and private sellers offering new and used vehicles. Its platform enables shoppers to search vehicle listings, compare prices and features, review dealership information, and evaluate vehicle deals using data-driven tools. CarGurus generates revenue primarily by providing automotive dealers with listing, advertising, and other digital marketing services.

The company also offers products designed to help dealers attract shoppers, manage vehicle listings, and support the online and in-person vehicle-buying process.