CarGurus, Inc. (NASDAQ:CARG) Receives Average Recommendation of “Hold” from Analysts

CarGurus, Inc. (NASDAQ:CARG) has received a consensus recommendation of “Hold” from the thirteen analysts that are presently covering the firm, MarketBeat reports. Eight research analysts have rated the stock with a hold rating and five have given a buy rating to the company. The average twelve-month target price among brokerages that have issued a report on the stock in the last year is $38.1364.

A number of equities analysts recently commented on the stock. BTIG Research lowered their price target on shares of CarGurus from $44.00 to $37.00 and set a “buy” rating on the stock in a research report on Friday, February 20th. UBS Group set a $38.00 price objective on shares of CarGurus in a research note on Tuesday, February 24th. Oppenheimer reduced their price objective on shares of CarGurus from $40.00 to $38.00 and set an “outperform” rating on the stock in a research note on Tuesday, February 24th. Jefferies Financial Group increased their price objective on shares of CarGurus from $42.00 to $45.00 and gave the stock a “buy” rating in a research note on Thursday, December 11th. Finally, Royal Bank Of Canada reduced their price objective on shares of CarGurus from $40.00 to $34.00 and set an “outperform” rating on the stock in a research note on Friday, February 20th.

Insider Activity

In other news, Director Stephen Kaufer acquired 30,766 shares of CarGurus stock in a transaction on Tuesday, March 3rd. The shares were purchased at an average cost of $32.50 per share, for a total transaction of $999,895.00. Following the completion of the purchase, the director directly owned 323,939 shares of the company’s stock, valued at approximately $10,528,017.50. This represents a 10.49% increase in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, CMO Dafna Sarnoff sold 5,445 shares of the stock in a transaction dated Thursday, April 2nd. The stock was sold at an average price of $33.04, for a total transaction of $179,902.80. Following the sale, the chief marketing officer owned 134,369 shares in the company, valued at $4,439,551.76. The trade was a 3.89% 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. Over the last three months, insiders sold 14,497 shares of company stock valued at $484,038. Company insiders own 16.99% of the company’s stock.

Institutional Investors Weigh In On CarGurus

A number of hedge funds have recently made changes to their positions in CARG. MAI Capital Management boosted its stake in shares of CarGurus by 661.0% in the 2nd quarter. MAI Capital Management now owns 1,172 shares of the company’s stock valued at $39,000 after purchasing an additional 1,018 shares in the last quarter. Farther Finance Advisors LLC boosted its stake in shares of CarGurus by 71.1% in the 3rd quarter. Farther Finance Advisors LLC now owns 1,066 shares of the company’s stock valued at $40,000 after purchasing an additional 443 shares in the last quarter. Brown Brothers Harriman & Co. acquired a new stake in shares of CarGurus in the 3rd quarter valued at approximately $46,000. Torren Management LLC acquired a new stake in shares of CarGurus in the 4th quarter valued at approximately $49,000. Finally, First Horizon Corp acquired a new stake in shares of CarGurus in the 3rd quarter valued at approximately $51,000. 86.90% of the stock is currently owned by institutional investors and hedge funds.

CarGurus Stock Performance

NASDAQ:CARG opened at $34.75 on Tuesday. CarGurus has a 52 week low of $24.65 and a 52 week high of $39.42. The firm has a market cap of $3.31 billion, a price-to-earnings ratio of 22.42, a P/E/G ratio of 1.24 and a beta of 1.32. The firm’s 50-day simple moving average is $31.62 and its 200 day simple moving average is $34.59.

CarGurus (NASDAQ:CARG) last released its quarterly earnings results on Thursday, February 19th. The company reported $0.63 EPS for the quarter, topping analysts’ consensus estimates of $0.61 by $0.02. CarGurus had a net margin of 16.60% and a return on equity of 47.50%. The business had revenue of $209.09 million for the quarter, compared to analyst estimates of $239.07 million. During the same period last year, the firm earned $0.55 earnings per share. CarGurus’s revenue for the quarter was up 14.7% compared to the same quarter last year. CarGurus has set its Q1 2026 guidance at 0.520-0.580 EPS. Sell-side analysts anticipate that CarGurus will post 1.41 EPS for the current year.

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.