CarGurus (NASDAQ:CARG) Issues Q3 2026 Earnings Guidance

CarGurus (NASDAQ:CARG) issued an update on its third quarter 2026 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of 0.630-0.690 for the period, compared to the consensus estimate of 0.610. The company issued revenue guidance of $253.5 million-$258.5 million, compared to the consensus revenue estimate of $256.9 million. CarGurus also updated its FY 2026 guidance to EPS.

CarGurus Price Performance

Shares of CarGurus stock traded down $0.03 on Thursday, hitting $36.38. The company had a trading volume of 1,226,880 shares, compared to its average volume of 1,016,753. CarGurus has a twelve month low of $26.39 and a twelve month high of $39.42. The stock has a 50-day moving average of $32.66 and a 200-day moving average of $32.61. The firm has a market capitalization of $3.28 billion, a P/E ratio of 18.39, a P/E/G ratio of 1.33 and a beta of 1.17.

CarGurus (NASDAQ:CARG) last posted its quarterly earnings data on Thursday, August 6th. The company reported $0.66 EPS for the quarter, beating the consensus estimate of $0.61 by $0.05. The business had revenue of $250.97 million for the quarter, compared to analysts’ expectations of $249.85 million. CarGurus had a net margin of 15.57% and a return on equity of 54.42%. The firm’s revenue was up 7.2% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.57 EPS. CarGurus has set its Q3 2026 guidance at 0.630-0.690 EPS. Equities analysts predict that CarGurus will post 2.11 EPS for the current year.

Wall Street Analysts Forecast Growth

CARG has been the subject of a number of research reports. Needham & Company LLC increased their price objective on CarGurus from $37.00 to $43.00 and gave the stock a “buy” rating in a report on Friday, May 8th. Weiss Ratings downgraded shares of CarGurus from a “hold (c+)” rating to a “hold (c)” rating in a report on Wednesday, May 13th. JPMorgan Chase & Co. increased their target price on shares of CarGurus from $36.00 to $38.00 and gave the stock a “neutral” rating in a report on Friday, May 8th. Wall Street Zen raised shares of CarGurus from a “hold” rating to a “buy” rating in a research report on Saturday, June 27th. Finally, Freedom Capital raised shares of CarGurus to a “strong-buy” rating in a research report on Friday, June 12th. One investment analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $38.55.

Insider Activity

In related news, CTO Matthew Todd Quinn sold 3,824 shares of the firm’s stock in a transaction on Thursday, July 2nd. The shares were sold at an average price of $35.03, for a total value of $133,954.72. Following the completion of the transaction, the chief technology officer directly owned 233,146 shares of the company’s stock, valued at approximately $8,167,104.38. This trade represents a 1.61% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed 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 business’s stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $37.08, for a total transaction of $230,081.40. Following the transaction, the general counsel owned 80,260 shares in the company, valued at approximately $2,976,040.80. The trade was 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. In the last 90 days, insiders sold 31,764 shares of company stock valued at $1,071,649. 18.19% of the stock is owned by insiders.

Institutional Investors Weigh In On CarGurus

A number of institutional investors and hedge funds have recently modified their holdings of CARG. Wellington Management Group LLP raised its stake in CarGurus by 6.6% in the third quarter. Wellington Management Group LLP now owns 9,636,671 shares of the company’s stock valued at $358,773,000 after buying an additional 594,670 shares during the period. The Manufacturers Life Insurance Company raised its holdings in CarGurus by 0.3% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 1,914,925 shares of the company’s stock valued at $64,093,000 after acquiring an additional 6,676 shares in the last quarter. Arrowstreet Capital Limited Partnership lifted its position in CarGurus by 11.1% during the third quarter. Arrowstreet Capital Limited Partnership now owns 1,888,766 shares of the company’s stock worth $70,319,000 after purchasing an additional 188,856 shares during the period. Invesco Ltd. increased its holdings in CarGurus by 6.9% in the 2nd quarter. Invesco Ltd. now owns 1,717,321 shares of the company’s stock valued at $57,479,000 after buying an additional 110,452 shares during the period. Finally, UBS Group AG raised its position in shares of CarGurus by 158.2% in the 3rd quarter. UBS Group AG now owns 1,537,856 shares of the company’s stock valued at $57,254,000 after buying an additional 942,199 shares in the last quarter. 86.90% of the stock is owned by institutional investors.

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.