Cars.com Inc. (CARS) - What Are Researchers Thinking About This Stock?

Key Points

• Analysts have a moderately bullish view: Cars.com has an average “Moderate Buy” rating from eight analysts, with a consensus 12-month price target of $14.58. Recent actions included UBS lowering its target to $11.50 and Zacks upgrading the stock to “strong buy.”
• Cars.com shares opened at $11.22, within a 52-week range of $7.40 to $13.69. In its latest quarter, the company met the $0.51 EPS consensus, while revenue rose 0.7% year over year to $179.93 million, slightly below estimates.
• Institutional ownership is high at 89.15%, although company insiders sold shares in August; insiders currently own 3.36% of the stock. The company’s digital automotive marketplace connects car shoppers with dealers and manufacturers and provides advertising, inventory, financing and analytics services.

Cars.com Inc. (NYSE:CARS - Get Free Report) has been given an average recommendation of "Moderate Buy" by the eight ratings firms that are covering the stock, Marketbeat Ratings reports. Four investment analysts have rated the stock with a hold recommendation, three have issued a buy recommendation and one has given a strong buy recommendation to the company. The average 12 month price target among analysts that have updated their coverage on the stock in the last year is $14.58.

Several research firms recently commented on CARS. Weiss Ratings lowered shares of Cars.com from a "hold (c)" rating to a "hold (c-)" rating in a report on Tuesday, September 29th. UBS Group reduced their price objective on shares of Cars.com from $13.00 to $11.50 and set a "neutral" rating for the company in a research report on Wednesday, October 7th. Zacks Research upgraded shares of Cars.com from a "hold" rating to a "strong-buy" rating in a research report on Friday, October 9th. Finally, BTIG Research restated a "buy" rating and set a $14.00 price objective on shares of Cars.com in a research report on Thursday, August 6th.

Cars.com Price Performance

Shares of Cars.com stock opened at $11.22 on Monday. The stock has a market capitalization of $600.61 million, a price-to-earnings ratio of 19.68 and a beta of 1.66. The company has a current ratio of 2.00, a quick ratio of 2.00 and a debt-to-equity ratio of 1.01. The firm's 50-day moving average price is $10.91 and its two-hundred day moving average price is $10.58. Cars.com has a 1-year low of $7.40 and a 1-year high of $13.69.

Cars.com (NYSE:CARS - Get Free Report) last released its earnings results on Thursday, August 6th. The company reported $0.51 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.51. Cars.com had a net margin of 4.73% and a return on equity of 18.82%. The firm had revenue of $179.93 million during the quarter, compared to analyst estimates of $180.53 million. During the same quarter last year, the business earned $0.41 EPS. The business's revenue was up .7% on a year-over-year basis. On average, equities analysts predict that Cars.com will post 1.61 earnings per share for the current fiscal year.

Insider Activity at Cars.com

In other news, insider Angelique Marks sold 57,980 shares of the firm's stock in a transaction on Monday, August 17th. The stock was sold at an average price of $11.94, for a total value of $692,281.20. Following the completion of the transaction, the insider owned 149,636 shares in the company, valued at $1,786,653.84. This trade represents a 27.93% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Jr. Donald A. Mcgovern sold 8,000 shares of Cars.com stock in a transaction that occurred on Thursday, August 20th. The shares were sold at an average price of $12.25, for a total transaction of $98,000.00. Following the completion of the transaction, the director directly owned 102,900 shares in the company, valued at approximately $1,260,525. The trade was a 7.21% decrease in their position. The disclosure for this sale is available in the SEC filing. 3.36% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Cars.com

A number of hedge funds have recently made changes to their positions in CARS. Public Employees Retirement System of Ohio acquired a new position in Cars.com during the second quarter valued at approximately $26,000. Versant Capital Management Inc boosted its stake in shares of Cars.com by 250.1% during the 3rd quarter. Versant Capital Management Inc now owns 5,356 shares of the company's stock valued at $55,000 after purchasing an additional 3,826 shares in the last quarter. Hennessy Advisors Inc. bought a new position in shares of Cars.com in the second quarter worth approximately $144,000. Amundi purchased a new stake in shares of Cars.com in the 2nd quarter worth $192,000. Finally, Kendall Capital Management bought a new stake in shares of Cars.com in the second quarter worth about $197,000. Hedge funds and other institutional investors own 89.15% of the company's stock.

Cars.com Company Profile

Cars.com Inc NYSE: CARS operates a digital automotive marketplace that connects consumers with automotive dealers and manufacturers. Its platform enables shoppers to research vehicles, compare listings, read reviews, obtain financing information and connect with sellers when buying new or used cars.

The company provides automotive retailers with digital marketing, advertising, inventory merchandising, website and digital retailing solutions, as well as data and analytics tools. Its portfolio includes the Cars.com marketplace and related brands and services focused on dealer reviews, vehicle financing, automotive content and customer engagement.

Cars.com primarily serves the United States automotive market, working with consumers, franchised and independent dealerships, original equipment manufacturers and other industry participants.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.