97,585 Shares in CarGurus, Inc. $CARG Bought by Convergence Investment Partners LLC

Key Points

• Convergence Investment Partners LLC opened a new position in CarGurus during the fourth quarter, buying 97,585 shares valued at about $3.74 million.
• Institutional ownership in CarGurus remains high, with hedge funds and other investors holding 86.90% of the stock. Several other funds also recently increased their stakes.
• CarGurus reported better-than-expected quarterly results, with EPS of $0.58 versus $0.56 expected and revenue of $243.56 million, while analysts currently rate the stock a Hold with a consensus price target of $38.23.

Convergence Investment Partners LLC acquired a new position in shares of CarGurus, Inc. (NASDAQ:CARG - Free Report) in the fourth quarter, according to its most recent 13F filing with the SEC. The institutional investor acquired 97,585 shares of the company's stock, valued at approximately $3,742,000. Convergence Investment Partners LLC owned about 0.10% of CarGurus at the end of the most recent reporting period.

Other hedge funds have also recently made changes to their positions in the company. 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 last quarter. Prevatt Capital Ltd raised its stake in CarGurus by 28.1% in the third quarter. Prevatt Capital Ltd now owns 2,050,000 shares of the company's stock valued at $76,322,000 after buying an additional 450,000 shares during the last quarter. Congress Asset Management Co. raised its stake in CarGurus by 2.9% in the fourth quarter. Congress Asset Management Co. now owns 1,958,144 shares of the company's stock valued at $75,095,000 after buying an additional 54,937 shares during the last quarter. The Manufacturers Life Insurance Company raised its stake in CarGurus by 0.3% in the second quarter. The Manufacturers Life Insurance Company now owns 1,914,925 shares of the company's stock valued at $64,093,000 after buying an additional 6,676 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership raised its stake in CarGurus by 11.1% in the third quarter. Arrowstreet Capital Limited Partnership now owns 1,888,766 shares of the company's stock valued at $70,319,000 after buying an additional 188,856 shares during the last quarter. 86.90% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of research firms have commented on CARG. Needham & Company LLC increased their price target on CarGurus from $37.00 to $43.00 and gave the company a "buy" rating in a research note on Friday, May 8th. Oppenheimer decreased their price target on CarGurus from $40.00 to $38.00 and set an "outperform" rating for the company in a research note on Tuesday, February 24th. Royal Bank Of Canada increased their price target on CarGurus from $34.00 to $35.00 and gave the company an "outperform" rating in a research note on Monday. Wall Street Zen upgraded CarGurus from a "hold" rating to a "buy" rating in a research note on Saturday, May 9th. Finally, Weiss Ratings cut CarGurus from a "hold (c+)" rating to a "hold (c)" rating in a research note on Wednesday. Five analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $38.23.

Insider Transactions at CarGurus

In other news, insider Jennifer Ladd Hanson sold 2,499 shares of the stock in a transaction dated Tuesday, March 31st. The stock was sold at an average price of $35.61, for a total value of $88,989.39. Following the transaction, the insider directly owned 98,191 shares of the company's stock, valued at approximately $3,496,581.51. This represents a 2.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Matthew Todd Quinn sold 4,341 shares of the stock in a transaction dated Thursday, April 2nd. The shares were sold at an average price of $33.04, for a total value of $143,426.64. Following the completion of the transaction, the chief technology officer directly owned 246,098 shares in the company, valued at $8,131,077.92. This represents a 1.73% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 12,852 shares of company stock valued at $431,053 over the last three months. Company insiders own 16.99% of the company's stock.

CarGurus Stock Performance

Shares of CARG stock opened at $28.67 on Friday. The stock's 50-day simple moving average is $34.57 and its 200-day simple moving average is $34.45. The firm has a market capitalization of $2.59 billion, a PE ratio of 18.86, a P/E/G ratio of 1.12 and a beta of 1.28. CarGurus, Inc. has a fifty-two week low of $26.39 and a fifty-two week high of $39.42.

CarGurus (NASDAQ:CARG - Get Free Report) last announced its quarterly earnings data on Thursday, May 7th. The company reported $0.58 earnings per share for the quarter, beating analysts' consensus estimates of $0.56 by $0.02. The business had revenue of $243.56 million for the quarter, compared to analyst estimates of $243.10 million. CarGurus had a return on equity of 54.42% and a net margin of 15.57%.The company's revenue was up 8.2% on a year-over-year basis. During the same period in the prior year, the company earned $0.46 earnings per share. CarGurus has set its Q2 2026 guidance at 0.570-0.640 EPS. Sell-side analysts forecast that CarGurus, Inc. will post 2.06 earnings per share for the current year.

CarGurus Company Profile

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.

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.