Envestnet Asset Management Inc. Grows Stock Position in CarGurus, Inc. (NASDAQ:CARG)

Key Points

• Envestnet Asset Management Inc. increased its stake in CarGurus, Inc. by 34.3%, owning 48,629 shares valued at approximately $1.4 million.
• CarGurus reported an EPS of $0.46 for the last quarter, surpassing expectations, despite revenue of $225.16 million being slightly below analysts' projections.
• Insiders have sold a total of 49,049 shares in the last ninety days, indicating a 16.99% ownership stake held by insiders in the company.

Envestnet Asset Management Inc. boosted its position in CarGurus, Inc. (NASDAQ:CARG - Free Report) by 34.3% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 48,629 shares of the company's stock after acquiring an additional 12,423 shares during the quarter. Envestnet Asset Management Inc.'s holdings in CarGurus were worth $1,417,000 at the end of the most recent quarter.

Other hedge funds have also recently added to or reduced their stakes in the company. KLP Kapitalforvaltning AS purchased a new stake in CarGurus during the fourth quarter worth approximately $632,000. LPL Financial LLC lifted its stake in CarGurus by 12.9% during the fourth quarter. LPL Financial LLC now owns 47,145 shares of the company's stock worth $1,723,000 after purchasing an additional 5,389 shares during the last quarter. Vanguard Group Inc. lifted its stake in CarGurus by 2.4% in the fourth quarter. Vanguard Group Inc. now owns 9,686,886 shares of the company's stock valued at $353,959,000 after buying an additional 225,430 shares during the last quarter. JPMorgan Chase & Co. lifted its stake in CarGurus by 48.7% in the fourth quarter. JPMorgan Chase & Co. now owns 600,530 shares of the company's stock valued at $21,943,000 after buying an additional 196,697 shares during the last quarter. Finally, Norges Bank purchased a new stake in CarGurus in the fourth quarter valued at approximately $14,369,000. Institutional investors and hedge funds own 86.90% of the company's stock.

CarGurus Price Performance

CarGurus stock traded down $0.96 during trading hours on Friday, hitting $31.86. The stock had a trading volume of 753,343 shares, compared to its average volume of 701,371. The stock has a market capitalization of $3.33 billion, a price-to-earnings ratio of 91.03, a PEG ratio of 1.61 and a beta of 1.42. CarGurus, Inc. has a 1-year low of $21.65 and a 1-year high of $41.33. The stock's fifty day moving average is $32.77 and its two-hundred day moving average is $32.45.

CarGurus (NASDAQ:CARG - Get Free Report) last posted its earnings results on Thursday, May 8th. The company reported $0.46 earnings per share for the quarter, beating the consensus estimate of $0.42 by $0.04. The company had revenue of $225.16 million for the quarter, compared to analyst estimates of $226.72 million. CarGurus had a return on equity of 32.54% and a net margin of 4.28%. CarGurus's revenue was up 4.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.32 earnings per share. As a group, sell-side analysts anticipate that CarGurus, Inc. will post 1.41 EPS for the current year.

Insider Buying and Selling

In other news, CEO Zachary Emerson Hallowell sold 1,733 shares of the company's stock in a transaction on Thursday, July 17th. The stock was sold at an average price of $33.84, for a total value of $58,644.72. Following the sale, the chief executive officer directly owned 117,045 shares in the company, valued at $3,960,802.80. This represents a 1.46% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, COO Samuel Zales sold 10,000 shares of the company's stock in a transaction on Wednesday, July 16th. The shares were sold at an average price of $33.88, for a total value of $338,800.00. Following the completion of the sale, the chief operating officer owned 461,821 shares in the company, valued at $15,646,495.48. This represents a 2.12% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 49,049 shares of company stock valued at $1,616,397 in the last three months. 16.99% of the stock is owned by insiders.

Analyst Ratings Changes

A number of brokerages have weighed in on CARG. Citizens Jmp cut CarGurus from an "outperform" rating to a "market perform" rating in a research note on Wednesday, July 2nd. Royal Bank Of Canada reiterated an "outperform" rating and issued a $42.00 price objective on shares of CarGurus in a research note on Monday, May 12th. Citigroup reduced their price objective on CarGurus from $40.00 to $37.00 and set a "neutral" rating for the company in a research note on Thursday, July 3rd. Needham & Company LLC dropped their target price on CarGurus from $45.00 to $39.00 and set a "buy" rating on the stock in a report on Friday, May 9th. Finally, JMP Securities reissued a "market perform" rating and issued a $38.00 target price on shares of CarGurus in a report on Wednesday, July 2nd. Seven investment analysts have rated the stock with a hold rating and six have issued a buy rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Hold" and an average target price of $37.63.

About CarGurus

CarGurus, Inc operates an online automotive platform for buying and selling vehicles in the United States and internationally. It operates through two segments, U.S. Marketplace and Digital Wholesale. The company provides an online automotive marketplace where customers can search for new and used car listings from its dealers and sell their car to dealers and other consumers; and paid listings subscriptions for enhanced access to its marketplace that connects dealers to a large audience of informed and engaged consumers.