Pacer Advisors Inc. Increases Stake in CarGurus, Inc. $CARG

Key Points

• Pacer Advisors Inc. dramatically increased its CarGurus stake by 5,046.6% in the fourth quarter, ending with 260,727 shares valued at about $10 million.
• CarGurus recently reported better-than-expected earnings of $0.58 per share on revenue of $243.56 million, with revenue up 8.2% from a year earlier.
• Analysts remain cautiously positive on the stock, with a Moderate Buy consensus and an average price target of $37.79, though insider selling has continued in recent months.

Pacer Advisors Inc. raised its position in shares of CarGurus, Inc. (NASDAQ:CARG - Free Report) by 5,046.6% in the fourth quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 260,727 shares of the company's stock after purchasing an additional 255,661 shares during the quarter. Pacer Advisors Inc. owned 0.27% of CarGurus worth $9,999,000 at the end of the most recent quarter.

Several other large investors have also bought and sold shares of CARG. Brown Brothers Harriman & Co. purchased a new stake in shares of CarGurus during the third quarter valued at approximately $46,000. Torren Management LLC purchased a new position in CarGurus in the 4th quarter worth approximately $49,000. EverSource Wealth Advisors LLC raised its holdings in CarGurus by 491.7% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,639 shares of the company's stock worth $55,000 after acquiring an additional 1,362 shares during the last quarter. Clearstead Advisors LLC lifted its position in CarGurus by 321.2% in the 4th quarter. Clearstead Advisors LLC now owns 2,127 shares of the company's stock valued at $82,000 after acquiring an additional 1,622 shares in the last quarter. Finally, Global Retirement Partners LLC lifted its position in CarGurus by 859.9% in the 4th quarter. Global Retirement Partners LLC now owns 2,323 shares of the company's stock valued at $89,000 after acquiring an additional 2,081 shares in the last quarter. 86.90% of the stock is owned by hedge funds and other institutional investors.

CarGurus Stock Performance

Shares of CARG stock opened at $30.02 on Monday. CarGurus, Inc. has a 12-month low of $26.39 and a 12-month high of $39.42. The stock has a market capitalization of $2.71 billion, a P/E ratio of 19.75, a P/E/G ratio of 1.10 and a beta of 1.20. The firm's 50 day moving average is $31.97 and its 200 day moving average is $33.31.

CarGurus (NASDAQ:CARG - Get Free Report) last announced its earnings results 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 during the quarter, compared to analyst estimates of $243.10 million. CarGurus had a net margin of 15.57% and a return on equity of 54.42%. The company's quarterly revenue was up 8.2% compared to the same quarter last year. During the same period in the previous year, the business earned $0.46 EPS. CarGurus has set its Q2 2026 guidance at 0.570-0.640 EPS. As a group, equities analysts predict that CarGurus, Inc. will post 2.11 earnings per share for the current year.

Analyst Upgrades and Downgrades

A number of analysts have commented on the company. JPMorgan Chase & Co. lifted their target price on CarGurus from $36.00 to $38.00 and gave the stock a "neutral" rating in a report on Friday, May 8th. Royal Bank Of Canada upped their price target on CarGurus from $34.00 to $35.00 and gave the company an "outperform" rating in a report on Monday, May 11th. Piper Sandler reaffirmed a "sector weight" rating on shares of CarGurus in a research report on Friday, June 12th. Weiss Ratings downgraded CarGurus from a "hold (c+)" rating to a "hold (c)" rating in a report on Wednesday, May 13th. Finally, Barclays began coverage on CarGurus in a research report on Thursday, May 28th. They issued an "overweight" rating and a $35.00 target price for the company. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and eight have assigned a Hold rating to the stock. According to MarketBeat.com, CarGurus currently has a consensus rating of "Moderate Buy" and an average target price of $37.79.

Insider Transactions at CarGurus

In other CarGurus 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 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 transaction was disclosed in a legal 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, CTO Matthew Todd Quinn sold 4,341 shares of the firm's stock in a transaction dated Thursday, April 2nd. The stock was 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. The trade was 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 have sold a total of 20,924 shares of company stock worth $669,419 in the last three months. 17.20% of the stock is owned by insiders.

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.

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