CarGurus (NASDAQ:CARG) Price Target Cut to $40.00 by Analysts at Oppenheimer

Key Points

• Oppenheimer has lowered its price target for CarGurus from $42.00 to $40.00, while maintaining an "outperform" rating, suggesting a potential upside of 34.91% from its previous close.
• CarGurus recently reported earnings of $0.57 per share, surpassing analysts' expectations of $0.54, with revenue of $234.03 million for the quarter.
• Insiders have sold a total of 49,049 shares of the company's stock valued at approximately $1.6 million in the last 90 days, indicating some shifts in ownership among top executives.

CarGurus (NASDAQ:CARG - Get Free Report) had its price objective reduced by Oppenheimer from $42.00 to $40.00 in a research report issued on Tuesday,Benzinga reports. The firm currently has an "outperform" rating on the stock. Oppenheimer's price target suggests a potential upside of 25.98% from the stock's previous close.

CARG has been the topic of several other research reports. Citigroup reduced their price target on shares of CarGurus from $40.00 to $37.00 and set a "neutral" rating on the stock in a research report on Thursday, July 3rd. UBS Group set a $36.00 price target on shares of CarGurus and gave the company a "neutral" rating in a research report on Friday, August 8th. Gordon Haskett began coverage on shares of CarGurus in a research report on Monday, July 14th. They set a "hold" rating and a $35.00 price target on the stock. Citizens Jmp cut shares of CarGurus from an "outperform" rating to a "market perform" rating in a research report on Wednesday, July 2nd. Finally, Needham & Company LLC upped their price objective on shares of CarGurus from $39.00 to $44.00 and gave the stock a "buy" rating in a report on Friday, August 8th. Seven equities research analysts have rated the stock with a hold rating and six have issued a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $38.13.

CarGurus Stock Performance

Shares of NASDAQ CARG traded down $0.35 during midday trading on Tuesday, hitting $31.75. 946,283 shares of the company traded hands, compared to its average volume of 1,043,283. CarGurus has a 12-month low of $24.65 and a 12-month high of $41.33. The stock has a 50-day moving average price of $32.68 and a 200 day moving average price of $32.00. The firm has a market cap of $3.32 billion, a P/E ratio of 25.81, a P/E/G ratio of 1.57 and a beta of 1.42.

CarGurus (NASDAQ:CARG - Get Free Report) last announced its quarterly earnings results on Thursday, August 7th. The company reported $0.57 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.54 by $0.03. CarGurus had a net margin of 14.12% and a return on equity of 36.23%. The company had revenue of $234.03 million for the quarter, compared to analysts' expectations of $232.29 million. During the same quarter in the previous year, the company earned $0.41 earnings per share. CarGurus's quarterly revenue was up 7.0% on a year-over-year basis. As a group, equities analysts expect that CarGurus will post 1.41 earnings per share for the current year.

Insider Activity

In other news, CTO Matthew Todd Quinn sold 3,789 shares of the stock in a transaction that occurred on Wednesday, July 2nd. The shares were sold at an average price of $33.09, for a total transaction of $125,378.01. Following the sale, the chief technology officer owned 216,877 shares in the company, valued at $7,176,459.93. This represents a 1.72% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Ismail Elshareef sold 1,325 shares of the stock in a transaction that occurred on Thursday, July 10th. The shares were sold at an average price of $35.00, for a total transaction of $46,375.00. Following the sale, the insider owned 104,322 shares in the company, valued at approximately $3,651,270. The trade was a 1.25% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 49,049 shares of company stock valued at $1,616,397. Company insiders own 16.99% of the company's stock.

Institutional Investors Weigh In On CarGurus

Institutional investors have recently made changes to their positions in the company. BNP PARIBAS ASSET MANAGEMENT Holding S.A. purchased a new stake in shares of CarGurus during the second quarter valued at approximately $27,000. Private Wealth Asset Management LLC bought a new position in CarGurus during the second quarter valued at approximately $29,000. MAI Capital Management lifted its position in CarGurus by 661.0% during the second quarter. MAI Capital Management now owns 1,172 shares of the company's stock valued at $39,000 after purchasing an additional 1,018 shares during the period. BI Asset Management Fondsmaeglerselskab A S bought a new position in CarGurus during the first quarter valued at approximately $46,000. Finally, Fifth Third Bancorp lifted its position in CarGurus by 121.7% during the second quarter. Fifth Third Bancorp now owns 1,419 shares of the company's stock valued at $47,000 after purchasing an additional 779 shares during the period. Hedge funds and other institutional investors own 86.90% of the company's stock.

CarGurus Company Profile

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.