CarGurus (NASDAQ:CARG) Stock Price Crosses Above Fifty Day Moving Average - Here's What Happened

Key Points

• CarGurus shares crossed above their 50-day moving average, reaching $32.75 before last trading at $32.50; the stock was up 3.8%.
• Analysts maintain a consensus “Moderate Buy” rating, with an average price target of $39.95. Recent target increases include Royal Bank of Canada to $42 and BTIG Research to $41, although Wall Street Zen downgraded the stock to “Hold.”
• CarGurus exceeded quarterly expectations with EPS of $0.66 versus $0.61 expected and revenue of $250.97 million, up 7.2% year over year. Insiders sold 78,187 shares worth approximately $2.69 million in the last quarter, while institutional investors own 86.9% of the company.

CarGurus, Inc. (NASDAQ:CARG - Get Free Report) shares crossed above its fifty day moving average during trading on Thursday. The stock has a fifty day moving average of $32.45 and traded as high as $32.75. CarGurus shares last traded at $32.50, with a volume of 1,169,132 shares trading hands.

Wall Street Analyst Weigh In

A number of brokerages have commented on CARG. Wall Street Zen lowered shares of CarGurus from a "buy" rating to a "hold" rating in a report on Saturday, October 3rd. B. Riley Financial restated a "buy" rating on shares of CarGurus in a research note on Friday, August 7th. Citigroup lifted their target price on CarGurus from $32.00 to $39.00 and gave the stock a "neutral" rating in a research report on Friday, August 14th. Royal Bank Of Canada lifted their target price on CarGurus from $35.00 to $42.00 and gave the stock an "outperform" rating in a research report on Friday, August 7th. Finally, BTIG Research boosted their price target on CarGurus from $40.00 to $41.00 and gave the stock a "buy" rating in a research note on Friday, August 7th. One analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $39.95.

CarGurus Stock Up 3.8%

The business's 50 day moving average is $32.45 and its 200-day moving average is $32.88. The firm has a market cap of $2.89 billion, a P/E ratio of 17.66, a price-to-earnings-growth ratio of 1.11 and a beta of 1.22.

CarGurus (NASDAQ:CARG - Get Free Report) last posted its quarterly earnings results on Thursday, August 6th. The company reported $0.66 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.61 by $0.05. The firm had revenue of $250.97 million for the quarter, compared to analysts' expectations of $249.85 million. CarGurus had a net margin of 18.06% and a return on equity of 62.88%. The firm's quarterly revenue was up 7.2% on a year-over-year basis. During the same period in the prior year, the company posted $0.57 earnings per share. CarGurus has set its Q3 2026 guidance at 0.630-0.690 EPS. As a group, equities analysts predict that CarGurus, Inc. will post 2.17 earnings per share for the current year.

Insiders Place Their Bets

In related news, CTO Matthew Quinn sold 3,824 shares of CarGurus stock in a transaction dated Friday, October 2nd. The stock was sold at an average price of $29.62, for a total value of $113,266.88. Following the completion of the transaction, the chief technology officer directly owned 220,193 shares in the company, valued at approximately $6,522,116.66. This trade represents a 1.71% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Greg M. Schwartz sold 10,000 shares of the business's stock in a transaction dated Wednesday, August 12th. The shares were sold at an average price of $36.07, for a total value of $360,700.00. Following the completion of the sale, the director directly owned 8,716 shares of the company's stock, valued at approximately $314,386.12. This represents a 53.43% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 78,187 shares of company stock worth $2,691,547. Company insiders own 18.19% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. Bank of New York Mellon Corp bought a new position in shares of CarGurus in the 2nd quarter worth about $15,631,000. Pale Fire Capital SE acquired a new position in shares of CarGurus in the 2nd quarter valued at about $13,112,000. Lazard Asset Management LLC grew its position in shares of CarGurus by 180.8% during the 1st quarter. Lazard Asset Management LLC now owns 445,868 shares of the company's stock valued at $15,182,000 after buying an additional 287,067 shares during the last quarter. Prevatt Capital Ltd grew its position in shares of CarGurus by 12.5% during the 1st quarter. Prevatt Capital Ltd now owns 2,475,000 shares of the company's stock valued at $84,274,000 after buying an additional 275,000 shares during the last quarter. Finally, Assenagon Asset Management S.A. grew its position in shares of CarGurus by 159.5% during the 3rd quarter. Assenagon Asset Management S.A. now owns 351,886 shares of the company's stock valued at $10,965,000 after buying an additional 216,304 shares during the last quarter. Institutional investors and hedge funds own 86.90% of the company's stock.

About CarGurus

CarGurus, Inc operates an online automotive marketplace that connects consumers with automobile dealers and private sellers. Its platform enables shoppers to search for new and used vehicles, compare listings, evaluate vehicle and dealer information, and contact sellers. CarGurus generates revenue primarily by providing dealers with digital listing, advertising and marketing products designed to help them reach potential buyers.

The company also offers tools intended to support automotive retailers' online operations, including inventory merchandising, lead generation and digital retailing capabilities.

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