37.12 USD
0 (0%)
37.12 USD
0 (0%)
Taking everything into account, CARG scores 7 out of 10 in our fundamental rating. CARG was compared to 70 industry peers in the Interactive Media & Services industry. Both the health and profitability get an excellent rating, making CARG a very profitable company, without any liquidiy or solvency issues. CARG is not valued too expensively and it also shows a decent growth rate. These ratings would make CARG suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year CARG was profitable.
In the past year CARG had a positive cash flow from operations.
CARG had positive earnings in 4 of the past 5 years.
Each year in the past 5 years CARG had a positive operating cash flow.
1.2 Ratios
CARG has a better Return On Assets (23.01%) than 92.86% of its industry peers.
The Return On Equity of CARG (40.48%) is better than 98.57% of its industry peers.
CARG has a better Return On Invested Capital (23.46%) than 88.57% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CARG is significantly below the industry average of 14.04%.
The last Return On Invested Capital (23.46%) for CARG is above the 3 year average (8.25%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.01% | ||
| ROE | 40.48% | ||
| ROIC | 23.46% |
ROA(3y)8.94%
ROA(5y)8.45%
ROE(3y)11.77%
ROE(5y)11.21%
ROIC(3y)8.25%
ROIC(5y)10.3%
1.3 Margins
CARG has a better Profit Margin (16.41%) than 81.43% of its industry peers.
CARG's Profit Margin has declined in the last couple of years.
CARG has a Operating Margin of 22.47%. This is amongst the best in the industry. CARG outperforms 87.14% of its industry peers.
In the last couple of years the Operating Margin of CARG has grown nicely.
CARG's Gross Margin of 88.15% is amongst the best of the industry. CARG outperforms 88.57% of its industry peers.
In the last couple of years the Gross Margin of CARG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.47% | ||
| PM (TTM) | 16.41% | ||
| GM | 88.15% |
OM growth 3Y4.23%
OM growth 5Y24.82%
PM growth 3YN/A
PM growth 5Y-19.98%
GM growth 3Y6.61%
GM growth 5Y-2.25%
2. Health
2.1 Basic Checks
CARG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, CARG has less shares outstanding
The number of shares outstanding for CARG has been reduced compared to 5 years ago.
CARG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
CARG has an Altman-Z score of 11.00. This indicates that CARG is financially healthy and has little risk of bankruptcy at the moment.
CARG's Altman-Z score of 11.00 is amongst the best of the industry. CARG outperforms 90.00% of its industry peers.
There is no outstanding debt for CARG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 11 |
ROIC/WACC2.19
WACC10.7%
2.3 Liquidity
A Current Ratio of 2.87 indicates that CARG has no problem at all paying its short term obligations.
CARG has a better Current ratio (2.87) than 70.00% of its industry peers.
CARG has a Quick Ratio of 2.87. This indicates that CARG is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 2.87, CARG is doing good in the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.87 | ||
| Quick Ratio | 2.87 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 41.18% over the past year.
CARG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 26.69% yearly.
The Revenue has been growing slightly by 4.21% in the past year.
Measured over the past years, CARG shows a quite strong growth in Revenue. The Revenue has been growing by 8.72% on average per year.
EPS 1Y (TTM)41.18%
EPS 3Y3.73%
EPS 5Y26.69%
EPS Q2Q%28.89%
Revenue 1Y (TTM)4.21%
Revenue growth 3Y-2.04%
Revenue growth 5Y8.72%
Sales Q2Q%3.17%
3.2 Future
The Earnings Per Share is expected to grow by 21.55% on average over the next years. This is a very strong growth
CARG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.88% yearly.
EPS Next Y30.82%
EPS Next 2Y23.21%
EPS Next 3Y22.11%
EPS Next 5Y21.55%
Revenue Next Year4.27%
Revenue Next 2Y5.21%
Revenue Next 3Y5.96%
Revenue Next 5Y5.88%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 17.19, which indicates a rather expensive current valuation of CARG.
CARG's Price/Earnings ratio is a bit cheaper when compared to the industry. CARG is cheaper than 68.57% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.59, CARG is valued a bit cheaper.
CARG is valuated correctly with a Price/Forward Earnings ratio of 14.13.
Based on the Price/Forward Earnings ratio, CARG is valued a bit cheaper than 70.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CARG to the average of the S&P500 Index (23.80), we can say CARG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.19 | ||
| Fwd PE | 14.13 |
4.2 Price Multiples
67.14% of the companies in the same industry are more expensive than CARG, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, CARG is valued a bit cheaper than the industry average as 74.29% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.08 | ||
| EV/EBITDA | 14.27 |
4.3 Compensation for Growth
CARG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of CARG may justify a higher PE ratio.
A more expensive valuation may be justified as CARG's earnings are expected to grow with 22.11% in the coming years.
PEG (NY)0.56
PEG (5Y)0.64
EPS Next 2Y23.21%
EPS Next 3Y22.11%
5. Dividend
5.1 Amount
No dividends for CARG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
37.12
0 (0%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners107.17%
Inst Owner Change1.27%
Ins Owners2.1%
Ins Owner Change-0.89%
Market Cap3.54B
Revenue(TTM)926.42M
Net Income(TTM)151.99M
Analysts79
Price Target41.1 (10.72%)
Short Float %5.7%
Short Ratio4.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.56%
Min EPS beat(2)2.1%
Max EPS beat(2)3.02%
EPS beat(4)4
Avg EPS beat(4)3.4%
Min EPS beat(4)2.1%
Max EPS beat(4)4.7%
EPS beat(8)8
Avg EPS beat(8)6.61%
EPS beat(12)12
Avg EPS beat(12)22.55%
EPS beat(16)15
Avg EPS beat(16)18.38%
Revenue beat(2)0
Avg Revenue beat(2)-0.95%
Min Revenue beat(2)-1.39%
Max Revenue beat(2)-0.52%
Revenue beat(4)0
Avg Revenue beat(4)-2.03%
Min Revenue beat(4)-3.64%
Max Revenue beat(4)-0.52%
Revenue beat(8)1
Avg Revenue beat(8)-1.3%
Revenue beat(12)3
Avg Revenue beat(12)0.05%
Revenue beat(16)5
Avg Revenue beat(16)0.86%
PT rev (1m)1.36%
PT rev (3m)4.04%
EPS NQ rev (1m)1.64%
EPS NQ rev (3m)2.84%
EPS NY rev (1m)0.9%
EPS NY rev (3m)1.78%
Revenue NQ rev (1m)0.56%
Revenue NQ rev (3m)0.55%
Revenue NY rev (1m)0.53%
Revenue NY rev (3m)0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.19 | ||
| Fwd PE | 14.13 | ||
| P/S | 3.82 | ||
| P/FCF | 14.08 | ||
| P/OCF | 12.31 | ||
| P/B | 9.44 | ||
| P/tB | 10.31 | ||
| EV/EBITDA | 14.27 |
EPS(TTM)2.16
EY5.82%
EPS(NY)2.63
Fwd EY7.08%
FCF(TTM)2.64
FCFY7.1%
OCF(TTM)3.02
OCFY8.13%
SpS9.71
BVpS3.93
TBVpS3.6
PEG (NY)0.56
PEG (5Y)0.64
Graham Number13.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.01% | ||
| ROE | 40.48% | ||
| ROCE | 36.74% | ||
| ROIC | 23.46% | ||
| ROICexc | 34.28% | ||
| ROICexgc | 37.36% | ||
| OM | 22.47% | ||
| PM (TTM) | 16.41% | ||
| GM | 88.15% | ||
| FCFM | 27.15% |
ROA(3y)8.94%
ROA(5y)8.45%
ROE(3y)11.77%
ROE(5y)11.21%
ROIC(3y)8.25%
ROIC(5y)10.3%
ROICexc(3y)15.71%
ROICexc(5y)22.33%
ROICexgc(3y)26.91%
ROICexgc(5y)37.61%
ROCE(3y)12.91%
ROCE(5y)16.13%
ROICexgc growth 3Y-17.23%
ROICexgc growth 5Y9.97%
ROICexc growth 3Y3.02%
ROICexc growth 5Y9.8%
OM growth 3Y4.23%
OM growth 5Y24.82%
PM growth 3YN/A
PM growth 5Y-19.98%
GM growth 3Y6.61%
GM growth 5Y-2.25%
F-Score8
Asset Turnover1.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 131.49% | ||
| Cap/Sales | 3.92% | ||
| Interest Coverage | 319.79 | ||
| Cash Conversion | 122.09% | ||
| Profit Quality | 165.52% | ||
| Current Ratio | 2.87 | ||
| Quick Ratio | 2.87 | ||
| Altman-Z | 11 |
F-Score8
WACC10.7%
ROIC/WACC2.19
Cap/Depr(3y)164.56%
Cap/Depr(5y)118.87%
Cap/Sales(3y)5.35%
Cap/Sales(5y)3.78%
Profit Quality(3y)387.12%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)41.18%
EPS 3Y3.73%
EPS 5Y26.69%
EPS Q2Q%28.89%
EPS Next Y30.82%
EPS Next 2Y23.21%
EPS Next 3Y22.11%
EPS Next 5Y21.55%
Revenue 1Y (TTM)4.21%
Revenue growth 3Y-2.04%
Revenue growth 5Y8.72%
Sales Q2Q%3.17%
Revenue Next Year4.27%
Revenue Next 2Y5.21%
Revenue Next 3Y5.96%
Revenue Next 5Y5.88%
EBIT growth 1Y157.19%
EBIT growth 3Y2.1%
EBIT growth 5Y35.7%
EBIT Next Year36.72%
EBIT Next 3Y19.57%
EBIT Next 5Y14.24%
FCF growth 1Y31.3%
FCF growth 3Y24.16%
FCF growth 5Y23.64%
OCF growth 1Y32.49%
OCF growth 3Y37.49%
OCF growth 5Y29.52%
CARGURUS INC / CARG FAQ
What is the ChartMill fundamental rating of CARGURUS INC (CARG) stock?
ChartMill assigns a fundamental rating of 7 / 10 to CARG.
Can you provide the valuation status for CARGURUS INC?
ChartMill assigns a valuation rating of 6 / 10 to CARGURUS INC (CARG). This can be considered as Fairly Valued.
How profitable is CARGURUS INC (CARG) stock?
CARGURUS INC (CARG) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for CARG stock?
The Price/Earnings (PE) ratio for CARGURUS INC (CARG) is 17.19 and the Price/Book (PB) ratio is 9.44.
How financially healthy is CARGURUS INC?
The financial health rating of CARGURUS INC (CARG) is 9 / 10.