35.21 USD
+0.61 (+1.76%)
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. CARG has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CARG is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings could make CARG a good candidate for value and 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
With an excellent Return On Assets value of 23.01%, CARG belongs to the best of the industry, outperforming 92.86% of the companies in the same industry.
The Return On Equity of CARG (40.48%) is better than 98.57% of its industry peers.
CARG's Return On Invested Capital of 23.46% is amongst the best of the industry. CARG outperforms 88.57% of its industry peers.
CARG had an Average Return On Invested Capital over the past 3 years of 8.25%. This is significantly below the industry average of 13.56%.
The 3 year average ROIC (8.25%) for CARG is below the current ROIC(23.46%), indicating increased profibility in the last year.
| 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
With an excellent Profit Margin value of 16.41%, CARG belongs to the best of the industry, outperforming 81.43% of the companies in the same industry.
In the last couple of years the Profit Margin of CARG has declined.
Looking at the Operating Margin, with a value of 22.47%, CARG belongs to the top of the industry, outperforming 87.14% of the companies in the same industry.
In the last couple of years the Operating Margin of CARG has grown nicely.
CARG has a better Gross Margin (88.15%) than 88.57% of its industry peers.
CARG's Gross Margin has declined in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), CARG 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
An Altman-Z score of 10.77 indicates that CARG is not in any danger for bankruptcy at the moment.
CARG has a Altman-Z score of 10.77. This is amongst the best in the industry. CARG outperforms 92.86% of its industry peers.
CARG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 10.77 |
ROIC/WACC2.3
WACC10.2%
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 Current ratio of 2.87. This is in the better half of the industry: CARG outperforms 70.00% of its industry peers.
A Quick Ratio of 2.87 indicates that CARG has no problem at all paying its short term obligations.
CARG has a better Quick ratio (2.87) than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.87 | ||
| Quick Ratio | 2.87 |
3. Growth
3.1 Past
CARG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 41.18%, which is quite impressive.
Measured over the past years, CARG shows a very strong growth in Earnings Per Share. The EPS has been growing by 26.69% on average per year.
CARG shows a small growth in Revenue. In the last year, the Revenue has grown by 4.21%.
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
CARG is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.39% yearly.
The Revenue is expected to grow by 5.62% on average over the next years.
EPS Next Y29.65%
EPS Next 2Y21.91%
EPS Next 3Y21.62%
EPS Next 5Y21.39%
Revenue Next Year3.72%
Revenue Next 2Y4.69%
Revenue Next 3Y5.51%
Revenue Next 5Y5.62%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 16.30 indicates a correct valuation of CARG.
Based on the Price/Earnings ratio, CARG is valued a bit cheaper than the industry average as 67.14% of the companies are valued more expensively.
CARG is valuated rather cheaply when we compare the Price/Earnings ratio to 25.47, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 13.69 indicates a correct valuation of CARG.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CARG indicates a somewhat cheap valuation: CARG is cheaper than 67.14% of the companies listed in the same industry.
CARG is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.42, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.3 | ||
| Fwd PE | 13.69 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CARG indicates a somewhat cheap valuation: CARG is cheaper than 64.29% of the companies listed in the same industry.
74.29% of the companies in the same industry are more expensive than CARG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.89 | ||
| EV/EBITDA | 13.81 |
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.
CARG has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CARG's earnings are expected to grow with 21.62% in the coming years.
PEG (NY)0.55
PEG (5Y)0.61
EPS Next 2Y21.91%
EPS Next 3Y21.62%
5. Dividend
5.1 Amount
CARG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:CARG (11/24/2025, 3:58:02 PM)
35.21
+0.61 (+1.76%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners98.78%
Inst Owner Change1.27%
Ins Owners2.17%
Ins Owner Change-1.25%
Market Cap3.49B
Revenue(TTM)926.42M
Net Income(TTM)151.99M
Analysts79
Price Target41.1 (16.73%)
Short Float %4.56%
Short Ratio3.69
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)4.04%
PT rev (3m)3.55%
EPS NQ rev (1m)3.23%
EPS NQ rev (3m)5.95%
EPS NY rev (1m)-0.36%
EPS NY rev (3m)0.87%
Revenue NQ rev (1m)0.45%
Revenue NQ rev (3m)0.79%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.3 | ||
| Fwd PE | 13.69 | ||
| P/S | 3.77 | ||
| P/FCF | 13.89 | ||
| P/OCF | 12.14 | ||
| P/B | 9.31 | ||
| P/tB | 10.17 | ||
| EV/EBITDA | 13.81 |
EPS(TTM)2.16
EY6.13%
EPS(NY)2.57
Fwd EY7.3%
FCF(TTM)2.53
FCFY7.2%
OCF(TTM)2.9
OCFY8.24%
SpS9.33
BVpS3.78
TBVpS3.46
PEG (NY)0.55
PEG (5Y)0.61
Graham Number13.56
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 | 10.77 |
F-Score8
WACC10.2%
ROIC/WACC2.3
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 Y29.65%
EPS Next 2Y21.91%
EPS Next 3Y21.62%
EPS Next 5Y21.39%
Revenue 1Y (TTM)4.21%
Revenue growth 3Y-2.04%
Revenue growth 5Y8.72%
Sales Q2Q%3.17%
Revenue Next Year3.72%
Revenue Next 2Y4.69%
Revenue Next 3Y5.51%
Revenue Next 5Y5.62%
EBIT growth 1Y157.19%
EBIT growth 3Y2.1%
EBIT growth 5Y35.7%
EBIT Next Year35.83%
EBIT Next 3Y18.47%
EBIT Next 5Y13.88%
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 7 / 10 to CARGURUS INC (CARG). This can be considered as Undervalued.
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 16.3 and the Price/Book (PB) ratio is 9.31.
How financially healthy is CARGURUS INC?
The financial health rating of CARGURUS INC (CARG) is 9 / 10.