34.17 USD
-0.57 (-1.64%)
34.17 USD
0 (0%)
CARG gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 70 industry peers in the Interactive Media & Services industry. CARG scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 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
- CARG had positive earnings in the past year.
- 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 Return On Assets of 23.01%. This is amongst the best in the industry. CARG outperforms 92.86% of its industry peers.
- Looking at the Return On Equity, with a value of 40.48%, CARG belongs to the top of the industry, outperforming 98.57% of the companies in the same industry.
- CARG has a better Return On Invested Capital (23.46%) than 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 13.70%.
- 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 82.86% of its industry peers.
- In the last couple of years the Profit Margin of CARG has declined.
- CARG has a better Operating Margin (22.47%) than 87.14% of its industry peers.
- CARG's Operating Margin has improved in the last couple of years.
- The Gross Margin of CARG (88.15%) is better than 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.
- The number of shares outstanding for CARG has been reduced compared to 1 year ago.
- 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 10.52. This indicates that CARG is financially healthy and has little risk of bankruptcy at the moment.
- CARG has a better Altman-Z score (10.52) than 90.00% 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 | 10.52 |
ROIC/WACC2.66
WACC8.81%
2.3 Liquidity
- CARG has a Current Ratio of 2.87. This indicates that CARG is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 2.87, CARG is in the better half of the industry, outperforming 74.29% of the companies in the same industry.
- A Quick Ratio of 2.87 indicates that CARG has no problem at all paying its short term obligations.
- The Quick ratio of CARG (2.87) is better than 74.29% 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.
- Looking at the last year, CARG shows a small growth in Revenue. The Revenue has grown by 4.21% in the last year.
- CARG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.72% yearly.
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 Year4.3%
Revenue Next 2Y5.21%
Revenue Next 3Y5.96%
Revenue Next 5Y5.88%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- 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
- CARG is valuated correctly with a Price/Earnings ratio of 15.82.
- Based on the Price/Earnings ratio, CARG is valued a bit cheaper than the industry average as 72.86% of the companies are valued more expensively.
- CARG is valuated rather cheaply when we compare the Price/Earnings ratio to 27.47, which is the current average of the S&P500 Index.
- CARG is valuated correctly with a Price/Forward Earnings ratio of 13.01.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CARG indicates a somewhat cheap valuation: CARG is cheaper than 71.43% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of CARG to the average of the S&P500 Index (24.26), we can say CARG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.82 | ||
| Fwd PE | 13.01 |
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 67.14% of the companies listed in the same industry.
- 77.14% 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 | 12.96 | ||
| EV/EBITDA | 13.3 |
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.
- CARG's earnings are expected to grow with 22.11% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.51
PEG (5Y)0.59
EPS Next 2Y23.21%
EPS Next 3Y22.11%
5. Dividend
5.1 Amount
- No dividends for CARG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
34.17
-0.57 (-1.64%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)11-06 2025-11-06/amc
Earnings (Next)02-18 2026-02-18/amc
Inst Owners107.52%
Inst Owner Change2.18%
Ins Owners2.03%
Ins Owner Change-0.89%
Market Cap3.26B
Revenue(TTM)926.42M
Net Income(TTM)151.99M
Analysts79
Price Target41.35 (21.01%)
Short Float %6.78%
Short Ratio6.03
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)0.62%
PT rev (3m)4.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.26%
EPS NY rev (1m)0%
EPS NY rev (3m)0.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.55%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.82 | ||
| Fwd PE | 13.01 | ||
| P/S | 3.52 | ||
| P/FCF | 12.96 | ||
| P/OCF | 11.33 | ||
| P/B | 8.69 | ||
| P/tB | 9.49 | ||
| EV/EBITDA | 13.3 |
EPS(TTM)2.16
EY6.32%
EPS(NY)2.63
Fwd EY7.69%
FCF(TTM)2.64
FCFY7.71%
OCF(TTM)3.02
OCFY8.83%
SpS9.71
BVpS3.93
TBVpS3.6
PEG (NY)0.51
PEG (5Y)0.59
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 | 10.52 |
F-Score8
WACC8.81%
ROIC/WACC2.66
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 Year4.3%
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.
What is the valuation status for CARG stock?
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.
What is the valuation of CARGURUS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CARGURUS INC (CARG) is 15.82 and the Price/Book (PB) ratio is 8.69.