CARS.COM INC (CARS) Stock Fundamental Analysis

NYSE:CARS • US14575E1055

8.54 USD
-0.54 (-5.95%)
At close: Feb 27, 2026
8.54 USD
0 (0%)
After Hours: 2/27/2026, 4:20:02 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Taking everything into account, CARS scores 5 out of 10 in our fundamental rating. CARS was compared to 69 industry peers in the Interactive Media & Services industry. CARS has an average financial health and profitability rating. CARS is cheap, but on the other hand it scores bad on growth.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year CARS was profitable.
  • In the past year CARS had a positive cash flow from operations.
  • CARS had positive earnings in 4 of the past 5 years.
  • Of the past 5 years CARS 4 years had a positive operating cash flow.
CARS Yearly Net Income VS EBIT VS OCF VS FCFCARS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M -400M -600M

1.2 Ratios

  • CARS has a Return On Assets of 2.80%. This is in the better half of the industry: CARS outperforms 66.67% of its industry peers.
  • Looking at the Return On Equity, with a value of 6.27%, CARS is in the better half of the industry, outperforming 73.91% of the companies in the same industry.
  • Looking at the Return On Invested Capital, with a value of 4.76%, CARS is in the better half of the industry, outperforming 68.12% of the companies in the same industry.
  • CARS had an Average Return On Invested Capital over the past 3 years of 4.71%. This is significantly below the industry average of 12.94%.
  • The 3 year average ROIC (4.71%) for CARS is below the current ROIC(4.76%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 2.8%
ROE 6.27%
ROIC 4.76%
ROA(3y)5.37%
ROA(5y)-11.23%
ROE(3y)12.65%
ROE(5y)-38.25%
ROIC(3y)4.71%
ROIC(5y)4.14%
CARS Yearly ROA, ROE, ROICCARS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -50 -100 -150 -200

1.3 Margins

  • CARS has a Profit Margin of 4.16%. This is in the better half of the industry: CARS outperforms 62.32% of its industry peers.
  • In the last couple of years the Profit Margin of CARS has grown nicely.
  • The Operating Margin of CARS (8.10%) is better than 66.67% of its industry peers.
  • In the last couple of years the Operating Margin of CARS has declined.
  • With a decent Gross Margin value of 67.07%, CARS is doing good in the industry, outperforming 60.87% of the companies in the same industry.
  • In the last couple of years the Gross Margin of CARS has declined.
Industry RankSector Rank
OM 8.1%
PM (TTM) 4.16%
GM 67.07%
OM growth 3Y-2.2%
OM growth 5Y-2.9%
PM growth 3Y57%
PM growth 5YN/A
GM growth 3Y-1.18%
GM growth 5Y-1.8%
CARS Yearly Profit, Operating, Gross MarginsCARS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50 -50 -100

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CARS is destroying value.
  • CARS has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
CARS Yearly Shares OutstandingCARS Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M
CARS Yearly Total Debt VS Total AssetsCARS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B 2.5B

2.2 Solvency

  • CARS has an Altman-Z score of 0.27. This is a bad value and indicates that CARS is not financially healthy and even has some risk of bankruptcy.
  • CARS has a Altman-Z score (0.27) which is comparable to the rest of the industry.
  • The Debt to FCF ratio of CARS is 3.23, which is a good value as it means it would take CARS, 3.23 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of CARS (3.23) is better than 69.57% of its industry peers.
  • A Debt/Equity ratio of 0.94 indicates that CARS is somewhat dependend on debt financing.
  • The Debt to Equity ratio of CARS (0.94) is worse than 73.91% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.94
Debt/FCF 3.23
Altman-Z 0.27
ROIC/WACC0.75
WACC6.38%
CARS Yearly LT Debt VS Equity VS FCFCARS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

2.3 Liquidity

  • CARS has a Current Ratio of 1.82. This is a normal value and indicates that CARS is financially healthy and should not expect problems in meeting its short term obligations.
  • CARS has a Current ratio of 1.82. This is comparable to the rest of the industry: CARS outperforms 50.72% of its industry peers.
  • A Quick Ratio of 1.82 indicates that CARS should not have too much problems paying its short term obligations.
  • CARS has a Quick ratio (1.82) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 1.82
Quick Ratio 1.82
CARS Yearly Current Assets VS Current LiabilitesCARS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • The earnings per share for CARS have decreased strongly by -11.11% in the last year.
  • CARS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -9.08% yearly.
EPS 1Y (TTM)-11.11%
EPS 3Y-4.16%
EPS 5Y-9.08%
EPS Q2Q%69.23%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%1.92%

3.2 Future

  • Based on estimates for the next years, CARS will show a very strong growth in Earnings Per Share. The EPS will grow by 23.82% on average per year.
  • Based on estimates for the next years, CARS will show a small growth in Revenue. The Revenue will grow by 2.70% on average per year.
EPS Next Y16.08%
EPS Next 2Y23.82%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.81%
Revenue Next 2Y2.77%
Revenue Next 3Y2.93%
Revenue Next 5Y2.7%

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 accelerating.
CARS Yearly Revenue VS EstimatesCARS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 200M 400M 600M 800M
CARS Yearly EPS VS EstimatesCARS Yearly EPS VS EstimatesYearly EPS VS Estimates 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0.5 1 1.5

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Find the best growth stocksShow best growing peers

8

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 13.34, which indicates a correct valuation of CARS.
  • CARS's Price/Earnings ratio is a bit cheaper when compared to the industry. CARS is cheaper than 65.22% of the companies in the same industry.
  • CARS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.11.
  • CARS is valuated reasonably with a Price/Forward Earnings ratio of 11.50.
  • 63.77% of the companies in the same industry are more expensive than CARS, based on the Price/Forward Earnings ratio.
  • CARS's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.13.
Industry RankSector Rank
PE 13.34
Fwd PE 11.5
CARS Price Earnings VS Forward Price EarningsCARS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, CARS is valued cheaply inside the industry as 81.16% of the companies are valued more expensively.
  • CARS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CARS is cheaper than 98.55% of the companies in the same industry.
Industry RankSector Rank
P/FCF 3.66
EV/EBITDA 5.93
CARS Per share dataCARS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • CARS has a very decent profitability rating, which may justify a higher PE ratio.
  • A more expensive valuation may be justified as CARS's earnings are expected to grow with 23.82% in the coming years.
PEG (NY)0.83
PEG (5Y)N/A
EPS Next 2Y23.82%
EPS Next 3YN/A

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • No dividends for CARS!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

CARS.COM INC

NYSE:CARS (2/27/2026, 4:20:02 PM)

After market: 8.54 0 (0%)

8.54

-0.54 (-5.95%)

Chartmill FA Rating
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)02-26
Earnings (Next)05-06
Inst Owners100.52%
Inst Owner Change-1.18%
Ins Owners3.79%
Ins Owner Change-2.01%
Market Cap510.78M
Revenue(TTM)N/A
Net Income(TTM)29.96M
Analysts80
Price Target17.12 (100.47%)
Short Float %12.55%
Short Ratio8.43
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)13.19%
Min EPS beat(2)-24.1%
Max EPS beat(2)50.47%
EPS beat(4)2
Avg EPS beat(4)-4.7%
Min EPS beat(4)-127.23%
Max EPS beat(4)82.07%
EPS beat(8)4
Avg EPS beat(8)40.66%
EPS beat(12)7
Avg EPS beat(12)143.4%
EPS beat(16)8
Avg EPS beat(16)97.23%
Revenue beat(2)0
Avg Revenue beat(2)-2.11%
Min Revenue beat(2)-2.34%
Max Revenue beat(2)-1.88%
Revenue beat(4)0
Avg Revenue beat(4)-2.6%
Min Revenue beat(4)-3.81%
Max Revenue beat(4)-1.88%
Revenue beat(8)0
Avg Revenue beat(8)-2.38%
Revenue beat(12)0
Avg Revenue beat(12)-2.12%
Revenue beat(16)0
Avg Revenue beat(16)-2.03%
PT rev (1m)0.86%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.38%
EPS NY rev (1m)0.49%
EPS NY rev (3m)-6.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.16%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.01%
Valuation
Industry RankSector Rank
PE 13.34
Fwd PE 11.5
P/S 0.71
P/FCF 3.66
P/OCF 3.53
P/B 1.07
P/tB N/A
EV/EBITDA 5.93
EPS(TTM)0.64
EY7.49%
EPS(NY)0.74
Fwd EY8.7%
FCF(TTM)2.34
FCFY27.35%
OCF(TTM)2.42
OCFY28.3%
SpS12.03
BVpS7.98
TBVpS-3.78
PEG (NY)0.83
PEG (5Y)N/A
Graham Number10.72
Profitability
Industry RankSector Rank
ROA 2.8%
ROE 6.27%
ROCE 6.11%
ROIC 4.76%
ROICexc 5.05%
ROICexgc 23.2%
OM 8.1%
PM (TTM) 4.16%
GM 67.07%
FCFM 19.41%
ROA(3y)5.37%
ROA(5y)-11.23%
ROE(3y)12.65%
ROE(5y)-38.25%
ROIC(3y)4.71%
ROIC(5y)4.14%
ROICexc(3y)4.91%
ROICexc(5y)4.33%
ROICexgc(3y)37.49%
ROICexgc(5y)37.97%
ROCE(3y)6.04%
ROCE(5y)5.31%
ROICexgc growth 3Y-26.83%
ROICexgc growth 5Y-17.53%
ROICexc growth 3Y-0.06%
ROICexc growth 5Y15.72%
OM growth 3Y-2.2%
OM growth 5Y-2.9%
PM growth 3Y57%
PM growth 5YN/A
GM growth 3Y-1.18%
GM growth 5Y-1.8%
F-Score6
Asset Turnover0.67
Health
Industry RankSector Rank
Debt/Equity 0.94
Debt/FCF 3.23
Debt/EBITDA 2.85
Cap/Depr 4.85%
Cap/Sales 0.67%
Interest Coverage 250
Cash Conversion 91.27%
Profit Quality 466.23%
Current Ratio 1.82
Quick Ratio 1.82
Altman-Z 0.27
F-Score6
WACC6.38%
ROIC/WACC0.75
Cap/Depr(3y)8.31%
Cap/Depr(5y)11.71%
Cap/Sales(3y)1.21%
Cap/Sales(5y)1.95%
Profit Quality(3y)352.4%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-11.11%
EPS 3Y-4.16%
EPS 5Y-9.08%
EPS Q2Q%69.23%
EPS Next Y16.08%
EPS Next 2Y23.82%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%1.92%
Revenue Next Year2.81%
Revenue Next 2Y2.77%
Revenue Next 3Y2.93%
Revenue Next 5Y2.7%
EBIT growth 1Y19.57%
EBIT growth 3Y2.55%
EBIT growth 5Y0.45%
EBIT Next Year311.22%
EBIT Next 3Y63.9%
EBIT Next 5Y35.33%
FCF growth 1Y13.74%
FCF growth 3Y7.97%
FCF growth 5Y13.27%
OCF growth 1Y12.21%
OCF growth 3Y3.39%
OCF growth 5Y8.49%

CARS.COM INC / CARS FAQ

What is the fundamental rating for CARS stock?

ChartMill assigns a fundamental rating of 5 / 10 to CARS.


Can you provide the valuation status for CARS.COM INC?

ChartMill assigns a valuation rating of 8 / 10 to CARS.COM INC (CARS). This can be considered as Undervalued.


Can you provide the profitability details for CARS.COM INC?

CARS.COM INC (CARS) has a profitability rating of 6 / 10.


Can you provide the expected EPS growth for CARS stock?

The Earnings per Share (EPS) of CARS.COM INC (CARS) is expected to grow by 16.08% in the next year.


Is the dividend of CARS.COM INC sustainable?

The dividend rating of CARS.COM INC (CARS) is 0 / 10 and the dividend payout ratio is 0%.