36.08 USD
+0.22 (+0.61%)
Overall CARG gets a fundamental rating of 7 out of 10. We evaluated CARG against 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 may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make CARG suitable for value and quality investing!
1. Profitability
1.1 Basic Checks
CARG had positive earnings in the past year.
CARG had a positive operating cash flow in the past year.
Of the past 5 years CARG 4 years were profitable.
In the past 5 years CARG always reported a positive cash flow from operatings.
1.2 Ratios
CARG has a better Return On Assets (23.01%) than 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.
With an excellent Return On Invested Capital value of 23.46%, CARG belongs to the best of the industry, outperforming 88.57% of the companies in the same industry.
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 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
The Profit Margin of CARG (16.41%) is better 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.
Looking at the Gross Margin, with a value of 88.15%, CARG belongs to the top of the industry, outperforming 88.57% of the companies in the same industry.
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CARG is creating value.
Compared to 1 year ago, CARG has less shares outstanding
CARG has less shares outstanding than it did 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 10.75. This indicates that CARG is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of CARG (10.75) is better 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 | 10.75 |
ROIC/WACC2.25
WACC10.41%
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.
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.
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.
The Quick ratio of CARG (2.87) is better 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.
CARG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 26.69% yearly.
Looking at the last year, CARG shows a small growth in Revenue. The Revenue has grown by 4.21% in the last 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
Based on estimates for the next years, CARG will show a very strong growth in Earnings Per Share. The EPS will grow by 21.55% on average per year.
CARG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.88% yearly.
EPS Next Y29.65%
EPS Next 2Y21.91%
EPS Next 3Y21.62%
EPS Next 5Y21.55%
Revenue Next Year3.72%
Revenue Next 2Y4.69%
Revenue Next 3Y5.51%
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.
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 16.70 indicates a correct valuation of CARG.
70.00% of the companies in the same industry are more expensive than CARG, based on the Price/Earnings ratio.
CARG's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.41.
A Price/Forward Earnings ratio of 14.03 indicates a correct valuation of CARG.
Based on the Price/Forward Earnings ratio, CARG is valued a bit cheaper than 67.14% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.40, CARG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.7 | ||
| Fwd PE | 14.03 |
4.2 Price Multiples
65.71% of the companies in the same industry are more expensive than CARG, based on the Enterprise Value to EBITDA ratio.
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 | 13.69 | ||
| EV/EBITDA | 13.76 |
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.
CARG's earnings are expected to grow with 21.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.56
PEG (5Y)0.63
EPS Next 2Y21.91%
EPS Next 3Y21.62%
5. Dividend
5.1 Amount
No dividends for CARG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:CARG (12/5/2025, 9:47:00 AM)
36.08
+0.22 (+0.61%)
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-0.98%
Market Cap3.44B
Revenue(TTM)926.42M
Net Income(TTM)151.99M
Analysts79
Price Target41.1 (13.91%)
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)4.04%
PT rev (3m)3.55%
EPS NQ rev (1m)3.23%
EPS NQ rev (3m)3.37%
EPS NY rev (1m)-0.36%
EPS NY rev (3m)0.87%
Revenue NQ rev (1m)0.6%
Revenue NQ rev (3m)0.5%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.7 | ||
| Fwd PE | 14.03 | ||
| P/S | 3.72 | ||
| P/FCF | 13.69 | ||
| P/OCF | 11.96 | ||
| P/B | 9.17 | ||
| P/tB | 10.02 | ||
| EV/EBITDA | 13.76 |
EPS(TTM)2.16
EY5.99%
EPS(NY)2.57
Fwd EY7.13%
FCF(TTM)2.64
FCFY7.3%
OCF(TTM)3.02
OCFY8.36%
SpS9.71
BVpS3.93
TBVpS3.6
PEG (NY)0.56
PEG (5Y)0.63
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 | 10.75 |
F-Score8
WACC10.41%
ROIC/WACC2.25
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 5Y21.55%
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 5Y5.88%
EBIT growth 1Y157.19%
EBIT growth 3Y2.1%
EBIT growth 5Y35.7%
EBIT Next Year35.83%
EBIT Next 3Y18.47%
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 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 16.7 and the Price/Book (PB) ratio is 9.17.
How financially healthy is CARGURUS INC?
The financial health rating of CARGURUS INC (CARG) is 9 / 10.