CarGurus (NASDAQ:CARG) Receives “Outperform” Rating from Royal Bank of Canada

CarGurus (NASDAQ:CARG)‘s stock had its “outperform” rating reaffirmed by analysts at Royal Bank of Canada in a note issued to investors on Monday,Benzinga reports. They presently have a $42.00 target price on the stock. Royal Bank of Canada’s target price points to a potential upside of 25.11% from the company’s current price.

Several other brokerages have also commented on CARG. JMP Securities decreased their target price on CarGurus from $43.00 to $38.00 and set a “market outperform” rating for the company in a research report on Wednesday, April 9th. UBS Group raised their price target on CarGurus from $29.00 to $33.00 and gave the stock a “neutral” rating in a report on Friday, May 9th. JPMorgan Chase & Co. downgraded CarGurus from an “overweight” rating to a “neutral” rating and cut their price target for the stock from $42.00 to $34.00 in a report on Thursday, March 27th. Oppenheimer cut their price target on CarGurus from $44.00 to $42.00 and set an “outperform” rating on the stock in a report on Monday, February 24th. Finally, Needham & Company LLC cut their price target on CarGurus from $45.00 to $39.00 and set a “buy” rating on the stock in a report on Friday, May 9th. Three analysts have rated the stock with a hold rating, seven have issued a buy rating and one has given a strong buy rating to the company. According to MarketBeat, CarGurus currently has an average rating of “Moderate Buy” and a consensus price target of $36.95.

CarGurus Trading Up 1.9%

Shares of CARG opened at $33.57 on Monday. The firm has a market cap of $3.51 billion, a price-to-earnings ratio of 186.51, a PEG ratio of 1.72 and a beta of 1.45. The stock has a 50 day moving average of $28.80 and a 200-day moving average of $33.75. CarGurus has a 52 week low of $21.65 and a 52 week high of $41.33.

CarGurus (NASDAQ:CARG) last issued its earnings results on Thursday, May 8th. The company reported $0.46 EPS for the quarter, topping the consensus estimate of $0.42 by $0.04. The company had revenue of $225.16 million during the quarter, compared to analyst estimates of $226.72 million. CarGurus had a return on equity of 27.14% and a net margin of 2.34%. The business’s revenue was up 4.3% on a year-over-year basis. During the same quarter last year, the firm earned $0.32 EPS. On average, sell-side analysts predict that CarGurus will post 1.41 earnings per share for the current fiscal year.

Insider Transactions at CarGurus

In related news, CEO Zachary Emerson Hallowell sold 1,824 shares of CarGurus stock in a transaction on Thursday, April 17th. The stock was sold at an average price of $26.73, for a total value of $48,755.52. Following the transaction, the chief executive officer now directly owns 129,790 shares in the company, valued at $3,469,286.70. The trade was a 1.39% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, COO Samuel Zales sold 10,000 shares of CarGurus stock in a transaction on Wednesday, April 16th. The stock was sold at an average price of $26.84, for a total value of $268,400.00. Following the completion of the transaction, the chief operating officer now owns 503,382 shares in the company, valued at $13,510,772.88. The trade was a 1.95% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 31,824 shares of company stock valued at $907,856. Corporate insiders own 16.99% of the company’s stock.

Hedge Funds Weigh In On CarGurus

A number of hedge funds have recently modified their holdings of the stock. Raymond James Financial Inc. grew its holdings in shares of CarGurus by 3.9% in the 1st quarter. Raymond James Financial Inc. now owns 553,621 shares of the company’s stock worth $16,127,000 after acquiring an additional 20,906 shares during the last quarter. American Century Companies Inc. grew its holdings in shares of CarGurus by 547.9% during the first quarter. American Century Companies Inc. now owns 1,398,341 shares of the company’s stock valued at $40,734,000 after buying an additional 1,182,499 shares in the last quarter. Ethic Inc. grew its holdings in shares of CarGurus by 29.6% during the first quarter. Ethic Inc. now owns 20,321 shares of the company’s stock valued at $594,000 after buying an additional 4,645 shares in the last quarter. Fox Run Management L.L.C. purchased a new position in shares of CarGurus during the first quarter valued at $379,000. Finally, Sei Investments Co. grew its holdings in shares of CarGurus by 13.5% during the first quarter. Sei Investments Co. now owns 164,253 shares of the company’s stock valued at $4,785,000 after buying an additional 19,544 shares in the last quarter. 86.90% of the stock is currently owned by institutional investors and hedge funds.

CarGurus Company Profile

CarGurus, Inc operates an online automotive platform for buying and selling vehicles in the United States and internationally. It operates through two segments, U.S. Marketplace and Digital Wholesale. The company provides an online automotive marketplace where customers can search for new and used car listings from its dealers and sell their car to dealers and other consumers; and paid listings subscriptions for enhanced access to its marketplace that connects dealers to a large audience of informed and engaged consumers.