
CarGurus (CARG) Stock Forecast & Price Target
CarGurus (CARG) Analyst Ratings
Bulls say
CarGurus Inc. demonstrated a solid financial performance with a consolidated QARSD of $6,144, reflecting a 12% year-over-year growth, fueled by increases in both U.S. dealers and international dealers, which grew by 2% and 11% respectively. The company's marketplace revenue soared by 15% year-over-year, reaching $210 million, illustrating robust demand as new product adoption, particularly for Digital Deal, surged by 105% year-over-year. Furthermore, CarGurus is poised for continued growth with an expanding dealer base and innovative offerings like the Next Best Deal product, which enhances dealer pricing strategies and marketplace visibility, thereby strengthening its position in the competitive landscape of online automotive marketplaces.
Bears say
CarGurus Inc. has demonstrated a mixed performance, with fourth-quarter revenue slightly below consensus expectations and a softer top-line outlook for the first quarter of 2025, leading to a downward revision in revenue estimates. The company faces significant obstacles in its Digital Wholesale segment, with persistent pressures at CarOffer and a modest deceleration in dealer marketplace growth due to waning momentum from recent product introductions and price increases. Additional risks, including potential slowdowns in dealer net additions, competitive pressures, and challenges in maintaining profitability amid international investments, contribute to a negative outlook for the stock.
This aggregate rating is based on analysts' research of CarGurus and is not a guaranteed prediction by Public.com or investment advice.
CarGurus (CARG) Analyst Forecast & Price Prediction
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