Cars.com (NYSE: CARS)’s stock price has soared by 9.20 in relation to previous closing price of 17.07. Nevertheless, the company has seen a gain of 10.30% in its stock price over the last five trading days. Zacks Investment Research reported 2024-05-09 that The headline numbers for Cars.com (CARS) give insight into how the company performed in the quarter ended March 2024, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
Is It Worth Investing in Cars.com (NYSE: CARS) Right Now?
The price-to-earnings ratio for Cars.com (NYSE: CARS) is 10.77x, which is above its average ratio. Moreover, the 36-month beta value for CARS is 2.13. Analysts have varying opinions on the stock, with 1 analysts rating it as a “buy,” 1 as “overweight,” 1 as “hold,” and 0 as “sell.”
The public float for CARS is 60.31M and currently, short sellers hold a 2.87% of that float. On May 10, 2024, CARS’s average trading volume was 422.72K shares.
CARS’s Market Performance
The stock of Cars.com (CARS) has seen a 10.30% increase in the past week, with a 10.82% rise in the past month, and a -0.37% fall in the past quarter. The volatility ratio for the week is 2.53%, and the volatility levels for the past 30 days are at 2.47% for CARS. The simple moving average for the last 20 days is 11.48% for CARS’s stock, with a simple moving average of 3.22% for the last 200 days.
Analysts’ Opinion of CARS
Many brokerage firms have already submitted their reports for CARS stocks, with UBS repeating the rating for CARS by listing it as a “Neutral.” The predicted price for CARS in the upcoming period, according to UBS is $20 based on the research report published on September 15, 2023 of the previous year 2023.
B. Riley Securities, on the other hand, stated in their research note that they expect to see CARS reach a price target of $26. The rating they have provided for CARS stocks is “Buy” according to the report published on July 20th, 2023.
JP Morgan gave a rating of “Overweight” to CARS, setting the target price at $23 in the report published on June 27th of the previous year.
CARS Trading at 8.65% from the 50-Day Moving Average
After a stumble in the market that brought CARS to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -18.39% of loss for the given period.
Volatility was left at 2.47%, however, over the last 30 days, the volatility rate increased by 2.53%, as shares surge +10.82% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +2.70% upper at present.
During the last 5 trading sessions, CARS rose by +10.30%, which changed the moving average for the period of 200-days by -13.98% in comparison to the 20-day moving average, which settled at $16.81. In addition, Cars.com saw -1.74% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at CARS starting from Miller Douglas Neal, who sale 14,344 shares at the price of $18.54 back on Mar 08 ’24. After this action, Miller Douglas Neal now owns 167,252 shares of Cars.com, valued at $265,938 using the latest closing price.
Miller Douglas Neal, the Pres. and Chief Comm. Officer of Cars.com, sale 1,823 shares at $18.50 during a trade that took place back on Mar 07 ’24, which means that Miller Douglas Neal is holding 181,596 shares at $33,726 based on the most recent closing price.
Stock Fundamentals for CARS
Current profitability levels for the company are sitting at:
- 0.09 for the present operating margin
- 0.82 for the gross margin
The net margin for Cars.com stands at 0.17. The total capital return value is set at 0.06. Equity return is now at value 27.02, with 10.78 for asset returns.
Based on Cars.com (CARS), the company’s capital structure generated 0.5 points at debt to capital in total, while cash flow to debt ratio is standing at 0.28. The debt to equity ratio resting at 0.98. The interest coverage ratio of the stock is 1.92.
Currently, EBITDA for the company is 151.53 million with net debt to EBITDA at 2.93. When we switch over and look at the enterprise to sales, we see a ratio of 2.43. The receivables turnover for the company is 5.5for trailing twelve months and the total asset turnover is 0.59. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.22.
Conclusion
To wrap up, the performance of Cars.com (CARS) has been mixed in recent times. The stock has received a mixed of “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
