CarGurus Inc (NASDAQ: CARG)’s stock price has increased by 0.79 compared to its previous closing price of 31.56. However, the company has seen a -3.31% decrease in its stock price over the last five trading sessions. zacks.com reported 2025-05-22 that Does CarGurus (CARG) have what it takes to be a top stock pick for momentum investors? Let’s find out.
Is It Worth Investing in CarGurus Inc (NASDAQ: CARG) Right Now?
CarGurus Inc (NASDAQ: CARG) has a price-to-earnings ratio of 89.25x that is above its average ratio. Additionally, the 36-month beta value for CARG is 1.45. There are mixed opinions on the stock, with 6 analysts rating it as a “buy,” 3 rating it as “overweight,” 4 rating it as “hold,” and 0 rating it as “sell.”
The public float for CARG is 80.31M and currently, short sellers hold a 8.95% ratio of that float. The average trading volume of CARG on May 23, 2025 was 1.32M shares.
CARG’s Market Performance
CARG’s stock has seen a -3.31% decrease for the week, with a 14.71% rise in the past month and a 2.12% gain in the past quarter. The volatility ratio for the week is 1.94%, and the volatility levels for the past 30 days are at 3.01% for CarGurus Inc The simple moving average for the last 20 days is 4.98% for CARG stock, with a simple moving average of -1.57% for the last 200 days.
Analysts’ Opinion of CARG
Many brokerage firms have already submitted their reports for CARG stocks, with JP Morgan repeating the rating for CARG by listing it as a “Neutral.” The predicted price for CARG in the upcoming period, according to JP Morgan is $34 based on the research report published on March 27, 2025 of the current year 2025.
Needham, on the other hand, stated in their research note that they expect to see CARG reach a price target of $45, previously predicting the price at $39. The rating they have provided for CARG stocks is “Buy” according to the report published on January 16th, 2025.
JMP Securities gave a rating of “Mkt Outperform” to CARG, setting the target price at $30 in the report published on June 07th of the previous year.
CARG Trading at 8.83% from the 50-Day Moving Average
After a stumble in the market that brought CARG to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -23.03% of loss for the given period.
Volatility was left at 3.01%, however, over the last 30 days, the volatility rate increased by 1.94%, as shares surge +12.48% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +2.02% upper at present.
During the last 5 trading sessions, CARG fell by -3.31%, which changed the moving average for the period of 200-days by +42.65% in comparison to the 20-day moving average, which settled at $30.30. In addition, CarGurus Inc saw -12.94% 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 CARG starting from Steinert Langley, who sale 20,639 shares at the price of $31.79 back on May 21 ’25. After this action, Steinert Langley now owns 664,828 shares of CarGurus Inc, valued at $656,095 using the latest closing price.
Steinert Langley, the Executive Chair of CarGurus Inc, sale 20,639 shares at $31.69 during a trade that took place back on May 22 ’25, which means that Steinert Langley is holding 644,189 shares at $654,046 based on the most recent closing price.
Stock Fundamentals for CARG
Current profitability levels for the company are sitting at:
- 0.18 for the present operating margin
- 0.84 for the gross margin
The net margin for CarGurus Inc stands at 0.04. The total capital return value is set at 0.27. Equity return is now at value 7.98, with 4.96 for asset returns.
Based on CarGurus Inc (CARG), the company’s capital structure generated 0.33 points at debt to capital in total, while cash flow to debt ratio is standing at 1.39.
Currently, EBITDA for the company is 173.27 million with net debt to EBITDA at 0.12. When we switch over and look at the enterprise to sales, we see a ratio of 3.5. The receivables turnover for the company is 22.2for trailing twelve months and the total asset turnover is 1.31. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.52.
Conclusion
In conclusion, CarGurus Inc (CARG) has seen mixed performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. 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.
