Cars.com (NYSE:CARS) Lowered to “Strong Sell” Rating by Zacks Research

Cars.com (NYSE:CARS) was downgraded by equities research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a report issued on Monday,Zacks.com reports.

A number of other equities research analysts also recently issued reports on CARS. BTIG Research reduced their price target on shares of Cars.com from $17.00 to $13.00 and set a “buy” rating on the stock in a research note on Thursday, February 26th. JPMorgan Chase & Co. reiterated a “neutral” rating and issued a $10.00 target price (down from $16.00) on shares of Cars.com in a report on Friday, February 27th. UBS Group boosted their target price on Cars.com from $12.00 to $13.00 and gave the company a “neutral” rating in a research report on Wednesday, January 14th. Weiss Ratings restated a “hold (c-)” rating on shares of Cars.com in a research note on Tuesday, January 27th. Finally, DA Davidson restated a “buy” rating and set a $13.50 price target on shares of Cars.com in a research report on Tuesday, November 18th. Four investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $16.08.

Cars.com Stock Performance

NYSE CARS opened at $7.82 on Monday. The stock has a market cap of $458.39 million, a PE ratio of 24.43 and a beta of 1.50. The company has a current ratio of 1.87, a quick ratio of 1.87 and a debt-to-equity ratio of 0.96. Cars.com has a twelve month low of $7.68 and a twelve month high of $13.97. The stock has a fifty day simple moving average of $11.03 and a 200-day simple moving average of $11.69.

Cars.com (NYSE:CARS) last issued its quarterly earnings data on Thursday, February 26th. The company reported $0.44 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.56 by ($0.12). Cars.com had a return on equity of 17.31% and a net margin of 2.77%.The business had revenue of $183.90 million for the quarter, compared to analyst estimates of $183.44 million. During the same period in the previous year, the business posted $0.49 earnings per share. The firm’s revenue for the quarter was up 1.9% compared to the same quarter last year. Equities analysts anticipate that Cars.com will post 1.19 earnings per share for the current year.

Insider Buying and Selling at Cars.com

In other news, CFO Sonia Jain sold 11,400 shares of the firm’s stock in a transaction on Wednesday, December 17th. The shares were sold at an average price of $13.45, for a total value of $153,330.00. Following the sale, the chief financial officer directly owned 243,642 shares in the company, valued at approximately $3,276,984.90. This trade represents a 4.47% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 2.12% of the company’s stock.

Hedge Funds Weigh In On Cars.com

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Connor Clark & Lunn Investment Management Ltd. lifted its position in Cars.com by 2.0% in the second quarter. Connor Clark & Lunn Investment Management Ltd. now owns 41,069 shares of the company’s stock valued at $487,000 after acquiring an additional 794 shares during the last quarter. Inspire Investing LLC grew its holdings in shares of Cars.com by 3.0% during the fourth quarter. Inspire Investing LLC now owns 38,273 shares of the company’s stock worth $467,000 after purchasing an additional 1,119 shares during the last quarter. GAMMA Investing LLC increased its position in shares of Cars.com by 27.7% during the third quarter. GAMMA Investing LLC now owns 5,898 shares of the company’s stock worth $72,000 after purchasing an additional 1,279 shares in the last quarter. iSAM Funds UK Ltd lifted its holdings in shares of Cars.com by 12.3% in the 3rd quarter. iSAM Funds UK Ltd now owns 12,499 shares of the company’s stock valued at $153,000 after purchasing an additional 1,367 shares during the last quarter. Finally, Vident Advisory LLC boosted its position in shares of Cars.com by 3.3% in the 3rd quarter. Vident Advisory LLC now owns 43,023 shares of the company’s stock valued at $526,000 after purchasing an additional 1,386 shares during the period. 89.15% of the stock is owned by institutional investors and hedge funds.

Cars.com Company Profile

Cars.com operates as a leading online automotive marketplace in the United States, connecting car shoppers with new and used vehicle listings from dealerships and private sellers. The platform enables consumers to research makes and models, compare prices, read expert and user reviews, and access tools such as TrueCost to estimate ownership expenses over time. Through its website and mobile applications, Cars.com aims to simplify the car-buying process by aggregating detailed vehicle data, payment calculators, and dealership ratings into a single user-friendly experience.

On the dealer side, Cars.com provides a suite of marketing and lead-generation services designed to help automotive retailers reach potential buyers and manage their online presence.