CarGurus (NASDAQ:CARG) Given New $34.00 Price Target at Royal Bank Of Canada

CarGurus (NASDAQ:CARG) had its price target lowered by research analysts at Royal Bank Of Canada from $40.00 to $34.00 in a report issued on Friday, MarketBeat Ratings reports. The brokerage presently has an “outperform” rating on the stock. Royal Bank Of Canada’s price objective points to a potential upside of 11.67% from the stock’s current price.

Several other equities analysts have also recently weighed in on CARG. DA Davidson dropped their price objective on CarGurus from $37.50 to $33.50 and set a “neutral” rating on the stock in a research note on Friday. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of CarGurus in a research report on Monday, December 29th. Wall Street Zen cut shares of CarGurus from a “buy” rating to a “hold” rating in a research report on Sunday, February 15th. Citigroup upped their target price on CarGurus from $37.00 to $41.00 and gave the company a “neutral” rating in a report on Tuesday, October 28th. Finally, Jefferies Financial Group lifted their price target on CarGurus from $42.00 to $45.00 and gave the stock a “buy” rating in a report on Thursday, December 11th. Five equities research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $38.50.

CarGurus Price Performance

Shares of NASDAQ:CARG traded up $1.25 during midday trading on Friday, hitting $30.45. 419,929 shares of the company’s stock were exchanged, compared to its average volume of 1,072,944. CarGurus has a 12 month low of $24.65 and a 12 month high of $39.42. The company has a market cap of $2.91 billion, a PE ratio of 20.25, a price-to-earnings-growth ratio of 1.06 and a beta of 1.35. The stock has a 50 day moving average price of $34.44 and a 200-day moving average price of $34.81.

Insider Buying and Selling at CarGurus

In other news, CEO Jason Trevisan sold 16,548 shares of the company’s stock in a transaction dated Tuesday, December 23rd. The shares were sold at an average price of $39.02, for a total transaction of $645,702.96. Following the completion of the sale, the chief executive officer owned 630,483 shares of the company’s stock, valued at $24,601,446.66. This represents a 2.56% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Ismail Elshareef sold 1,645 shares of the firm’s stock in a transaction that occurred on Monday, February 2nd. The stock was sold at an average price of $32.21, for a total transaction of $52,985.45. Following the completion of the transaction, the insider directly owned 91,822 shares in the company, valued at approximately $2,957,586.62. The trade was a 1.76% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 49,003 shares of company stock worth $1,858,494 in the last three months. 16.99% of the stock is currently owned by company insiders.

Institutional Trading of CarGurus

A number of large investors have recently made changes to their positions in CARG. BNP PARIBAS ASSET MANAGEMENT Holding S.A. purchased a new position in CarGurus in the second quarter worth about $27,000. Farther Finance Advisors LLC boosted its holdings in shares of CarGurus by 71.1% in the 3rd quarter. Farther Finance Advisors LLC now owns 1,066 shares of the company’s stock worth $40,000 after purchasing an additional 443 shares during the period. MAI Capital Management increased its position in shares of CarGurus by 661.0% during the 2nd quarter. MAI Capital Management now owns 1,172 shares of the company’s stock valued at $39,000 after purchasing an additional 1,018 shares during the last quarter. Brown Brothers Harriman & Co. purchased a new stake in CarGurus during the 3rd quarter valued at $46,000. Finally, Torren Management LLC bought a new stake in CarGurus in the fourth quarter worth $49,000. 86.90% of the stock is currently owned by institutional investors.

CarGurus News Summary

Here are the key news stories impacting CarGurus this week:

• Positive Sentiment: Q4 earnings beat expectations — CarGurus reported $0.63 EPS vs. the Zacks consensus $0.61, and EPS rose vs. a year ago; this supports the stock’s momentum following results. CarGurus (CARG) Beats Q4 Estimates
• Positive Sentiment: Strong full‑year results and capital return — FY2025 GAAP net income +53% YoY, Adj. EBITDA +25% YoY; repurchased ~ $350M of stock in 2025 and announced a new $250M buyback for 2026, which is shareholder‑friendly and supports the share price. CarGurus Announces Fourth-Quarter and Full-Year 2025 Results
• Positive Sentiment: FY revenue guidance raised above consensus — company gave FY2026 revenue range roughly $997.7M–$1.0B, above Street estimate (~$970.9M), indicating top‑line confidence for the year. FY Guidance in Press Release
• Positive Sentiment: Market/analyst commentary highlights AI adoption as a growth catalyst — coverage notes upside if the company accelerates AI monetization, which investors are rewarding. Analysts Eye AI Adoption Pace
• Neutral Sentiment: Q1 EPS guidance mixed — CarGurus gave Q1 EPS guidance of $0.52–$0.58 vs. consensus $0.56 (range straddles Street), so guidance is roughly in line but not a clear beat.
• Neutral Sentiment: Earnings materials/transcript available — investors can review the Q4 call and transcript for management commentary on margins, AI plans and dealer demand. Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Short‑interest data posted is anomalous (shows zero shares); treat as unreliable until clarified — no clear signal from shorts.
• Negative Sentiment: Analyst price target cut — DA Davidson lowered its price target from $37.50 to $33.50 and set a “neutral” rating, which could cap near‑term upside if other firms follow. DA Davidson Lowers PT (Benzinga)
• Negative Sentiment: Alleged data leak reported — a third‑party publication reported that “ShinyHunters” may have taken ~1.7M records; potential reputational, legal or remediation costs could concern investors while details are investigated. Alleged Data Leak Report

About CarGurus

CarGurus, Inc operates an online automotive marketplace designed to connect buyers and sellers of new and used vehicles. Through its proprietary search engine and data-driven pricing tools, the platform enables consumers to compare listings, assess fair market values and locate local dealers offering competitive deals. CarGurus also provides detailed vehicle history reports, dealer reviews and financing options to streamline the car-shopping process for both private parties and franchised dealerships.

The company’s core product offerings include Instant Market Value (IMV), which leverages pricing algorithms to help buyers identify over- or under-priced vehicles, as well as dealer subscription services that grant automotive retailers access to lead generation tools, targeted advertising and dynamic pricing insights.