Stock AnalizCarGurus, Inc. CARG
EDP Services · IPO 2017 · data as of November 13, 2026
CarGurus, Inc. (CARG) is a technology company listed in the US with a market value of about $3.1B. In the twelve months to September 30, 2026 it had revenue of $994M and net income of $184M, a net margin of 18.5%.
Its overall Stock Analiz score is 3.8 out of 5 (good). The strongest part is value (5/5); the weakest is shareholder returns (1/5).
Key numbers: a P/E of 17.6, a price to free cash flow of 9.6, 5-year revenue growth of 10% a year, a 5-year average ROIC of 18%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 44% above the current price.
Score: 3.8 / 5
Checks passed
- P/E below 25
- P/E below the industry median
- P/FCF below 20
- Price below intrinsic value (DCF, moderate assumptions)
- PEG below 1.5
- Revenue growth above 10% last year
- Profit margin improving
- Strong R&D investment or growth above 20%
Checks not passed
- 3-year revenue growth above 10% a year
- 3-year free cash flow growth above 10% a year
- Pays a dividend
- 20% to 100% of free cash flow returned to shareholders
- Dividend 3 years in a row
- Stock-based pay below 5% of revenue
Valuation
Growth and quality
Financials, last 10 years
| Fiscal year | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $994M | $907M | $798M | $698M | $1.7B | $951M | $551M | $589M | $454M | $317M | $198M |
| Net income | $184M | $156M | $21M | $37M | $84M | $109M | $78M | $42M | $65M | $13M | $6M |
| Free cash flow | $325M | $289M | $180M | $100M | $250M | $91M | $154M | $59M | $46M | $21M | $14M |
| EPS (diluted) | $1.98 | $1.55 | $0.20 | $0.19 | $0.62 | $0.00 | $0.68 | $0.37 | $0.57 | $0.12 | $-0.58 |
| Net margin | 18.5% | 17.2% | 2.6% | 5.3% | 5.1% | 11.5% | 14.1% | 7.2% | 14.3% | 4.2% | 3.3% |
| ROIC | — | 33.7% | 16.4% | 9.8% | 9.6% | 18.6% | 17.2% | 8.3% | 9.4% | 10.0% | — |
From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.
What analysts expect
The average 12-month price target from 11 analysts is $41.36, 19% above the current price; targets range from $36.00 to $46.00; the consensus rating is “Buy”; expected EPS is $2.69 for the fiscal year ending December 31, 2026.
Frequently asked questions
What is CarGurus’s P/E ratio?
About 17.6, based on the last twelve months of diluted earnings per share (forward P/E about 11.8).
Is CarGurus stock undervalued?
Our DCF model with moderate assumptions puts its intrinsic value about 44% above the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.
Does CarGurus pay a dividend?
Not currently.
Is CarGurus a good stock to buy?
We do not give buy or sell advice. CarGurus scores 3.8 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.
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Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.