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CarGurus, Inc. (NASDAQ:CARG) Stock Insights

- (Last modified: May 23, 2025 12:34 PM)

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  • CarGurus has experienced a 4.44% increase in its stock price over the past week, indicating strong momentum.
  • The company boasts a P/E ratio of 84.71 and a Momentum Style Score of A, suggesting high investor confidence and strong performance.
  • With a debt-to-equity ratio of 0.49 and a current ratio of 2.67, CarGurus demonstrates solid financial health and liquidity.

CarGurus, Inc. (NASDAQ:CARG) is a leading online automotive marketplace that connects buyers and sellers of new and used cars. The platform offers consumers the ability to research and compare vehicles, as well as connect with dealers. Competing with other online automotive platforms like AutoTrader and Cars.com, CarGurus stands out in the market.

On May 22, 2025, Steinert Langley, a key figure at CarGurus, sold 20,639 shares of Class A Common Stock at approximately $31.69 each. Despite this sale, Langley still holds 644,189 shares, maintaining a significant stake in the company. This transaction is officially documented on the SEC website.

CarGurus has seen a 4.44% increase in its stock price over the past week, making it attractive to momentum investors. These investors look for stocks that are trending upwards, and CarGurus' Momentum Style Score of A from Zacks Investment Research highlights its strong performance in this area.

The company's financial metrics reveal a P/E ratio of 84.71, indicating high investor confidence in future earnings. The price-to-sales ratio of 3.48 and enterprise value to sales ratio of 3.50 suggest a solid valuation relative to sales. CarGurus' enterprise value to operating cash flow ratio of 11.67 shows its ability to cover enterprise value with operating cash flow.

CarGurus maintains a moderate debt level with a debt-to-equity ratio of 0.49. Its current ratio of 2.67 indicates strong liquidity, with more than twice the current assets needed to cover liabilities. The earnings yield of 1.18% reflects the percentage of each dollar invested that was earned by the company.

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