Home 
Today's Top Picks 
Top Performers 
Watchlist 
My Robo Portfolios 
ETF Zone 
Help & Tutorial 
Cancel anytime
- Chart
- Upturn Summary
- Highlights
- Revenue
- Valuation
- Analyst Ratings
Upturn AI SWOT - About
CARS 
Cars.com Inc (CARS)
- BUY Advisory
- SELL Advisory (Profit)
- SELL Advisory (Loss)
- Profit
- Loss
- Pass (Skip investing)
Stock price based on last close (see disclosures)
- ALL
- YEAR
- MONTH
- WEEK
Upturn Advisory Summary
07/02/2025: CARS (1-star) has a low Upturn Star Rating. Not recommended to BUY.
Upturn Star Rating
Not Recommended Performance
These Stocks/ETFs, based on Upturn Advisory, consistently fall short of market performance, signaling caution before investing.
Number of Analysts
7 Analysts rated it
Limited analyst coverage, niche firm, research info may be scarce.
1 Year Target Price $16.21
1 Year Target Price $16.21
| 3 | Strong Buy |
| 1 | Buy |
| 2 | Hold |
| 0 | Sell |
| 1 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -5.94% | Avg. Invested days 21 | Today’s Advisory Consider higher Upturn Star rating |
Upturn Star Rating | Upturn Advisory Performance  3.0 | Stock Returns Performance  1.0 |
| Profits based on simulation | Last Close 07/02/2025 |
Key Highlights
Company Size Small-Cap Stock | Market Capitalization 761.56M USD | Price to earnings Ratio 17.81 | 1Y Target Price 16.21 |
Price to earnings Ratio 17.81 | 1Y Target Price 16.21 | ||
Volume (30-day avg) 7 | Beta 1.84 | 52 Weeks Range 9.56 - 21.24 | Updated Date 07/2/2025 |
52 Weeks Range 9.56 - 21.24 | Updated Date 07/2/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) 0.68 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 6.32% | Operating Margin (TTM) 3.72% |
Management Effectiveness
Return on Assets (TTM) 2.66% | Return on Equity (TTM) 9.35% |
Valuation
Trailing PE 17.81 | Forward PE 7.17 | Enterprise Value 1185713876 | Price to Sales(TTM) 1.06 |
Enterprise Value 1185713876 | Price to Sales(TTM) 1.06 | ||
Enterprise Value to Revenue 1.65 | Enterprise Value to EBITDA 5.98 | Shares Outstanding 62886700 | Shares Floating 58167677 |
Shares Outstanding 62886700 | Shares Floating 58167677 | ||
Percent Insiders 9.77 | Percent Institutions 93.95 |
Analyst Ratings
Rating 2 | Target Price 16.21 | Buy 1 | Strong Buy 3 |
Buy 1 | Strong Buy 3 | ||
Hold 2 | Sell - | Strong Sell 1 | |
Strong Sell 1 |
Upturn AI SWOT
Cars.com Inc
Company Overview
History and Background
Cars.com Inc. was founded in 1998 by a consortium of newspaper companies. It evolved from a classifieds section into an independent, publicly traded company. It has grown into a leading digital automotive marketplace providing consumers with information, tools, and connections to car dealers.
Core Business Areas
- Marketplace Solutions: Connects car shoppers with sellers through its online marketplace and related services, including new and used car listings, reviews, and research tools.
- Advertising Solutions: Provides advertising solutions for automotive manufacturers (OEMs) and dealers, enabling them to reach a large audience of car shoppers.
- Data and Analytics: Offers data and analytics products to help dealers and OEMs understand market trends and optimize their advertising and inventory strategies.
Leadership and Structure
The company has a CEO who leads the executive team. The organizational structure includes departments for technology, sales, marketing, finance, and operations. The Board of Directors is responsible for overall governance and strategic oversight.
Top Products and Market Share
Key Offerings
- Cars.com Marketplace: An online platform for buying and selling new and used cars. Competitors include Autotrader (owned by Cox Automotive) and Kelley Blue Book (owned by Cox Automotive) and Carvana. The company connects millions of car shoppers with local dealers. The company provides revenue through subscriptions and advertising on the platform.
- Market Share (%): 0.08
- Dealer Inspire: A suite of digital marketing and website solutions for automotive dealers. Competitors include CDK Global and Dealer.com (owned by Cox Automotive). The service allows dealers to create custom websites and marketing strategies. The company generates revenue through its subscriptions.
- Accu-Trade: Vehicle valuation and appraisal platform. Competitors include vAuto (owned by Cox Automotive) and Black Book. The service helps dealers assess trade-in values and manage inventory. This provides the company revenue through subscriptions.
Market Dynamics
Industry Overview
The automotive digital marketplace is experiencing growth driven by increased online car shopping, advancements in automotive technology, and the rise of electric vehicles. Increased competition from digital native companies is also a factor. The industry is competitive, with several large players and emerging startups.
Positioning
Cars.com Inc. is positioned as a leading digital automotive marketplace, offering a comprehensive suite of solutions for both consumers and dealers. Competitive advantages include its established brand recognition, large user base, and comprehensive data analytics capabilities.
Total Addressable Market (TAM)
The total addressable market for automotive digital advertising and related services is estimated to be worth billions of dollars annually. Cars.com is positioned to capture a significant portion of this market through its integrated platform and strong relationships with dealers and OEMs. TAM is estimated at over $30 Billion. Cars.com is a player but has much more potential.
Upturn SWOT Analysis
Strengths
- Established brand recognition
- Large user base of car shoppers
- Comprehensive suite of products and services
- Strong relationships with dealers and OEMs
- Data analytics capabilities
Weaknesses
- Competition from larger players with deeper pockets
- Dependence on advertising revenue
- Fluctuations in the automotive market
- Integration challenges with acquired companies
Opportunities
- Expansion into new markets and geographies
- Development of new products and services
- Partnerships with technology companies
- Capitalizing on the growth of electric vehicles
- Leveraging data analytics to improve user experience
Threats
- Economic downturns affecting car sales
- Changes in consumer behavior
- Disruption from new technologies
- Increased competition from online retailers
- Data security and privacy concerns
Competitors and Market Share
Key Competitors
- KMX
- ACVA
- CVNA
Competitive Landscape
Cars.com Inc. faces intense competition from larger, well-funded players like Carmax (KMX) and digital native competitors like Carvana (CVNA). Its strengths lie in its established brand and comprehensive platform, but it needs to innovate continuously to stay ahead.
Major Acquisitions
Accu-Trade
- Year: 2021
- Acquisition Price (USD millions): 41
- Strategic Rationale: Enhanced vehicle valuation and appraisal capabilities, providing a comprehensive solution for dealers.
Growth Trajectory and Initiatives
Historical Growth: Historical growth has been steady but impacted by fluctuations in the automotive market and increasing competition. The company has focused on acquisitions and product development to drive growth.
Future Projections: Analyst projections suggest continued growth in revenue and profitability, driven by the increasing adoption of digital car shopping and the company's expansion into new markets.
Recent Initiatives: Recent initiatives include the acquisition of Accu-Trade, investments in technology infrastructure, and the launch of new advertising products.
Summary
Cars.com Inc. is a mid-sized player in a competitive digital automotive marketplace. While it benefits from brand recognition and a comprehensive platform, it faces challenges from larger, well-funded competitors. Strategic acquisitions and continued product innovation are crucial for maintaining and growing market share. The company needs to watch out for economic downturns and changing consumer behavior and adapt their platform to be relevant.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company Filings
- Industry Reports
- Analyst Estimates
Disclaimers:
This analysis is based on available information and is not financial advice. Market conditions and company performance can change.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Cars.com Inc
Exchange NYSE | Headquaters Chicago, IL, United States | ||
IPO Launch date 2017-05-18 | Co-Founder, CEO & Director Mr. T. Alex Vetter | ||
Sector Communication Services | Industry Internet Content & Information | Full time employees 1800 | Website https://www.cars.com |
Full time employees 1800 | Website https://www.cars.com | ||
Cars.com Inc., an audience-driven technology company, provides solutions for the automotive industry in the United States. The company offers cars commerce platforms, such as Marketplace, allowing OEMs and dealers to merchandise their inventory and allowing consumers to add and save vehicles to virtual garage and track the Cars.com market value of current vehicle, as well as provides reputation management technology and digital financing tools and access to in-market consumers who are ready to trade-in its vehicle for a new one. It also provides website creation and platform hosting; digital retailing solutions; and trade and appraisal product, including AccuTrade, uses real-time market data and diagnostic scans to determine the right trade-in offer for every VIN in minutes. In addition, the company offers Cars Commerce Media Network products comprising Cars Social, allows dealers to target and serve native advertisements displaying real-time inventory to in-market car shoppers on Facebook and Instagram; VIN Performance Media, a machine-learning for media campaign, including audience targeting, real-time inventory, and ad placement across search, social, and display; In-Market Video, provides OEMs and dealers to pinpoint serious, ready-to-buy shoppers geographically; and In-Market Display, enable dealers and OEMs to extend reach and access audience of in-market car shoppers. The company serves local dealers, OEMs, dealer groups, and auto-adjacent companies. Cars.com Inc. was founded in 1998 and is headquartered in Chicago, Illinois.
Note: This website is maintained by Upturn Corporation, which is an investment adviser registered with the U.S. Securities and Exchange Commission. Such registration does not imply a certain level of skill or training. Investing in securities has risks. Past performance is no guarantee of future returns. No assurance is provided as to any particular investment return, and you may lose money using our services. You are strongly advised to consult appropriate counsel before making any investments in companies you learn about through our services. You should obtain appropriate legal, tax, investment, accounting, and other advice that takes into account your investment portfolio and overall financial situation. You are solely responsible for conducting due diligence on a potential investment. We do not affect trades for you. You will select your own broker through which to transact. Investments are not FDIC insured, they are not guaranteed, and they may lose value. Please see the Privacy Policy, Terms of Use, and Disclosure for more information.