Divisadero Street Capital Management LP Takes Position in CarGurus, Inc. $CARG

Divisadero Street Capital Management LP purchased a new stake in CarGurus, Inc. (NASDAQ:CARG) during the second quarter, according to the company in its most recent Form 13F filing with the SEC. The firm purchased 436,183 shares of the company’s stock, valued at approximately $14,599,000. CarGurus accounts for approximately 0.9% of Divisadero Street Capital Management LP’s portfolio, making the stock its 24th biggest holding. Divisadero Street Capital Management LP owned 0.42% of CarGurus as of its most recent filing with the SEC.

Other large investors also recently added to or reduced their stakes in the company. BNP PARIBAS ASSET MANAGEMENT Holding S.A. purchased a new position in CarGurus during the second quarter valued at $27,000. Private Wealth Asset Management LLC acquired a new position in shares of CarGurus during the 2nd quarter worth about $29,000. MAI Capital Management lifted its stake in CarGurus by 661.0% in the 2nd quarter. MAI Capital Management now owns 1,172 shares of the company’s stock valued at $39,000 after buying an additional 1,018 shares in the last quarter. Fifth Third Bancorp boosted its holdings in CarGurus by 121.7% in the 2nd quarter. Fifth Third Bancorp now owns 1,419 shares of the company’s stock worth $47,000 after buying an additional 779 shares during the last quarter. Finally, BI Asset Management Fondsmaeglerselskab A S purchased a new stake in CarGurus during the 1st quarter worth approximately $46,000. 86.90% of the stock is currently owned by institutional investors and hedge funds.

CarGurus Stock Down 0.1%

Shares of CARG opened at $35.84 on Monday. CarGurus, Inc. has a 52-week low of $24.65 and a 52-week high of $41.33. The stock has a fifty day simple moving average of $35.38 and a two-hundred day simple moving average of $34.12. The company has a market capitalization of $3.42 billion, a PE ratio of 24.38, a price-to-earnings-growth ratio of 1.66 and a beta of 1.42.

CarGurus (NASDAQ:CARG) last announced its quarterly earnings data on Thursday, November 6th. The company reported $0.57 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.55 by $0.02. CarGurus had a net margin of 16.41% and a return on equity of 41.31%. The firm had revenue of $238.70 million during the quarter, compared to analyst estimates of $234.57 million. During the same quarter in the prior year, the firm posted $0.45 earnings per share. CarGurus’s quarterly revenue was up 3.2% on a year-over-year basis. CarGurus has set its FY 2025 guidance at 2.190-2.250 EPS and its Q4 2025 guidance at 0.610-0.670 EPS. As a group, equities analysts anticipate that CarGurus, Inc. will post 1.41 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on CARG. Citigroup raised their target price on CarGurus from $37.00 to $41.00 and gave the company a “neutral” rating in a research report on Tuesday, October 28th. Wall Street Zen raised CarGurus from a “hold” rating to a “buy” rating in a research note on Saturday, November 22nd. Oppenheimer decreased their price objective on CarGurus from $42.00 to $40.00 and set an “outperform” rating on the stock in a report on Tuesday, August 12th. UBS Group upped their target price on shares of CarGurus from $36.00 to $40.00 and gave the stock a “neutral” rating in a report on Monday, October 6th. Finally, DA Davidson set a $37.50 target price on shares of CarGurus in a research report on Monday, November 17th. Four research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $39.95.

Insider Activity

In other CarGurus news, insider Ismail Elshareef sold 1,228 shares of the firm’s stock in a transaction on Monday, November 3rd. The stock was sold at an average price of $34.98, for a total transaction of $42,955.44. Following the completion of the sale, the insider owned 95,907 shares of the company’s stock, valued at $3,354,826.86. This trade represents a 1.26% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Jennifer Ladd Hanson sold 9,998 shares of the company’s stock in a transaction on Wednesday, October 1st. The shares were sold at an average price of $36.88, for a total value of $368,726.24. Following the completion of the transaction, the insider directly owned 54,807 shares in the company, valued at approximately $2,021,282.16. This trade represents a 15.43% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 41,226 shares of company stock valued at $1,471,482 in the last 90 days. Company insiders own 17.20% of the company’s stock.

CarGurus Company Profile

CarGurus, Inc operates an online automotive platform for buying and selling vehicles in the United States and internationally. It operates through two segments, U.S. Marketplace and Digital Wholesale. The company provides an online automotive marketplace where customers can search for new and used car listings from its dealers and sell their car to dealers and other consumers; and paid listings subscriptions for enhanced access to its marketplace that connects dealers to a large audience of informed and engaged consumers.