Cars.com’s (CARS) Neutral Rating Reiterated at JPMorgan Chase & Co.

JPMorgan Chase & Co. reiterated their neutral rating on shares of Cars.com (NYSE:CARS) in a report issued on Friday morning, Marketbeat.com reports. The brokerage currently has a $10.00 target price on the stock, down from their previous target price of $16.00.

Other research analysts have also recently issued research reports about the company. Barrington Research reiterated an “outperform” rating and set a $25.00 price objective on shares of Cars.com in a research note on Monday, November 3rd. DA Davidson reaffirmed a “buy” rating and issued a $13.50 target price on shares of Cars.com in a report on Tuesday, November 18th. BTIG Research cut their price target on shares of Cars.com from $17.00 to $13.00 and set a “buy” rating on the stock in a report on Thursday. Weiss Ratings restated a “hold (c-)” rating on shares of Cars.com in a report on Tuesday, January 27th. Finally, Wall Street Zen raised Cars.com from a “hold” rating to a “buy” rating in a research report on Saturday, November 8th. Four analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $16.08.

Cars.com Price Performance

Cars.com stock opened at $8.58 on Friday. The firm has a market capitalization of $502.84 million, a P/E ratio of 26.80 and a beta of 1.50. Cars.com has a one year low of $8.29 and a one year high of $13.97. The company has a debt-to-equity ratio of 0.96, a current ratio of 1.87 and a quick ratio of 1.87. The business has a fifty day moving average price of $11.65 and a 200-day moving average price of $11.91.

Cars.com (NYSE:CARS) last released its quarterly earnings results on Thursday, February 26th. The company reported $0.44 earnings per share for the quarter, missing the consensus estimate of $0.56 by ($0.12). Cars.com had a return on equity of 17.31% and a net margin of 2.77%.The firm had revenue of $183.90 million during the quarter, compared to the consensus estimate of $183.44 million. During the same period in the previous year, the company posted $0.49 EPS. The company’s revenue for the quarter was up 1.9% compared to the same quarter last year. As a group, equities research analysts forecast that Cars.com will post 1.19 EPS for the current year.

Insider Activity at Cars.com

In other news, insider Matthew B. Crawford sold 27,358 shares of the company’s stock in a transaction dated Tuesday, December 2nd. The stock was sold at an average price of $12.03, for a total transaction of $329,116.74. Following the completion of the transaction, the insider directly owned 71,103 shares of the company’s stock, valued at approximately $855,369.09. This represents a 27.79% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Sonia Jain sold 11,400 shares of the company’s stock in a transaction that occurred on Wednesday, December 17th. The shares were sold at an average price of $13.45, for a total value of $153,330.00. Following the completion of the transaction, the chief financial officer directly owned 243,642 shares of the company’s stock, valued at $3,276,984.90. This trade represents a 4.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 2.12% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Cars.com

Several hedge funds have recently modified their holdings of CARS. Jackson Creek Investment Advisors LLC acquired a new stake in Cars.com during the third quarter worth about $1,673,000. Villanova Investment Management Co LLC lifted its stake in shares of Cars.com by 36.7% in the 3rd quarter. Villanova Investment Management Co LLC now owns 367,070 shares of the company’s stock valued at $4,486,000 after purchasing an additional 98,559 shares in the last quarter. Intrinsic Edge Capital Management LLC purchased a new stake in shares of Cars.com during the 2nd quarter worth about $5,210,000. SG Americas Securities LLC purchased a new stake in shares of Cars.com during the 3rd quarter worth about $2,496,000. Finally, Assetmark Inc. increased its position in Cars.com by 53.4% during the 2nd quarter. Assetmark Inc. now owns 57,128 shares of the company’s stock worth $677,000 after purchasing an additional 19,894 shares in the last quarter. 89.15% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting Cars.com

Here are the key news stories impacting Cars.com this week:

• Positive Sentiment: Record full-year revenue, cash generation and buybacks: Cars.com reported record 2025 revenue of $723M, generated $152M of annual cash from operations and repurchased 7.1M shares for ~$86M (retiring ~9% of shares), which supports shareholder return and balance-sheet flexibility. PR Newswire: Cars.com Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Bullish analyst with large upside: Barrington Research reaffirmed an “outperform” rating and set a $25 price target, signaling a sizable upside scenario if Cars.com executes on dealer monetization and product integration. Benzinga
• Positive Sentiment: BTIG keeps a buy stance despite trimming its target: BTIG lowered its price target from $17 to $13 but retained a “buy” call, indicating some analysts still see recovery potential above current levels. TickerReport: BTIG Research
• Neutral Sentiment: Company product roadmap / marketplace integration and AI plans: Management outlined marketplace integration and plans to advance AI-powered solutions with an expectation of dealer revenue growth in 2026 — constructive for long-term monetization but not immediate upside. Earnings Call Transcript | Slide Deck | MSN
• Neutral Sentiment: JPMorgan keeps a neutral view but trims target: JPMorgan reaffirmed a “neutral” rating and cut its price target to $10 (from $16), reflecting reduced near-term confidence even as upside remains modest against today’s price. Benzinga / Finviz
• Negative Sentiment: Q4 earnings miss and weak guidance: Cars.com reported Q4 EPS $0.44 vs. $0.56 expected and issued FY26 revenue guidance implying only ~0%–2% y/y growth (FY revenue guidance below consensus), which drove investor disappointment and downward pressure on the stock. Press Release / Slide Deck
• Negative Sentiment: Structural concerns and traffic decline: A Seeking Alpha note argues Cars.com faces declining consumer traffic, stagnant dealer growth, margin pressure and a ~$400M net debt load — a thesis that supports continued downside risk and a “Sell” view. Seeking Alpha: Cars.com — A Struggling Business
• Negative Sentiment: Multiple outlets highlight the miss: Coverage from Zacks, MarketBeat and other outlets emphasize the EPS miss and flat revenue growth, reinforcing the negative narrative among investors. Zacks | MarketBeat

Cars.com Company Profile

Cars.com operates as a leading online automotive marketplace in the United States, connecting car shoppers with new and used vehicle listings from dealerships and private sellers. The platform enables consumers to research makes and models, compare prices, read expert and user reviews, and access tools such as TrueCost to estimate ownership expenses over time. Through its website and mobile applications, Cars.com aims to simplify the car-buying process by aggregating detailed vehicle data, payment calculators, and dealership ratings into a single user-friendly experience.

On the dealer side, Cars.com provides a suite of marketing and lead-generation services designed to help automotive retailers reach potential buyers and manage their online presence.