Cars.com (NYSE:CARS) Shares Up 12.2% – Should You Buy?

04 Nov 2026, 19:41 by Michael Walen · The Markets Daily

Cars.com Inc. (NYSE:CARS – Get Free Report) traded up 12.2% on Wednesday. The company traded as high as $12.96 and last traded at $12.9710. 242,064 shares were traded during trading, a decline of 74% from the average session volume of 928,021 shares. The stock had previously closed at $11.56.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on CARS shares. Zacks Research raised Cars.com from a “hold” rating to a “strong-buy” rating in a research report on Friday, October 9th. Weiss Ratings downgraded shares of Cars.com from a “hold (c)” rating to a “hold (c-)” rating in a research report on Tuesday, September 29th. UBS Group decreased their price target on shares of Cars.com from $13.00 to $11.50 and set a “neutral” rating for the company in a research report on Wednesday, October 7th. Finally, BTIG Research restated a “buy” rating and issued a $14.00 price target on shares of Cars.com in a research note on Thursday, August 6th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and four have given a Hold rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $14.58.

Get Our Latest Stock Analysis on CARS

Cars.com Trading Up 10.9%

The company has a current ratio of 2.00, a quick ratio of 2.00 and a debt-to-equity ratio of 1.01. The company has a market cap of $686.25 million, a price-to-earnings ratio of 22.51 and a beta of 1.66. The firm has a 50-day moving average price of $10.88 and a 200 day moving average price of $10.58.

Cars.com (NYSE:CARS – Get Free Report) last posted its quarterly earnings results on Thursday, August 6th. The company reported $0.51 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.51. Cars.com had a return on equity of 18.82% and a net margin of 4.73%. The business had revenue of $179.93 million for the quarter, compared to analyst estimates of $180.53 million. During the same period in the prior year, the company posted $0.41 EPS. The business’s revenue was up .7% compared to the same quarter last year. As a group, sell-side analysts forecast that Cars.com Inc. will post 1.61 EPS for the current year.

Insiders Place Their Bets

In other news, insider Angelique Marks sold 57,980 shares of the company’s stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $11.94, for a total transaction of $692,281.20. Following the completion of the transaction, the insider directly owned 149,636 shares of the company’s stock, valued at approximately $1,786,653.84. This represents a 27.93% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Jr. Donald A. Mcgovern sold 8,000 shares of the stock in a transaction that occurred on Thursday, August 20th. The stock was sold at an average price of $12.25, for a total value of $98,000.00. Following the sale, the director owned 102,900 shares in the company, valued at $1,260,525. The trade was a 7.21% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 3.36% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in CARS. Hennessy Advisors Inc. lifted its stake in Cars.com by 35.8% in the third quarter. Hennessy Advisors Inc. now owns 17,917 shares of the company’s stock valued at $184,000 after buying an additional 4,719 shares during the last quarter. Kendall Capital Management grew its position in shares of Cars.com by 19.1% during the third quarter. Kendall Capital Management now owns 21,500 shares of the company’s stock worth $221,000 after acquiring an additional 3,450 shares during the last quarter. Sterling Capital Management LLC grew its position in shares of Cars.com by 2,714.5% during the third quarter. Sterling Capital Management LLC now owns 25,809 shares of the company’s stock worth $265,000 after acquiring an additional 24,892 shares during the last quarter. Versant Capital Management Inc increased its holdings in shares of Cars.com by 250.1% in the 3rd quarter. Versant Capital Management Inc now owns 5,356 shares of the company’s stock worth $55,000 after acquiring an additional 3,826 shares during the period. Finally, Amundi acquired a new stake in shares of Cars.com in the 2nd quarter worth about $192,000. 89.15% of the stock is currently owned by institutional investors.

About Cars.com

(Get Free Report)

Cars.com Inc (NYSE: CARS) operates a digital automotive marketplace that connects consumers with automotive dealers and manufacturers. Its platform enables shoppers to research vehicles, compare listings, read reviews, obtain financing information and connect with sellers when buying new or used cars.

The company provides automotive retailers with digital marketing, advertising, inventory merchandising, website and digital retailing solutions, as well as data and analytics tools. Its portfolio includes the Cars.com marketplace and related brands and services focused on dealer reviews, vehicle financing, automotive content and customer engagement.