(CARS) Cars.com - Overview

Sector: Communication Services | Industry: Internet Content & Information | Exchange: NYSE (USA) | Market Cap: 539m USD | Total Return: 1.3% in 12m

Digital Marketplace, Advertising, Dealer Software, Inventory Management
Total Rating 30
Safety 26
Buy Signal -0.12
Internet Content & Information
Industry Rotation: -6.6
Market Cap: 539M
Avg Turnover: 9.43M
Risk 3d forecast
Volatility39.4%
VaR 5th Pctl6.44%
VaR vs Median-0.67%
Reward TTM
Sharpe Ratio0.17
Rel. Str. IBD31.6
Rel. Str. Peer Group65
Character TTM
Beta1.289
Beta Downside1.839
Hurst Exponent0.599
Drawdowns 3y
Max DD66.77%
CAGR/Max DD-0.27
CAGR/Mean DD-0.56
EPS (Earnings per Share) EPS (Earnings per Share) of CARS over the last years for every Quarter: "2021-03": 0.08, "2021-06": 0.08, "2021-09": 0.03, "2021-12": -0.0861, "2022-03": 0.0612, "2022-06": 0.08, "2022-09": -0.0435, "2022-12": 0.15, "2023-03": 0.17, "2023-06": 1.37, "2023-09": 0.0656, "2023-12": 0.12, "2024-03": 0.0116, "2024-06": 0.38, "2024-09": 0.41, "2024-12": 0.49, "2025-03": 0.37, "2025-06": 0.41, "2025-09": 0.48, "2025-12": 0.44, "2026-03": 0.45,
EPS CAGR: 6.50%
EPS Trend: 16.5%
Last SUE: -0.25
Qual. Beats: 0
Revenue Revenue of CARS over the last years for every Quarter: 2021-03: 153.295, 2021-06: 155.53, 2021-09: 156.553, 2021-12: 158.305, 2022-03: 158.207, 2022-06: 162.873, 2022-09: 164.595, 2022-12: 168.201, 2023-03: 167.068, 2023-06: 168.176, 2023-09: 174.333, 2023-12: 179.606, 2024-03: 180.176, 2024-06: 178.894, 2024-09: 179.651, 2024-12: 180.431, 2025-03: 179.024, 2025-06: 178.739, 2025-09: 181.573, 2025-12: 183.903, 2026-03: 180.223,
Rev. CAGR: 2.71%
Rev. Trend: 88.2%
Last SUE: 0.00
Qual. Beats: 0

Warnings

Altman Z'' -3.46 < 1.0 - financial distress zone

Below Avwap Earnings

Tailwinds

Confidence

Description: CARS Cars.com

Cars.com Inc. (CARS) is a Chicago-based technology platform providing digital marketplace solutions and advertising tools for the United States automotive industry. The company connects original equipment manufacturers (OEMs) and dealerships with consumers through its flagship marketplace, website hosting services, and VIN-specific appraisal technology via AccuTrade.

The business model relies on a software-as-a-service (SaaS) and subscription-based framework, where dealers pay for inventory visibility, social media targeting, and machine-learning media campaigns. As an aggregator in the Interactive Media & Services sub-industry, the company generates revenue by digitizing the traditional car-buying funnel, from initial lead generation to digital financing and trade-in valuations.

The automotive retail sector is increasingly shifting toward omnichannel models that integrate physical showrooms with digital storefronts to reduce friction in the transaction process. Reviewing the latest valuation metrics on ValueRay can help clarify how these digital tailwinds impact the companys long-term growth profile. Founded in 1998, Cars.com Inc. continues to expand its ecosystem by offering proprietary media solutions and real-time inventory tracking across major social platforms.

Headlines to Watch Out For
  • Dealer subscription growth and retention drive core marketplace revenue stability
  • Expansion of AccuTrade technology scales high-margin digital wholesale transaction volume
  • OEM advertising spend sensitivity impacts media solution and video revenue
  • Integration of machine-learning ad products improves dealer return on investment
  • Consumer financing demand fluctuations influence dealer website and lead conversion rates
Piotroski VR-10 (Strict) 6.5
Net Income: 27.0m TTM > 0 and > 6% of Revenue
FCF/TA: 0.15 > 0.02 and ΔFCF/TA 3.09 > 1.0
NWC/Revenue: 14.01% < 20% (prev 10.00%; Δ 4.01% < -1%)
CFO/TA 0.15 > 3% & CFO 162.0m > Net Income 27.0m
Net Debt (387.2m) to EBITDA (156.4m): 2.48 < 3
Current Ratio: 1.87 > 1.5 & < 3
Outstanding Shares: last quarter (59.6m) vs 12m ago -7.56% < -2%
Gross Margin: 82.95% > 18% (prev 0.90%; Δ 8.20k% > 0.5%)
Asset Turnover: 67.80% > 50% (prev 66.26%; Δ 1.54% > 0%)
Interest Coverage Ratio: 2.50 > 6 (EBITDA TTM 156.4m / Interest Expense TTM 29.9m)
Altman Z'' -3.46
A: 0.10 (Total Current Assets 218.0m - Total Current Liabilities 116.5m) / Total Assets 1.05b
B: -0.89 (Retained Earnings -936.5m / Total Assets 1.05b)
C: 0.07 (EBIT TTM 74.9m / Avg Total Assets 1.07b)
D: -1.58 (Book Value of Equity -936.9m / Total Liabilities 592.7m)
Altman-Z'' = -3.46 = D
Beneish M -3.08
DSRI: 1.02 (Receivables 135.0m/131.0m, Revenue 724.4m/718.0m)
GMI: 1.09 (GM 82.95% / 90.27%)
AQI: 0.95 (AQ_t 0.76 / AQ_t-1 0.80)
SGI: 1.01 (Revenue 724.4m / 718.0m)
TATA: -0.13 (NI 27.0m - CFO 162.0m) / TA 1.05b)
Beneish M = -3.08 (Cap -4..+1) = AA
What is the price of CARS shares?

As of May 30, 2026, the stock is trading at USD 10.28 with a total of 598,908 shares traded.
Over the past week, the price has changed by +7.42%, over one month by -6.29%, over three months by +20.37% and over the past year by +1.28%.

Is CARS a buy, sell or hold?

Cars.com has received a consensus analysts rating of 3.71. Therefore, it is recommended to hold CARS.

  • StrongBuy: 3
  • Buy: 1
  • Hold: 2
  • Sell: 0
  • StrongSell: 1

What are the forecasts/targets for the CARS price?
Analysts Target Price 13 26.5%
Cars.com (CARS) - Fundamental Data Overview as of 26 May 2026
Market Cap USD = 539.5m (539.5m USD * 1.0 USD.USD)
P/E Trailing = 22.4419
P/E Forward = 4.1771
P/S = 0.7447
P/B = 1.1708
P/EG = 2.3503
Revenue TTM = 724.4m USD
EBIT TTM = 74.9m USD
EBITDA TTM = 156.4m USD
Long Term Debt = 451.8m USD (from longTermDebt, last quarter)
Short Term Debt = 2.97m USD (from shortTermDebt, last fiscal year)
Debt = 451.8m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 387.2m USD (calculated: Debt 451.8m - CCE 64.6m)
Enterprise Value = 926.7m USD (539.5m + Debt 451.8m - CCE 64.6m)
Interest Coverage Ratio = 2.50 (Ebit TTM 74.9m / Interest Expense TTM 29.9m)
EV/FCF = 5.86x (Enterprise Value 926.7m / FCF TTM 158.3m)
FCF Yield = 17.08% (FCF TTM 158.3m / Enterprise Value 926.7m)
FCF Margin = 21.85% (FCF TTM 158.3m / Revenue TTM 724.4m)
Net Margin = 3.73% (Net Income TTM 27.0m / Revenue TTM 724.4m)
Gross Margin = 82.95% ((Revenue TTM 724.4m - Cost of Revenue TTM 123.5m) / Revenue TTM)
Gross Margin QoQ = 82.39% (prev none%)
Tobins Q-Ratio = 0.88 (Enterprise Value 926.7m / Total Assets 1.05b)
Interest Expense / Debt = 6.63% (Interest Expense 29.9m / Debt 451.8m)
Taxrate = 42.89% (3.74m / 8.72m)
NOPAT = 42.8m (EBIT 74.9m * (1 - 42.89%))
Current Ratio = 1.87 (Total Current Assets 218.0m / Total Current Liabilities 116.5m)
Debt / Equity = 0.98 (Debt 451.8m / totalStockholderEquity, last quarter 460.7m)
Debt / EBITDA = 2.48 (Net Debt 387.2m / EBITDA 156.4m)
Debt / FCF = 2.45 (Net Debt 387.2m / FCF TTM 158.3m)
Total Stockholder Equity = 473.5m (last 4 quarters mean from totalStockholderEquity)
RoA = 2.53% (Net Income 27.0m / Total Assets 1.05b)
RoE = 1.92% (Net Income TTM 27.0m / Total Stockholder Equity 1.41b)
RoCE = 4.02% (EBIT 74.9m / Capital Employed (Equity 1.41b + L.T.Debt 451.8m))
RoIC = 4.89% (NOPAT 42.8m / Invested Capital 875.2m)
WACC = 7.45% (E(539.5m)/V(991.3m) * Re(10.52%) + D(451.8m)/V(991.3m) * Rd(6.63%) * (1-Tc(0.43)))
Discount Rate = 10.52% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -86.67 | Cagr: -5.90%
[DCF] Terminal Value 77.97% ; FCFF base≈146.7m ; Y1≈168.2m ; Y5≈247.5m
[DCF] Fair Price = 59.69 (EV 3.72b - Net Debt 387.2m = Equity 3.34b / Shares 55.9m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 16.53 | EPS CAGR: 6.50% | SUE: -0.25 | # QB: 0
Revenue Correlation: 88.24 | Revenue CAGR: 2.71% | SUE: 0.00 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.51 | Chg30d=+1.69% | Revisions=+43% | Analysts=5
EPS next Quarter (2026-09-30): EPS=0.57 | Chg30d=+2.37% | Revisions=+43% | Analysts=5
EPS current Year (2026-12-31): EPS=2.11 | Chg30d=-0.30% | Revisions=+14% | GrowthEPS=+23.2% | GrowthRev=+0.8%
EPS next Year (2027-12-31): EPS=2.51 | Chg30d=+9.43% | Revisions=+43% | GrowthEPS=+19.4% | GrowthRev=+2.5%
[Analyst] Revisions Ratio: +43%