(KAR) KAR Auction - Ratings and Ratios
Online Auction, Transportation, Financing, Inspection
KAR EPS (Earnings per Share)
KAR Revenue
Description: KAR KAR Auction
OPENLANE, Inc., formerly known as KAR Auction Services, Inc. (NYSE:KAR), operates a digital marketplace for buying and selling used vehicles across multiple regions, including the United States, Canada, Europe, and the UK. The companys business is divided into two main segments: Marketplace and Finance.
The Marketplace segment provides a platform for sellers and buyers to connect, along with offering ancillary services such as logistics, reconditioning, and vehicle inspection. This segment caters to a diverse customer base, including commercial fleet operators, financial institutions, and vehicle dealers. The companys digital marketplace, OPENLANE, is accessible via a mobile app, enabling dealers to manage their inventory efficiently.
From a performance perspective, key metrics to watch include revenue growth, gross merchandise volume (GMV), and the number of transactions processed through the platform. Additionally, the companys ability to expand its ancillary services and enhance its digital marketplace will be crucial in driving profitability. The Finance segments performance can be evaluated by monitoring the portfolio quality, default rates, and the overall demand for floorplan financing among independent vehicle dealers.
Some key performance indicators (KPIs) that can be used to assess KARs performance include: the take rate (revenue as a percentage of GMV), customer acquisition costs, and the average revenue per user (ARPU). Furthermore, metrics such as the number of listed vehicles, buyer and seller counts, and the overall liquidity on the platform can provide insights into the companys market position and growth prospects.
To gauge the companys financial health, investors can monitor metrics such as debt-to-equity ratio, interest coverage ratio, and cash flow generation. The return on equity (RoE) of 8.58% indicates that the company is generating returns for its shareholders, although this is relatively modest. The forward P/E ratio of 25.32 suggests that the market expects earnings growth in the future.
KAR Stock Overview
| Market Cap in USD | 3,048m |
| Sub-Industry | Diversified Support Services |
| IPO / Inception | 2009-12-11 |
KAR Stock Ratings
| Growth Rating | 82.1% |
| Fundamental | 69.3% |
| Dividend Rating | 14.1% |
| Return 12m vs S&P 500 | 44.5% |
| Analyst Rating | 3.86 of 5 |
KAR Dividends
Currently no dividends paidKAR Growth Ratios
| Growth Correlation 3m | 84.4% |
| Growth Correlation 12m | 85.3% |
| Growth Correlation 5y | 32.9% |
| CAGR 5y | 30.68% |
| CAGR/Max DD 3y | 1.45 |
| CAGR/Mean DD 3y | 5.07 |
| Sharpe Ratio 12m | 0.54 |
| Alpha | 0.15 |
| Beta | 0.395 |
| Volatility | 29.95% |
| Current Volume | 564.9k |
| Average Volume 20d | 705.3k |
| Stop Loss | 27.6 (-3.3%) |
| Signal | -0.48 |
Piotroski VR‑10 (Strict, 0-10) 5.0
| Net Income (151.0m TTM) > 0 and > 6% of Revenue (6% = 112.9m TTM) |
| FCFTA 0.06 (>2.0%) and ΔFCFTA 2.59pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 21.01% (prev 11.96%; Δ 9.05pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.08 (>3.0%) and CFO 348.0m > Net Income 151.0m (YES >=105%, WARN >=100%) |
| Net Debt (-62.3m) to EBITDA (259.2m) ratio: -0.24 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.16 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (107.2m) change vs 12m ago -1.31% (target <= -2.0% for YES) |
| Gross Margin 39.28% (prev 43.89%; Δ -4.61pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 40.67% (prev 35.85%; Δ 4.81pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio -3.46 (EBITDA TTM 259.2m / Interest Expense TTM -48.2m) >= 6 (WARN >= 3) |
Altman Z'' 1.55
| (A) 0.09 = (Total Current Assets 2.90b - Total Current Liabilities 2.51b) / Total Assets 4.64b |
| (B) 0.16 = Retained Earnings (Balance) 737.9m / Total Assets 4.64b |
| (C) 0.04 = EBIT TTM 166.7m / Avg Total Assets 4.63b |
| (D) 0.22 = Book Value of Equity 701.9m / Total Liabilities 3.22b |
| Total Rating: 1.55 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 69.31
| 1. Piotroski 5.0pt = 0.0 |
| 2. FCF Yield 4.85% = 2.43 |
| 3. FCF Margin 15.85% = 3.96 |
| 4. Debt/Equity 2.28 = 0.35 |
| 5. Debt/Ebitda 12.43 = -2.50 |
| 6. ROIC - WACC (= 3.85)% = 4.81 |
| 7. RoE 11.07% = 0.92 |
| 8. Rev. Trend 86.47% = 6.49 |
| 9. EPS Trend 57.05% = 2.85 |
What is the price of KAR shares?
Over the past week, the price has changed by -2.66%, over one month by +0.71%, over three months by +27.94% and over the past year by +71.25%.
Is KAR Auction a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of KAR is around 32.16 USD . This means that KAR is currently undervalued and has a potential upside of +12.72% (Margin of Safety).
Is KAR a buy, sell or hold?
- Strong Buy: 2
- Buy: 2
- Hold: 3
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the KAR price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 30.5 | 6.9% |
| Analysts Target Price | 30.5 | 6.9% |
| ValueRay Target Price | 34.3 | 20.2% |
Last update: 2025-09-04 04:41
KAR Fundamental Data Overview
CCE Cash And Equivalents = 119.1m USD (Cash And Short Term Investments, last quarter)
P/E Trailing = 39.274
P/E Forward = 25.974
P/S = 1.6416
P/B = 2.1657
P/EG = 1.34
Beta = 1.399
Revenue TTM = 1.88b USD
EBIT TTM = 166.7m USD
EBITDA TTM = 259.2m USD
Long Term Debt = 713.3m USD (from nonCurrentLiabilitiesTotal, last quarter)
Short Term Debt = 2.51b USD (from totalCurrentLiabilities, last quarter)
Debt = 3.22b USD (Calculated: Short Term 2.51b + Long Term 713.3m)
Net Debt = -62.3m USD (from netDebt column, last quarter)
Enterprise Value = 6.15b USD (3.05b + Debt 3.22b - CCE 119.1m)
Interest Coverage Ratio = -3.46 (Ebit TTM 166.7m / Interest Expense TTM -48.2m)
FCF Yield = 4.85% (FCF TTM 298.4m / Enterprise Value 6.15b)
FCF Margin = 15.85% (FCF TTM 298.4m / Revenue TTM 1.88b)
Net Margin = 8.02% (Net Income TTM 151.0m / Revenue TTM 1.88b)
Gross Margin = 39.28% ((Revenue TTM 1.88b - Cost of Revenue TTM 1.14b) / Revenue TTM)
Tobins Q-Ratio = 8.76 (Enterprise Value 6.15b / Book Value Of Equity 701.9m)
Interest Expense / Debt = 0.10% (Interest Expense 3.10m / Debt 3.22b)
Taxrate = 30.40% (48.0m / 157.9m)
NOPAT = 116.0m (EBIT 166.7m * (1 - 30.40%))
Current Ratio = 1.16 (Total Current Assets 2.90b / Total Current Liabilities 2.51b)
Debt / Equity = 2.28 (Debt 3.22b / last Quarter total Stockholder Equity 1.42b)
Debt / EBITDA = 12.43 (Net Debt -62.3m / EBITDA 259.2m)
Debt / FCF = 10.80 (Debt 3.22b / FCF TTM 298.4m)
Total Stockholder Equity = 1.36b (last 4 quarters mean)
RoA = 3.26% (Net Income 151.0m, Total Assets 4.64b )
RoE = 11.07% (Net Income TTM 151.0m / Total Stockholder Equity 1.36b)
RoCE = 8.02% (Ebit 166.7m / (Equity 1.36b + L.T.Debt 713.3m))
RoIC = 7.52% (NOPAT 116.0m / Invested Capital 1.54b)
WACC = 3.67% (E(3.05b)/V(6.27b) * Re(7.47%)) + (D(3.22b)/V(6.27b) * Rd(0.10%) * (1-Tc(0.30)))
Shares Correlation 3-Years: -80.01 | Cagr: -0.61%
Discount Rate = 7.47% (= CAPM, Blume Beta Adj.) -> floored to rf + ERP 8.05%
[DCF Debug] Terminal Value 70.46% ; FCFE base≈250.0m ; Y1≈164.1m ; Y5≈75.0m
Fair Price DCF = 13.88 (DCF Value 1.48b / Shares Outstanding 106.3m; 5y FCF grow -40.0% → 3.0% )
EPS Correlation: 57.05 | EPS CAGR: 60.39% | SUE: 2.10 | # QB: 2
Revenue Correlation: 86.47 | Revenue CAGR: 7.68% | SUE: 1.37 | # QB: 1
Additional Sources for KAR Stock
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