Cars.com (CARS)
Market Price (7/24/2026): $11.415 | Market Cap: $672.7 MilSector: Communication Services | Industry: Interactive Media & Services
Cars.com (CARS)
Market Price (7/24/2026): $11.415Market Cap: $672.7 MilSector: Communication ServicesIndustry: Interactive Media & Services
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 22%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 19% Attractive yieldFCF Yield is 20% Low stock price volatilityVol 12M is 47% Megatrend and thematic driversMegatrends include E-commerce & Digital Retail, and Digital Advertising. Themes include Online Marketplaces, and Ad-Tech Platforms. | Meaningful short interestShort Interest % of Basic SharesShort Interest % of Basic Shares = (Short Interest Quantity) / (Basic Shares Outstanding). A high fraction of short interest can indicate potential risk of a short squeeze. is 11% | Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 58% Key risksCARS key risks include [1] intense marketplace competition and [2] a heavy reliance on auto dealer revenue, Show more. |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 22%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 19% |
| Attractive yieldFCF Yield is 20% |
| Low stock price volatilityVol 12M is 47% |
| Megatrend and thematic driversMegatrends include E-commerce & Digital Retail, and Digital Advertising. Themes include Online Marketplaces, and Ad-Tech Platforms. |
| Meaningful short interestShort Interest % of Basic SharesShort Interest % of Basic Shares = (Short Interest Quantity) / (Basic Shares Outstanding). A high fraction of short interest can indicate potential risk of a short squeeze. is 11% |
| Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 58% |
| Key risksCARS key risks include [1] intense marketplace competition and [2] a heavy reliance on auto dealer revenue, Show more. |
Qualitative Assessment
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Cars.com (CARS) stock has gained about 40% since 3/31/2026 because of the following key factors:
1. Enhanced Shareholder Returns Through Increased Share Repurchase Program.
Cars.com significantly increased its commitment to returning capital to shareholders by raising its fiscal year 2026 share repurchase target. On April 9, 2026, the company announced a 50% increase, elevating the target from over $60 million to $90 million. By April 30, 2026, Cars.com had already repurchased 3.8 million shares for $32.9 million, with $20.2 million of repurchases occurring in fiscal Q1 2026 (the quarter ended March 31, 2026). This aggressive share buyback strategy likely boosted investor confidence.
2. Stronger-than-Expected Adjusted EBITDA Margin Driven by Cost Efficiency.
Cars.com reported robust profitability for fiscal Q1 2026 (ended March 31, 2026), with an Adjusted EBITDA margin of 28.3%. This figure notably surpassed the company's own guidance of 26% to 27%. This outperformance was attributed to disciplined cost management and early benefits from a cost reduction program initiated in April 2026. The stock surged 11.17% following this earnings announcement on May 7, 2026.
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Cars.com (CARS) stock has gained about 40% since 3/31/2026 because of the following key factors:
1. Enhanced Shareholder Returns Through Increased Share Repurchase Program.
Cars.com significantly increased its commitment to returning capital to shareholders by raising its fiscal year 2026 share repurchase target. On April 9, 2026, the company announced a 50% increase, elevating the target from over $60 million to $90 million. By April 30, 2026, Cars.com had already repurchased 3.8 million shares for $32.9 million, with $20.2 million of repurchases occurring in fiscal Q1 2026 (the quarter ended March 31, 2026). This aggressive share buyback strategy likely boosted investor confidence.
2. Stronger-than-Expected Adjusted EBITDA Margin Driven by Cost Efficiency.
Cars.com reported robust profitability for fiscal Q1 2026 (ended March 31, 2026), with an Adjusted EBITDA margin of 28.3%. This figure notably surpassed the company's own guidance of 26% to 27%. This outperformance was attributed to disciplined cost management and early benefits from a cost reduction program initiated in April 2026. The stock surged 11.17% following this earnings announcement on May 7, 2026.
3. Strategic Cost Reduction Program and Operational Streamlining.
The company proactively implemented a cost reduction program in April 2026, which included an approximately 11% reduction in full-time roles and other operational optimizations. These initiatives are projected to generate $25-30 million in recurring annualized operating cost savings in fiscal year 2027. This focus on streamlining processes, flattening the organizational structure, and improving efficiency aimed to accelerate product development and support future profitability targets, positively impacting investor sentiment.
4. Resilient Dealer Revenue Growth in a Evolving Automotive Market.
Despite a competitive automotive market where new vehicle prices reached record highs of over $52,000 in fiscal Q2 2026, Cars.com demonstrated resilience in its core business. The company achieved a 1% year-over-year total revenue growth to $180.2 million in fiscal Q1 2026, aligning with its guidance. More specifically, dealer revenue, which constitutes the majority, increased by 2% year-over-year to $163 million, driven by improved marketplace value delivery and expansion in dealer count. This growth in a challenging environment where consumers are increasingly prioritizing affordability and fuel efficiency highlighted the strength of Cars.com's platform.
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Stock Movement Drivers
Fundamental Drivers
The 40.6% change in CARS stock from 3/31/2026 to 7/23/2026 was primarily driven by a 34.6% change in the company's Net Income Margin (%).| (LTM values as of) | 3312026 | 7232026 | Change |
|---|---|---|---|
| Stock Price ($) | 8.12 | 11.42 | 40.6% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 723 | 724 | 0.2% |
| Net Income Margin (%) | 2.8% | 3.7% | 34.6% |
| P/E Multiple | 24.4 | 24.9 | 2.2% |
| Shares Outstanding (Mil) | 60 | 59 | 2.1% |
| Cumulative Contribution | 40.6% |
Market Drivers
3/31/2026 to 7/23/2026| Return | Correlation | |
|---|---|---|
| CARS | 40.6% | |
| Market (SPY) | 13.5% | 15.3% |
| Sector (XLC) | -4.9% | 37.4% |
Fundamental Drivers
The -6.4% change in CARS stock from 12/31/2025 to 7/23/2026 was primarily driven by a -10.3% change in the company's Net Income Margin (%).| (LTM values as of) | 12312025 | 7232026 | Change |
|---|---|---|---|
| Stock Price ($) | 12.20 | 11.42 | -6.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 720 | 724 | 0.6% |
| Net Income Margin (%) | 4.2% | 3.7% | -10.3% |
| P/E Multiple | 25.1 | 24.9 | -1.0% |
| Shares Outstanding (Mil) | 62 | 59 | 4.7% |
| Cumulative Contribution | -6.4% |
Market Drivers
12/31/2025 to 7/23/2026| Return | Correlation | |
|---|---|---|
| CARS | -6.4% | |
| Market (SPY) | 8.5% | 26.4% |
| Sector (XLC) | -10.2% | 30.0% |
Fundamental Drivers
The -3.6% change in CARS stock from 6/30/2025 to 7/23/2026 was primarily driven by a -41.0% change in the company's Net Income Margin (%).| (LTM values as of) | 6302025 | 7232026 | Change |
|---|---|---|---|
| Stock Price ($) | 11.85 | 11.42 | -3.6% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 718 | 724 | 0.9% |
| Net Income Margin (%) | 6.3% | 3.7% | -41.0% |
| P/E Multiple | 16.8 | 24.9 | 47.9% |
| Shares Outstanding (Mil) | 64 | 59 | 9.4% |
| Cumulative Contribution | -3.6% |
Market Drivers
6/30/2025 to 7/23/2026| Return | Correlation | |
|---|---|---|
| CARS | -3.6% | |
| Market (SPY) | 20.5% | 29.9% |
| Sector (XLC) | -1.9% | 31.2% |
Fundamental Drivers
The -42.4% change in CARS stock from 6/30/2023 to 7/23/2026 was primarily driven by a -54.1% change in the company's P/E Multiple.| (LTM values as of) | 6302023 | 7232026 | Change |
|---|---|---|---|
| Stock Price ($) | 19.82 | 11.42 | -42.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 663 | 724 | 9.3% |
| Net Income Margin (%) | 3.7% | 3.7% | 1.6% |
| P/E Multiple | 54.2 | 24.9 | -54.1% |
| Shares Outstanding (Mil) | 67 | 59 | 12.9% |
| Cumulative Contribution | -42.4% |
Market Drivers
6/30/2023 to 7/23/2026| Return | Correlation | |
|---|---|---|
| CARS | -42.4% | |
| Market (SPY) | 72.4% | 40.5% |
| Sector (XLC) | 67.1% | 37.7% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| CARS Return | 42% | -14% | 38% | -9% | -30% | -4% | 3% |
| Peers Return | -1% | -48% | 251% | 80% | 9% | 5% | 269% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 10% | 100% |
Monthly Win Rates [3] | |||||||
| CARS Win Rate | 67% | 42% | 67% | 33% | 58% | 43% | |
| Peers Win Rate | 48% | 37% | 62% | 60% | 48% | 49% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 43% | |
Max Drawdowns [4] | |||||||
| CARS Max Drawdown | -23% | -48% | -34% | -27% | -47% | -40% | |
| Peers Max Drawdown | -34% | -65% | -35% | -22% | -44% | -33% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: CARG, CVNA, ACVA, LAD, SAH. See CARS Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 7/23/2026 (YTD)
How Low Can It Go
| Event | CARS | S&P 500 |
|---|---|---|
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -46.4% | -24.5% |
| % Gain to Breakeven | 86.5% | 32.4% |
| Time to Breakeven | 264 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -68.3% | -33.7% |
| % Gain to Breakeven | 215.2% | 50.9% |
| Time to Breakeven | 237 days | 140 days |
In The Past
Cars.com's stock fell -8.1% during the 2024 Yen Carry Trade Unwind. Such a loss loss requires a 8.8% gain to breakeven.
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Asset Allocation
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| Event | CARS | S&P 500 |
|---|---|---|
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -46.4% | -24.5% |
| % Gain to Breakeven | 86.5% | 32.4% |
| Time to Breakeven | 264 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -68.3% | -33.7% |
| % Gain to Breakeven | 215.2% | 50.9% |
| Time to Breakeven | 237 days | 140 days |
In The Past
Cars.com's stock fell -8.1% during the 2024 Yen Carry Trade Unwind. Such a loss loss requires a 8.8% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Cars.com (CARS)
Cars.com Inc. operates as a digital marketplace, serving as a vital connection point between car shoppers and sellers within the automotive industry. The company's platform enables car dealers and automotive manufacturers (OEMs) to effectively showcase their inventory and amplify their brands, reaching a targeted audience ready to purchase vehicles. Simultaneously, it equips car buyers with comprehensive resources and information, streamlining their decision-making process for car acquisition.
The company offers a diverse suite of products and services. Its core marketplace offerings include subscription advertising and social selling services designed to boost vehicle visibility. Beyond this, Cars.com provides robust digital solutions such as website platform hosting, AI-powered chat tools, digital retailing functionalities, and reputation management services to enhance dealer operations. Additionally, it sells various advertising services, including display advertising, instant loan screening capabilities, and in-market audio advertising.
Cars.com primarily serves a broad customer base across the United States. Its key clients are local car dealers, encompassing both franchise and independent dealerships operating digital and brick-and-mortar stores in all 50 states. The company also partners with primary automotive manufacturers (OEMs) selling vehicles in the U.S., as well as other national advertisers seeking to reach car-buying consumers.
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Here are a few analogies for Cars.com:
- Zillow for cars.
- Expedia for car dealerships.
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- Digital Automotive Marketplace: A platform connecting car shoppers with sellers, showcasing dealer inventory, and providing resources for car buying decisions.
- Marketplace Subscription Advertising: Services enabling dealers and automotive manufacturers to promote their inventory and brands on the Cars.com platform.
- Dealer Website Platform Hosting: Provides website infrastructure and hosting solutions specifically for automotive dealer customers.
- Digital Retailing Solutions: Tools and services, including AI chat and online transaction facilitation, to support dealers' digital sales processes.
- Review and Reputation Management: Services designed to help dealers manage customer reviews and maintain their online reputation.
- Digital Advertising Services: Offers various advertising solutions, such as display advertising, social selling, and in-market audio services, for automotive clients.
- Instant Loan Screening and Approvals: Services integrated into the platform to facilitate pre-qualification and approval for car loans for shoppers.
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- Local car dealers: This includes both franchise and independent dealers, operating with digital and/or brick-and-mortar stores.
- Automotive manufacturers (OEMs): Primary automakers selling vehicles in the United States.
- Other national advertisers: Companies beyond dealers and OEMs that seek to advertise on Cars.com's platform.
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Tobias Hartmann, Chief Executive Officer
Tobias "Tobi" Hartmann became the Chief Executive Officer of Cars.com Inc. on January 15, 2026. He brings over 25 years of experience in B2C and B2B technology, e-commerce, and marketplace companies. Prior to joining Cars.com, Hartmann served as CEO and Chairman of the Management Board for Scout24 SE Group, the parent company for ImmoScout24, a prominent European digital real estate marketplace, where he successfully transformed the company's strategy and achieved record revenue and margin growth. He also held the position of President U.S. and was a member of the Executive Management Board of HelloFresh SE, where he played a crucial role in making it the U.S. market leader. Earlier in his career, he led the carve-out of eBay Enterprise from eBay Inc., forming a new service provider for omnichannel and commerce technology solutions.
Sonia Jain, Chief Financial Officer
Sonia Jain was reappointed as Chief Financial Officer of Cars.com Inc. in October 2022, a role she previously held from July 2020 to April 2022. In her capacity, she is responsible for the company's financial health, overseeing accounting, finance and analytics, treasury, investor relations, and strategic planning. Before her tenure at Cars.com, Jain served as Chief Financial Officer of Redbox Automated Retail from September 2016 to July 2020, during which Redbox was acquired by Apollo Global Management. She also served as Chief Financial Officer of Convoy Inc. from April to September 2022. Her extensive background includes serving as Vice President, Finance and Treasurer with Outerwall, and prior experience as an investment banker at Morgan Stanley and a consultant at McKinsey & Co.
Doug Miller, Chief Revenue Officer
Doug Miller joined Cars.com as Chief Revenue Officer in August 2018. He brings over 20 years of experience in building digital businesses within technology, media, and marketplace sectors. Prior to Cars.com, Miller was the Chief Executive Officer of Chatbox, an early-stage technology company focused on messaging platforms for sales and service teams. He also served as Chief Revenue Officer at LivingSocial, an online consumer marketplace, where he was instrumental in its growth from a startup to a global enterprise with nearly $2 billion in sales. His previous executive roles include positions at Expedia, Ticketmaster, and Citysearch.
Lisa Gosselin, Chief Commercial Officer
Lisa Gosselin serves as the Chief Commercial Officer for Cars.com Inc. In this role, she is responsible for the company's go-to-market strategy, driving revenue growth, strengthening strategic partnerships, and delivering long-term value for both dealer and OEM clients.
Angelique Strong Marks, Chief Legal Officer
Angelique Strong Marks serves as the Chief Legal Officer and Corporate Secretary for Cars.com Inc., a role she assumed in April 2022. She oversees legal corporate governance, compliance, information security, and data privacy matters for the company. Before joining Cars.com, Marks was General Counsel and Corporate Secretary at REE Automotive, where she was a key member of the team that successfully established REE as a publicly traded company. Her prior experience also includes serving as General Counsel, Corporate Secretary, and Compliance Officer at Mahle Industries and Behr America, both global suppliers to the automotive industry.
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The key risks to Cars.com's business include intense competition and declining consumer engagement, macroeconomic factors impacting the automotive industry, and challenges related to slow growth and financial performance.
- Intense Competition and Declining Consumer Engagement: Cars.com operates in a highly competitive digital marketplace, facing pressure from existing and new competitors such as CarGurus, AutoTrader, and TrueCar, as well as other automotive websites and software providers. The company's ability to attract consumers and customers is crucial, and a competitive landscape can materially and adversely affect its business. Recent reports indicate that Cars.com is experiencing declining consumer traffic and monthly active users, which poses a significant challenge to its marketplace model that relies on engagement to generate leads for dealer customers. Furthermore, it is relatively expensive for Cars.com to acquire new users, highlighting the competitive nature of the market.
- Macroeconomic Factors and Automotive Industry Dynamics: A substantial portion of Cars.com's revenue is derived from subscription products offered to automotive dealers and customers within or adjacent to the automotive industry. This makes the company's performance susceptible to the broader automotive ecosystem, including fluctuations in consumer demand, low automobile sales, and dealer inventory shortages due to production delays. Macroeconomic issues such as high average new car prices, consumers struggling financially, high loan delinquencies, and falling used vehicle values further complicate the market. Changes in marketing budgets from automotive manufacturers (OEMs) can also negatively impact Cars.com's revenue.
- Slow Growth and Financial Performance Concerns: Cars.com has experienced sluggish revenue growth, with low single-digit increases over the past few years and similar modest projections for the upcoming year. This slow growth is accompanied by pressure on operating and adjusted EBITDA margins, as costs have been rising faster than revenue. The company has also reported a sharp decline in net income. Additionally, Cars.com carries a significant net debt load, which, combined with thin cash resources, can constrain its financial flexibility and increase its exposure to interest expenses.
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The increasing market share gained by integrated online car retail platforms that handle end-to-end transactions (e.g., Carvana, Vroom) and the growing trend of direct-to-consumer sales by automotive manufacturers (e.g., Tesla) represent a clear emerging threat. These models bypass or significantly reduce the traditional dealership network, which constitutes the primary customer base for Cars.com's digital marketplace and advertising solutions. This shift could erode Cars.com's addressable market and diminish the value proposition of its services for traditional dealers.
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Cars.com (symbol: CARS) operates within a multi-billion dollar addressable market, primarily focused on the U.S. automotive ecosystem. The company itself states it operates in a $50 billion Total Addressable Market (TAM) that spans various growth markets within the automotive industry.
Market Sizes for Main Products and Services:
- Automotive Advertising (U.S.): The U.S. automotive advertising market is approximately $12 billion. More specifically, the North American automotive online advertising market was estimated at $2,592.66 million in 2019 and is projected to reach $5,649.40 million by 2025. The broader U.S. online advertising market generated $94,091.3 million in revenue in 2024 and is expected to reach $201,924.8 million by 2030.
- Automotive Dealer Software and Solutions (U.S./North America): This market encompasses various digital solutions for dealerships, including website hosting, AI tools, digital retailing, and reputation management, which align with Cars.com's offerings.
- The U.S. auto dealer software market was valued at $5,444.48 million in 2024.
- The North America automotive dealership software market was valued at $5,453.61 million in 2023 and is estimated to reach $12,953.15 million by 2033.
- The U.S. automotive software market (a broader category that includes dealer solutions) generated $7,843.7 million in 2024 and is expected to reach $15,918.8 million by 2030. Another estimate for the United States automotive software market size was $5.78 billion in 2024, projected to reach $9.45 billion by 2033.
- Automotive E-Commerce and Online Vehicle Retail (U.S./North America): Cars.com's digital marketplace and digital retailing solutions contribute to this market.
- The U.S. automotive e-commerce market is projected to reach $36.68 billion by 2026.
- In 2025, North America led the global automotive e-commerce market with approximately a 32.79% share, with the global market valued at $116.24 billion.
- The global online vehicle retail market was valued at $320.4 billion in 2023 and is estimated to reach $684.2 billion by the end of 2034, with North America accounting for a significant share.
- The U.S. e-commerce automotive aftermarket was valued at $27,517.44 million in 2025.
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Cars.com (CARS) is expected to drive future revenue growth over the next 2-3 years through several key initiatives:
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Increased Dealer Customer Count and Enhanced Monetization of Existing Marketplace Offerings: Cars.com anticipates growth by expanding its base of dealer customers and increasing the Average Revenue Per Dealer (ARPD). This will be achieved through strategic marketplace and website repackaging initiatives, as well as the successful cross-selling and upgrades of existing products to premium tiers.
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Expansion and Adoption of Advanced Digital Solutions and New Products: The company is focused on the continued growth and adoption of innovative digital tools. Key drivers include its AI-powered search assistant, Carson, which has shown to improve consumer engagement, and the recently launched AccuTrade IMS, a full lifecycle inventory management system. Additionally, other digital retailing and appraisal products are expected to enhance user experience and dealer efficiency.
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Growth in OEM and National Advertising Investments: As new vehicle inventory levels rise and new models are introduced, Cars.com expects renewed interest and increased spending from automotive manufacturers (OEMs) and national advertisers. These entities are leveraging Cars.com's market-leading solutions to effectively reach high-intent buyers.
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Strategic Acquisitions: Future opportunistic acquisitions, similar to the D2C Media acquisition, are a potential driver of incremental revenue. Such acquisitions could expand the company's offerings and further grow its customer base within the automotive industry.
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Share Repurchases
- Cars.com repurchased 7.1 million shares for $86.0 million in 2025, with $173.8 million remaining under an authorized $250.0 million share repurchase program as of December 31, 2025.
- The company repurchased 2.8 million shares for $49.2 million in 2024.
- In 2023, Cars.com repurchased 1.7 million shares for $31.3 million.
Share Issuance
- Share dilution effects in 2025 were stable, with share repurchases aimed at offsetting expected dilution from stock-based compensation.
Outbound Investments
- In January 2025, Cars.com acquired DealerClub Inc., a dealer-to-dealer digital wholesale auction platform, for approximately $25 million in cash at closing, with a potential for up to an additional $88 million in performance-based consideration.
- The company completed the acquisition of D2C Media Inc. in November 2023, a Canadian provider of website and digital advertising solutions, funded by cash on hand and borrowings from its revolving credit facility.
- In November 2021, Cars.com acquired CreditIQ for an undisclosed amount.
Capital Expenditures
- Capital expenditures, including purchases of property and equipment and capitalization of internally developed technology, were approximately $4 million in 2025.
- Capital expenditures were approximately $3 million in 2024 and $1 million in 2023.
- The primary focus of capital expenditures includes the capitalization of internally developed technology and the purchase of property and equipment.
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| Cars.com Earnings Notes | 12/16/2025 | |
| Cars.com Stock Jump Looks Great, But How Secure Is That Gain? | 10/17/2025 | |
| Cars.com (CARS) Revenue Comparison | 08/08/2025 | |
| Cars.com (CARS) Net Income Comparison | 08/08/2025 | |
| Cars.com (CARS) Operating Cash Flow Comparison | 08/08/2025 | |
| Cars.com (CARS) Debt Comparison | 08/08/2025 | |
| Cars.com (CARS) EBITDA Comparison | 08/08/2025 | |
| Cars.com (CARS) Operating Income Comparison | 08/08/2025 | |
| Cars.com (CARS) Tax Expense Comparison | 08/08/2025 | |
| CARS Dip Buy Analysis | 07/10/2025 |
| Title | |
|---|---|
| ARTICLES |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 46.58 |
| Mkt Cap | 3.2 |
| Rev LTM | 8,039 |
| Op Inc LTM | 400 |
| FCF LTM | 202 |
| FCF 3Y Avg | 83 |
| CFO LTM | 230 |
| CFO 3Y Avg | 186 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 11.2% |
| Rev Chg 3Y Avg | 6.5% |
| Rev Chg Q | 6.4% |
| QoQ Delta Rev Chg LTM | 1.5% |
| Op Inc Chg LTM | 28.7% |
| Op Inc Chg 3Y Avg | 10.6% |
| Op Mgn LTM | 6.4% |
| Op Mgn 3Y Avg | 5.4% |
| QoQ Delta Op Mgn LTM | -0.0% |
| CFO/Rev LTM | 7.7% |
| CFO/Rev 3Y Avg | 6.8% |
| FCF/Rev LTM | 4.3% |
| FCF/Rev 3Y Avg | 3.5% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 3.2 |
| P/S | 1.3 |
| P/Op Inc | 7.9 |
| P/EBIT | 6.9 |
| P/E | 22.8 |
| P/CFO | 8.2 |
| Total Yield | 4.4% |
| Dividend Yield | 0.0% |
| FCF Yield 3Y Avg | 2.2% |
| D/E | 0.4 |
| Net D/E | 0.3 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 14.2% |
| 3M Rtn | 13.5% |
| 6M Rtn | -5.3% |
| 12M Rtn | -7.7% |
| 3Y Rtn | 30.4% |
| 1M Excs Rtn | - |
| 3M Excs Rtn | - |
| 6M Excs Rtn | - |
| 12M Excs Rtn | - |
| 3Y Excs Rtn | - |
Comparison Analyses
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Single segment | 723 | 719 | 689 | ||
| Dealer | 579 | ||||
| OEM and National | 59 | ||||
| Other | 16 | 8 | |||
| Display advertising | 85 | ||||
| Pay per lead | 12 | ||||
| Subscription advertising and digital solutions | 518 | ||||
| Total | 723 | 719 | 689 | 654 | 624 |
| $ Mil | 2024 | 2023 |
|---|---|---|
| Single segment | 53 | 54 |
| Total | 53 | 54 |
| $ Mil | 2024 | 2023 |
|---|---|---|
| Single segment | 48 | 118 |
| Total | 48 | 118 |
Price Behavior
| Market Price | $11.42 | |
| Market Cap ($ Bil) | 0.7 | |
| First Trading Date | 05/18/2017 | |
| Distance from 52W High | -17.2% | |
| 50 Days | 200 Days | |
| DMA Price | $10.42 | $10.74 |
| DMA Trend | down | up |
| Distance from DMA | 9.6% | 6.4% |
| 3M | 1YR | |
| Volatility | 46.4% | 46.7% |
| Downside Capture | -29.90 | 112.12 |
| Upside Capture | 2.15 | 71.05 |
| Correlation (SPY) | 15.6% | 28.8% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 0.53 | 0.41 | 0.40 | 0.91 | 1.10 | 1.14 |
| Up Beta | 2.27 | 1.99 | 0.66 | 0.92 | 1.44 | 1.08 |
| Down Beta | 2.25 | 2.31 | 2.37 | 1.41 | 1.16 | 1.13 |
| Up Capture | -15% | -59% | 39% | 46% | 71% | 81% |
| Bmk +ve Days | 11 | 24 | 40 | 67 | 140 | 429 |
| Stock +ve Days | 9 | 19 | 35 | 65 | 126 | 354 |
| Down Capture | -85% | -95% | -149% | 100% | 110% | 108% |
| Bmk -ve Days | 10 | 17 | 23 | 58 | 112 | 321 |
| Stock -ve Days | 12 | 22 | 28 | 58 | 121 | 379 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with CARS | |
|---|---|---|---|---|
| CARS | -13.0% | 46.7% | -0.15 | - |
| Sector ETF (XLC) | -1.3% | 14.4% | -0.31 | 31.3% |
| Equity (SPY) | 18.5% | 12.7% | 1.06 | 29.1% |
| Gold (GLD) | 17.6% | 28.1% | 0.57 | -1.4% |
| Commodities (DBC) | 35.2% | 19.1% | 1.45 | -18.4% |
| Real Estate (VNQ) | 11.6% | 13.9% | 0.55 | 22.4% |
| Bitcoin (BTCUSD) | -45.1% | 42.9% | -1.28 | 19.8% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with CARS | |
|---|---|---|---|---|
| CARS | -2.0% | 44.6% | 0.10 | - |
| Sector ETF (XLC) | 6.3% | 20.8% | 0.22 | 43.1% |
| Equity (SPY) | 12.6% | 17.1% | 0.57 | 46.9% |
| Gold (GLD) | 16.8% | 18.4% | 0.74 | 1.6% |
| Commodities (DBC) | 9.8% | 19.5% | 0.39 | 3.0% |
| Real Estate (VNQ) | 2.6% | 18.9% | 0.03 | 37.4% |
| Bitcoin (BTCUSD) | 15.8% | 53.4% | 0.47 | 25.0% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with CARS | |
|---|---|---|---|---|
| CARS | -7.2% | 56.7% | 0.08 | - |
| Sector ETF (XLC) | 8.6% | 22.2% | 0.44 | 41.2% |
| Equity (SPY) | 14.9% | 17.9% | 0.71 | 43.9% |
| Gold (GLD) | 11.2% | 16.1% | 0.57 | -1.3% |
| Commodities (DBC) | 7.4% | 17.9% | 0.33 | 8.8% |
| Real Estate (VNQ) | 4.9% | 20.7% | 0.20 | 36.3% |
| Bitcoin (BTCUSD) | 58.7% | 66.2% | 0.99 | 12.8% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Earnings Returns History
Updated 6/10/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 5/7/2026 | 10.2% | -7.1% | -17.7% |
| 2/26/2026 | -15.5% | -22.3% | -23.9% |
| 11/6/2025 | 6.5% | 11.6% | 14.5% |
| 8/7/2025 | -10.4% | -0.8% | 3.5% |
| 5/8/2025 | -11.2% | -1.3% | -8.3% |
| 2/27/2025 | -21.4% | -21.9% | -23.1% |
| 11/7/2024 | 6.2% | 12.3% | 11.7% |
| 8/8/2024 | -6.0% | -1.8% | -2.9% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 11 | 11 | 13 |
| # Negative | 12 | 12 | 10 |
| Median Positive | 9.2% | 11.6% | 11.7% |
| Median Negative | -8.8% | -6.3% | -10.8% |
| Max Positive | 20.8% | 26.1% | 31.3% |
| Max Negative | -21.4% | -24.1% | -23.9% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 5/7/2026 | 10.2% | -7.1% | -17.7% |
| 2/26/2026 | -15.5% | -22.3% | -23.9% |
| 11/6/2025 | 6.5% | 11.6% | 14.5% |
| 8/7/2025 | -10.4% | -0.8% | 3.5% |
| 5/8/2025 | -11.2% | -1.3% | -8.3% |
| 2/27/2025 | -21.4% | -21.9% | -23.1% |
| 11/7/2024 | 6.2% | 12.3% | 11.7% |
| 8/8/2024 | -6.0% | -1.8% | -2.9% |
| 5/9/2024 | 9.2% | 9.2% | 19.3% |
| 2/22/2024 | -0.3% | 0.6% | -4.8% |
| 11/2/2023 | 11.7% | 23.7% | 22.7% |
| 8/3/2023 | -5.4% | -8.0% | -16.7% |
| 5/4/2023 | -11.7% | -3.4% | -3.5% |
| 2/23/2023 | 12.5% | 8.5% | 3.0% |
| 11/3/2022 | 9.0% | 9.9% | 15.0% |
| 8/3/2022 | 4.1% | 6.5% | 8.0% |
| 5/5/2022 | -7.3% | -24.1% | -11.5% |
| 2/24/2022 | 5.6% | 13.5% | 6.1% |
| 8/5/2021 | 10.0% | 16.4% | 7.1% |
| 5/6/2021 | -0.9% | -0.9% | 10.7% |
| 2/25/2021 | -12.8% | -8.2% | -10.0% |
| 11/9/2020 | -5.0% | -5.5% | 23.2% |
| 7/30/2020 | 20.8% | 26.1% | 31.3% |
| SUMMARY STATS | |||
| # Positive | 11 | 11 | 13 |
| # Negative | 12 | 12 | 10 |
| Median Positive | 9.2% | 11.6% | 11.7% |
| Median Negative | -8.8% | -6.3% | -10.8% |
| Max Positive | 20.8% | 26.1% | 31.3% |
| Max Negative | -21.4% | -24.1% | -23.9% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/07/2026 | 10-Q |
| 12/31/2025 | 02/26/2026 | 10-K |
| 09/30/2025 | 11/06/2025 | 10-Q |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/08/2025 | 10-Q |
| 12/31/2024 | 02/27/2025 | 10-K |
| 09/30/2024 | 11/07/2024 | 10-Q |
| 06/30/2024 | 08/08/2024 | 10-Q |
| 03/31/2024 | 05/09/2024 | 10-Q |
| 12/31/2023 | 02/22/2024 | 10-K |
| 09/30/2023 | 11/02/2023 | 10-Q |
| 06/30/2023 | 08/03/2023 | 10-Q |
| 03/31/2023 | 05/04/2023 | 10-Q |
| 12/31/2022 | 02/23/2023 | 10-K |
| 09/30/2022 | 11/03/2022 | 10-Q |
| 06/30/2022 | 08/03/2022 | 10-Q |
| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/07/2026 | 10-Q |
| 12/31/2025 | 02/26/2026 | 10-K |
| 09/30/2025 | 11/06/2025 | 10-Q |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/08/2025 | 10-Q |
| 12/31/2024 | 02/27/2025 | 10-K |
| 09/30/2024 | 11/07/2024 | 10-Q |
| 06/30/2024 | 08/08/2024 | 10-Q |
| 03/31/2024 | 05/09/2024 | 10-Q |
| 12/31/2023 | 02/22/2024 | 10-K |
| 09/30/2023 | 11/02/2023 | 10-Q |
| 06/30/2023 | 08/03/2023 | 10-Q |
| 03/31/2023 | 05/04/2023 | 10-Q |
| 12/31/2022 | 02/23/2023 | 10-K |
| 09/30/2022 | 11/03/2022 | 10-Q |
| 06/30/2022 | 08/03/2022 | 10-Q |
| 03/31/2022 | 05/06/2022 | 10-Q |
| 12/31/2021 | 02/25/2022 | 10-K |
| 09/30/2021 | 11/04/2021 | 10-Q |
| 06/30/2021 | 08/05/2021 | 10-Q |
| 03/31/2021 | 05/06/2021 | 10-Q |
| 12/31/2020 | 02/25/2021 | 10-K |
| 09/30/2020 | 11/09/2020 | 10-Q |
| 06/30/2020 | 07/31/2020 | 10-Q |
| 03/31/2020 | 05/06/2020 | 10-Q |
| 12/31/2019 | 02/26/2020 | 10-K |
| 09/30/2019 | 11/06/2019 | 10-Q |
| 06/30/2019 | 08/05/2019 | 10-Q |
Recent Forward Guidance
Updated 7/12/2026Latest: Q1 2026 Earnings Reported 5/7/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q2 2026 Revenue Growth | 0.0% | 1.0% | 0.5% | Higher New | Guidance: 0.5% for Q1 2026 | ||
| Q2 2026 Adjusted EBITDA margin | 28.0% | 28.5% | 29.0% | 2.0% | Higher New | Guidance: 26.5% for Q1 2026 | |
| 2026 Revenue Growth | 0.0% | 1.0% | 0.0% | Affirmed | Guidance: 1.0% for 2026 | ||
| 2026 Adjusted EBITDA margin | 29.0% | 29.5% | 30.0% | 0.0% | Affirmed | Guidance: 29.5% for 2026 | |
| 2026 Share Repurchases | 90.00 Mil | Raised | |||||
Prior: Q4 2025 Earnings Reported 2/26/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q1 2026 Revenue Growth | 0.0% | 0.5% | |||||
| Q1 2026 Adjusted EBITDA Margin | 26.0% | 26.5% | 27.0% | ||||
| 2026 Revenue Growth | 0.0% | 1.0% | -1.0% | Lower New | Actual: 2.0% for 2025 | ||
| 2026 Adjusted EBITDA Margin | 29.0% | 29.5% | 30.0% | -0.5% | Lower New | Actual: 30.0% for 2025 | |
Q3 2025 Earnings Reported 11/6/2025
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2025 Revenue Growth | 2.0% | -0.5% | Lowered | Guidance: 2.5% for 2025 | |||
| 2025 Adjusted EBITDA Margin | 29.0% | 30.0% | 31.0% | 0 | Affirmed | Guidance: 30.0% for 2025 | |
| 2025 Share Repurchases | 70.00 Mil | 80.00 Mil | 90.00 Mil | 0 | Affirmed | Guidance: 80.00 Mil for 2025 | |
Insider Activity
Updated 6/15/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Jain, Sonia | Chief Financial Officer | Direct | Sell | 6152026 | 9.49 | 34,021 | 322,859 | 2,968,785 | Form |
| 2 | Jain, Sonia | Chief Financial Officer | Direct | Sell | 6152026 | 9.56 | 52,579 | 502,655 | 3,315,924 | Form |
| 3 | Ross, Jenell | Direct | Buy | 3162026 | 7.56 | 1,995 | 15,082 | 525,254 | Form | |
| 4 | Jain, Sonia | Chief Financial Officer | Direct | Sell | 12192025 | 13.45 | 11,400 | 153,330 | 3,276,985 | Form |
| 5 | Crawford, Matthew B | Chief Product Innovation Off. | Direct | Sell | 12042025 | 12.03 | 27,358 | 329,117 | 855,369 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Jain, Sonia | Chief Financial Officer | Direct | Sell | 6152026 | 9.49 | 34,021 | 322,859 | 2,968,785 | Form |
| 2 | Jain, Sonia | Chief Financial Officer | Direct | Sell | 6152026 | 9.56 | 52,579 | 502,655 | 3,315,924 | Form |
| 3 | Ross, Jenell | Direct | Buy | 3162026 | 7.56 | 1,995 | 15,082 | 525,254 | Form | |
| 4 | Jain, Sonia | Chief Financial Officer | Direct | Sell | 12192025 | 13.45 | 11,400 | 153,330 | 3,276,985 | Form |
| 5 | Crawford, Matthew B | Chief Product Innovation Off. | Direct | Sell | 12042025 | 12.03 | 27,358 | 329,117 | 855,369 | Form |
| 6 | Crawford, Matthew B | Chief Product Innovation Off. | Direct | Sell | 8122025 | 11.77 | 15,000 | 176,550 | 1,158,886 | Form |
Investor Activity (13F)
Updated Jul 24, 2026Active managers (13F portfolio over $250M, at least 3 holdings) with a position over $5M that is either over 10% of their portfolio or held in a concentrated book of 50 or fewer total positions. Index/ETF, sovereign, bank, community-bank and charitable/donor-advised filers are excluded.
Cars.com — Investor Video Playlist
Industry Resources
| Communication Services Resources |
| Variety |
| The Hollywood Reporter |
| Adweek |
| Interactive Media & Services Resources |
| Social Media Today |
| Search Engine Land |
| Nieman Journalism Lab |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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