CARG: Hold + Reduce with a $25.51 price target

Year-to-date profit has improved, but the profit margin narrowed.

Target for 2027-09-16: $25.51 USD, -23.2% versus the $33.21 weekly close on 2026-09-18. Price return only; dividends, fees and tax excluded.

Over 1 year (2025-09-19 to 2026-09-18), price changed -11.1% and trailing EPS changed +20.7%. A wider gap changes the earnings multiple; it does not establish fair value.

Across 2 completed quarters since 2025-12-31, net income was 81.4m versus 61.4m in the matching prior-year periods (USD). Check whether the latest quarter changes that direction.

Cash after capital spending / profit: 1.8× for CARG, against 0.5× across 11 comparable peers.

The latest quarterly operating margin was 25.1%, -2.2 percentage points from a year earlier. The full report separates sales growth from margin changes.

Over one year, the stock changed -11.1% against +14.8% for US stocks (SPY). The gap is -25.8 percentage points. These are price returns, before dividends.

Compare the next results with the trailing margin of 28.6% and the annual-history median of 17.2%. A historical median is context, not a forecast.

The latest quarterly margin changed -2.2 percentage points from a year earlier. Check sales volumes, pricing and unusual gains in the next filing.

Recheck the valuation gap alongside profitability and growth after new results. A discount alone does not establish value.

Starting annual sales growth: 13.96%.

Long-term operating margin: 18.46%.

Review recorded on 2026-09-22. This is a dated summary of an automated company valuation. The full report includes the financial evidence, alternative scenarios and review history. Consult the latest report before using an earlier target. Automated model research, not personal investment advice. Targets depend on assumptions; returns are not guaranteed.