Cars Inc Stock Buy Hold or Sell Recommendation

CARS Stock  USD 11.39  0.25  2.24%   
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Cars Inc is 'Hold'. A buy or sell recommendation is an automated directive regarding whether to purchase or sell Cars Inc given historical horizon and risk tolerance. When we issue a 'buy' or 'sell' recommendation for Cars Inc, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Cars Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
Note, we conduct extensive research on individual companies such as Cars and provide practical buy, sell, or hold advice based on investors' constraints. Cars Inc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.

Execute Cars Buy or Sell Advice

The Cars recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Cars Inc. Macroaxis does not own or have any residual interests in Cars Inc or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Cars' advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell CarsBuy Cars
Hold

Market Performance

Very WeakDetails

Volatility

Somewhat reliableDetails

Hype Condition

Under hypedDetails

Current Valuation

UndervaluedDetails

Odds Of Distress

Very LowDetails

Economic Sensitivity

Actively responds to the marketDetails

Investor Sentiment

ImpartialDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Cars Inc has a Risk Adjusted Performance of (0.15), Jensen Alpha of (0.49), Total Risk Alpha of (0.22) and Treynor Ratio of (0.37)
Our trade advice tool can cross-verify current analyst consensus on Cars Inc and to analyze the company potential to grow in the current economic cycle. To make sure Cars is not overpriced, please confirm all Cars Inc fundamentals, including its revenue, cash flow from operations, working capital, as well as the relationship between the cash per share and number of employees . Given that Cars Inc has a number of shares shorted of 2.11 M, we suggest you to validate Cars Inc market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Cars Trading Alerts and Improvement Suggestions

Cars Inc generated a negative expected return over the last 90 days
Cars Inc has high historical volatility and very poor performance
Over 95.0% of the company shares are held by institutions such as insurance companies
Latest headline from gurufocus.com: Recognizing the Best in Automotive Retail Cars.com 2025 Dealer of the Year Awards

Cars Returns Distribution Density

The distribution of Cars' historical returns is an attempt to chart the uncertainty of Cars' future price movements. The chart of the probability distribution of Cars daily returns describes the distribution of returns around its average expected value. We use Cars Inc price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Cars returns is essential to provide solid investment advice for Cars.
Mean Return
-0.68
Value At Risk
-4.19
Potential Upside
4.51
Standard Deviation
3.75
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Cars historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Cars Stock Institutional Investors

The Cars' institutional investors refer to entities that pool money to purchase Cars' securities or originate loans. These institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds.
Shares
Morgan Stanley - Brokerage Accounts2024-12-31
792.8 K
Renaissance Technologies Corp2024-12-31
782.4 K
T. Rowe Price Associates, Inc.2024-12-31
760.5 K
Sg Capital Management, Llc2024-12-31
629.4 K
Arnhold & S. Bleichroeder Advisers, Llc2024-12-31
583.1 K
Bank Of New York Mellon Corp2024-12-31
485.8 K
Arrowmark Colorado Holdings, Llc (arrowmark Partners)2024-12-31
475 K
Arrowstreet Capital Limited Partnership2024-12-31
442.9 K
Royce & Associates, Lp2024-12-31
430.4 K
Blackrock Inc2024-12-31
9.9 M
Fmr Inc2024-12-31
9.7 M
Note, although Cars' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Cars Cash Flow Accounts

202020212022202320242025 (projected)
Change To Inventory14.7M(12.0M)110K(6.1M)(5.5M)(5.3M)
Change In Cash54.2M(28.7M)(7.4M)7.5M11.5M12.0M
Free Cash Flow121.9M118.8M108.8M115.8M149.5M104.2M
Depreciation113.3M101.9M94.4M101M107.2M94.2M
Other Non Cash Items933.6M10.6M12.4M9.6M(34.3M)(32.6M)
Capital Expenditures16.7M19.2M19.7M20.9M3M2.9M
Net Income(817.1M)7.7M17.2M118.4M48.2M50.6M
End Period Cash Flow67.7M39.1M31.7M39.2M50.7M30.8M
Investments(16.7M)(39.5M)(84.4M)(20.8M)(24.6M)(25.8M)
Net Borrowings(51.1M)(68.0M)(120.0M)3.8M3.4M3.2M
Change To Netincome474.4M925.6M23.0M33.6M38.6M36.7M
Change Receivables2.3M3.7M(5.4M)(9.3M)(8.4M)(8.0M)

Cars Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Cars or Interactive Media & Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Cars' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Cars stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over Dow Jones
-0.49
β
Beta against Dow Jones1.85
σ
Overall volatility
3.85
Ir
Information ratio -0.15

Cars Volatility Alert

Cars Inc exhibits very low volatility with skewness of -2.27 and kurtosis of 14.12. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Cars' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Cars' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Cars Fundamentals Vs Peers

Comparing Cars' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Cars' direct or indirect competition across all of the common fundamentals between Cars and the related equities. This way, we can detect undervalued stocks with similar characteristics as Cars or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Cars' fundamental indicators could also be used in its relative valuation, which is a method of valuing Cars by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Cars to competition
FundamentalsCarsPeer Average
Return On Equity0.096-0.31
Return On Asset0.0293-0.14
Profit Margin0.07 %(1.27) %
Operating Margin0.11 %(5.51) %
Current Valuation1.13 B16.62 B
Shares Outstanding63.85 M571.82 M
Shares Owned By Insiders8.65 %10.09 %
Shares Owned By Institutions94.81 %39.21 %
Number Of Shares Shorted2.11 M4.71 M
Price To Book1.42 X9.51 X
Price To Sales1.01 X11.42 X
Revenue719.15 M9.43 B
Gross Profit480.89 M27.38 B
EBITDA136.85 M3.9 B
Net Income48.19 M570.98 M
Cash And Equivalents18.13 M2.7 B
Cash Per Share0.27 X5.01 X
Total Debt455.29 M5.32 B
Debt To Equity1.30 %48.70 %
Current Ratio1.62 X2.16 X
Book Value Per Share7.94 X1.93 K
Cash Flow From Operations152.52 M971.22 M
Short Ratio3.20 X4.00 X
Earnings Per Share0.72 X3.12 X
Price To Earnings To Growth1.22 X4.89 X
Target Price18.57
Number Of Employees1.8 K18.84 K
Beta2.17-0.15
Market Capitalization727.22 M19.03 B
Total Asset1.11 B29.47 B
Retained Earnings(961.55 M)9.33 B
Working Capital97.44 M1.48 B
Current Asset135.19 M9.34 B
Note: Disposition of 32637 shares by Sonia Jain of Cars at 16.6 subject to Rule 16b-3 [view details]

Cars Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Cars . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Cars Buy or Sell Advice

When is the right time to buy or sell Cars Inc? Buying financial instruments such as Cars Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Cars in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Real Estate Theme or any other thematic opportunities.
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Additional Tools for Cars Stock Analysis

When running Cars' price analysis, check to measure Cars' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Cars is operating at the current time. Most of Cars' value examination focuses on studying past and present price action to predict the probability of Cars' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Cars' price. Additionally, you may evaluate how the addition of Cars to your portfolios can decrease your overall portfolio volatility.