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CARSCars.com Inc.
$11.22$627M
Overview & Verdict
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CARS logoCars.com Inc.(CARS)Earnings, Financials & Key Ratios

CARS•NYSE
$11.22
35.1× P/E·Price updated Jul 7, 2026
SectorConsumer CyclicalIndustryAuto DealershipsSub-IndustryDigital Auto Retail and Marketplaces
AboutCars.com Inc. operates as a digital marketplace and provides solutions for the automotive industry. Its platform connects car shoppers with sellers. The company, through its marketplace, dealer websites, and other digital products, showcases dealer inventory, elevate and amplify dealers' and automotive manufacturers' (OEMs) brands, connect sellers with ready-to-buy audience, and empower shoppers with the resources and information needed to make car buying decisions. It also offers marketplace products, such as marketplace subscription advertising and social selling services; digital solutions, including Website platform hosting, AI chat tool, digital retailing, and review and reputation management; and advertising comprising display advertising, instant loan screening and approvals, digital advertising, and in-market audio services. As of December 31, 2021, the company served 19,179 dealer customers in 50 states, which included franchise and independent dealers, with digital and brick-and-mortar stores; and primary automakers selling vehicles in the United States. Its customers are local car dealers, OEMs, and other national advertisers. Cars.com Inc. was founded in 1998 and is based in Chicago, Illinois.Show more
  • Revenue$723M+0.6%
  • EBITDA$152M-5.3%
  • Net Income$20M-58.4%
  • EPS (Diluted)0.32-55.6%
  • Gross Margin83.03%+0.4%
  • EBITDA Margin21.03%-5.9%
  • Operating Margin8.33%+12.0%
  • Net Margin2.77%-58.6%
  • ROE4.08%-57.6%

CARS Price & Volume

Cars.com Inc. (CARS) stock price & volume — 10-year historical chart

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Stagnant Revenue Growth Masks Operational Margin Volatility

Investment Thesis • Updated 2026Q1

VerdictNegative
Growth:Decelerating
Profitability:Strained
Financial:Adequate
Cash Flow:Stable
Primary Risk:High leverage relative to equity

Key Thesis Takeaways

  • Cars.com faces a challenging outlook characterized by persistent top-line stagnation, with year-over-year revenue growth decelerating to 0.7% as of 2026Q1.
  • While the company maintains a stable free cash flow profile and low capital intensity, its reliance on share repurchases—often exceeding $20 million per quarter—appears to prioritize capital return over necessary organic growth investments.
  • Investors should remain cautious regarding the firm's elevated leverage, evidenced by a debt-to-equity ratio of 0.98, which limits financial flexibility in a highly competitive digital advertising landscape.

Verdict Logic

the company's inability to drive top-line growth beyond 0.7% in 2026Q1, combined with a high debt-to-equity ratio of 0.98, suggests limited upside potential for long-term equity holders.

CARS Growth Metrics

Cars.com Inc. (CARS) revenue, earnings & EPS growth — 3, 5 & 10-year CAGR

Revenue CAGR

10 Years1.95%
5 Years5.73%
3 Years3.42%
TTM0.9%

Profit CAGR

10 Years-18.64%
5 Years-
3 Years5.23%
TTM-40.42%

EPS CAGR

10 Years-17.53%
5 Years-
3 Years8.58%
TTM-36.14%

Return on Capital

10 Years-3.56%
5 Years5.87%
3 Years5.68%
Last Year6.2%

CARS Recent Earnings

Cars.com Inc. (CARS) EPS & revenue vs analyst estimates — last 4 quarters

Full history →
●Beat EPS 1/12 qtrs (8%)●Beat Revenue 5/12 qtrs (42%)
Q2 2026Latest
May 7, 2026
Metric
Actual
Est
EPS
$0.45-6.3%
$0.48
Rev
$180M+0.0%
$180M
Q1 2026
Feb 26, 2026
Metric
Actual
Est
EPS
$0.44-21.4%
$0.56
Rev
$184M+0.2%
$183M
Q4 2025
Nov 6, 2025
Metric
Actual
Est
EPS
$0.48-4.0%
$0.50
Rev
$182M-1.0%
$183M
Q3 2025
Aug 7, 2025
Metric
Actual
Est
EPS
$0.41-10.9%
$0.46
Rev
$179M-1.7%
$182M
QuarterDateEPS (Act vs Est)Revenue (Act vs Est)
Q2 2026LatestMay 7, 2026
$0.45vs $0.48-6.3%
$180Mvs $180M+0.0%
Q1 2026Feb 26, 2026
$0.44vs $0.56-21.4%
$184Mvs $183M+0.2%
Q4 2025Nov 6, 2025
$0.48vs $0.50-4.0%
$182Mvs $183M-1.0%
Q3 2025Aug 7, 2025
$0.41vs $0.46-10.9%
$179Mvs $182M-1.7%
Based on last 12 quarters of dataView full earnings history →

Latest CARS News

Recent stock market news and headlines for Cars.com Inc. (CARS)

PRNewsWire·6 days ago
Cars.com Releases a Guide to the Most Affordable American-Made Vehicles of 2026 to Ring in America's 250th

The current average new car tops $50,000, but Cars.com's 2026 American-Made Index reveals 10 American-made vehicles starting as low as $24,420 CHICAGO, July 1, 2026 /PRNewswire/ -- As America prepares to celebrate its 250th birthday, car-shopping marketplace Cars.com™ (NYSE: CARS) has released a guide to the most affordable vehicles on its 2026 American-Made Index, spotlighting 10 models that start under $35,000. More than half of the vehicles on the list come in under $30,000, a timely reminder that buying American-made does not have to mean paying a premium.

PRNewsWire·Jun 23, 2026
Cars.com Announces Its 2026 Most American-Made Vehicles Ahead of Country's 250th

The Great American Melting Pot — 2026 list is 65% foreign automakers, with the Detroit Three still holding about one-third of the Index CHICAGO, June 23, 2026 /PRNewswire/ -- Car-shopping marketplace Cars.com™ (NYSE: CARS) today unveiled the vehicles on its 21st annual American-Made Index (AMI). More than a year after the announcement of tariffs, and ahead of America's 250th anniversary, this year's AMI list boasts 86 vehicles that made the cut.

Peers Comparison

Key metrics vs top competitors for Cars.com Inc. (CARS)

Full Screener →
CompanyPriceMarket CapP/E RatioRev Growth (1Y)Net MarginROEDiv Yield
CARS logoCARSCars.com Inc.Current
$11.22$627.23M35.060.57%2.77%4.08%—
TC logoTCToken Cat Limited
$4.80$10.53M-0.50-69.71%-403.81%-448.65%—
CARG logoCARGCarGurus, Inc.
$34.92$3.37B22.534.99%15.57%41.93%—
SCI logoSCIService Corporation International
$78.37$10.87B20.622.93%14.46%39.44%—
KMX logoKMXCarMax, Inc.
$51.05$7.24B30.39-1.79%0.84%3.67%—
CVNA logoCVNACarvana Co.
$67.47$73.14B39.9248.63%7.09%45.92%—

Compare CARS vs Peers

Cars.com Inc. (CARS) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.

Closest Rival

vs TC

Most directly comparable listed peer for CARS.

Scale Benchmark

vs CVNA

Larger-name benchmark to compare CARS against a more recognizable public peer.

Peer Set

Compare Top 5

vs TC, CARG, SCI, KMX

CARS SEC Filings & Documents

Cars.com Inc. (CARS) SEC filings — annual & quarterly reports (10-K, 10-Q)

8-K Announcements

6
Material company update

May 7, 2026·SEC

Material company update

Apr 9, 2026·SEC

Material company update

Feb 26, 2026·SEC

10-K Annual Reports

3
FY 2026

Feb 26, 2026·SEC

FY 2025

Feb 27, 2025·SEC

FY 2024

Feb 22, 2024·SEC

10-Q Quarterly Reports

6
FY 2026

May 7, 2026·SEC

FY 2025

Nov 6, 2025·SEC

FY 2025

Aug 7, 2025·SEC

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CARS Frequently Asked Questions

Cars.com Inc. (CARS) stock FAQ — growth, dividends, profitability & financials explained

Growth & Financials
What is Cars.com Inc.'s revenue?

Cars.com Inc. (CARS) reported $724.4M in revenue for fiscal year 2025. This represents a 46% increase from $496.0M in 2014.

How fast is Cars.com Inc. growing?

Cars.com Inc. (CARS) grew revenue by 0.6% over the past year. Growth has been modest.

Is CARS profitable?

Yes, Cars.com Inc. (CARS) is profitable, generating $27.0M in net income for fiscal year 2025 (2.8% net margin).

Dividend & Returns
What is CARS's return on equity?

Cars.com Inc. (CARS) has a return on equity (ROE) of 4.1%. This is below average, suggesting room for improvement.

What is Cars.com Inc.'s free cash flow?

Cars.com Inc. (CARS) generated $158.3M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.

What if you invested $1,000 in CARS back in 2014?

Total return calculator · dividends reinvested · 12+ years of data

See returns →