Bull of the Day: CarGurus (CARG)

Providing an online marketplace that connects buyers and sellers of new and used cars, CarGurus CARG increased profitability may be catching investors attention.Furthermore, CarGurus belongs to the Zacks Automotive-Replacement Parts Industry which is currently in the top 9% of almost 250 Zacks industries.Benefiting from its strong business industry, earnings estimate revisions are nicely up for CarGurus landing its stock a Zacks Rank #1 (Strong Buy) and the Bull of the Day.Strong Financial Performance CarGurus stock has soared over +50% in 2024 with the company now reaching or exceeding the Zacks EPS Consensus for nine consecutive quarters. Notably, CarGurus has attributed its customer-centric focus as the major catalyst to its improved financial performance.  Image Source: Zacks Investment Research Operational Efficiency Seeing a sharp increase in its core marketplace revenue, CarGurus has leveraged its cost base to drive operating efficiencies. Annual earnings are now expected to increase 34% in fiscal 2024 to $1.66 per share versus EPS of $1.23 last year. Plus, FY25 EPS is projected to expand another 15%. More intriguing is that FY24 and FY25 EPS estimates are nicely up over the last 60 days.  Image Source: Zacks Investment Research Share Repurchase Program Further boosting investor sentiment, CarGurus’ board of directors have authorized a $200 million share repurchase plan for FY25. This should further support the stock price of CARG with the Average Zacks Price Target of $39.29 a share still suggesting 7% upside from current levels.Image Source: Zacks Investment Research Bottom Line It’s hard to overlook CarGurus stock going into 2025 with CARG having an “A” Zacks Style Scores grade for Growth in addition to its strong buy rating. Zacks Naming Top 10 Stocks for 2025Want to be tipped off early to our 10 top picks for the entirety of 2025?History suggests their performance could be sensational.From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2025. Don’t miss your chance to get in on these stocks when they’re released on January 2.Be First to New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CarGurus, Inc. (CARG): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks