Cars.com Faces Pressure From Flat Dealer Count and Falling EPS
StockStory cited stagnant dealer numbers and per-share earnings declines as concerns, while Cars.com shares traded lower Tuesday afternoon.
Key takeaways
- Cars.com had 19,343 dealer customers, unchanged over the last two years.
- EPS fell 15.6% annually over three years as revenue grew 2.8%.
StockStory pointed to flat dealer numbers, stagnant average revenue per buyer and falling earnings per share as reasons for caution on Cars.com. The company had 19,343 dealer customers, unchanged over the last two years.
The publisher’s analysis said average revenue per buyer was roughly flat over that period. It also cited a 15.6% annual decline in EPS over the last three years, while revenue grew 2.8%.
Cars.com shares traded at $9.51, down 1.96% since the previous close, as of 16:53 UTC Tuesday. StockStory described the stock’s forward EV/EBITDA valuation of 4.5 times as optically cheap, but said it saw downside risk given the company’s fundamentals.
This article was produced with the help of AI technology. Source: Yahoo Finance
