Zacks Investment Research Downgrades Cars.com (NYSE:CARS) to Strong Sell

Cars.com (NYSE:CARSGet Rating) was downgraded by Zacks Investment Research from a “hold” rating to a “strong sell” rating in a research note issued on Monday, Zacks.com reports.

According to Zacks, “Cars.com Inc. operates an online automotive platform. The Company offers new and used vehicle listings, expert and consumer reviews, research tools and other information. It also engaged in the sale of display advertising to national advertisers. Cars.com Inc. is based in Chicago, United States. “

Separately, Northcoast Research began coverage on Cars.com in a research report on Wednesday, February 2nd. They set a “neutral” rating for the company. One analyst has rated the stock with a sell rating, one has assigned a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $21.00.

Shares of Cars.com stock traded down $0.53 on Monday, reaching $9.41. 508,812 shares of the stock were exchanged, compared to its average volume of 453,335. The company has a debt-to-equity ratio of 1.26, a current ratio of 1.44 and a quick ratio of 1.56. Cars.com has a twelve month low of $9.40 and a twelve month high of $19.09. The company has a market capitalization of $650.89 million, a price-to-earnings ratio of 117.64 and a beta of 2.03. The company has a 50 day simple moving average of $13.58.

Cars.com (NYSE:CARSGet Rating) last announced its quarterly earnings results on Thursday, February 24th. The company reported ($0.09) earnings per share for the quarter, missing the consensus estimate of $0.11 by ($0.20). The company had revenue of $158.31 million for the quarter, compared to analysts’ expectations of $157.58 million. Cars.com had a net margin of 1.08% and a return on equity of 1.82%. On average, research analysts predict that Cars.com will post 0.49 earnings per share for the current fiscal year.

In related news, insider James F. Rogers sold 5,105 shares of the stock in a transaction dated Friday, March 4th. The stock was sold at an average price of $15.38, for a total value of $78,514.90. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider James F. Rogers sold 13,895 shares of the company’s stock in a transaction that occurred on Monday, March 7th. The shares were sold at an average price of $15.25, for a total value of $211,898.75. The disclosure for this sale can be found here. Company insiders own 1.20% of the company’s stock.

Institutional investors and hedge funds have recently bought and sold shares of the stock. Eaton Vance Management bought a new position in Cars.com during the 4th quarter valued at $38,000. Point72 Hong Kong Ltd raised its holdings in shares of Cars.com by 56.3% during the third quarter. Point72 Hong Kong Ltd now owns 4,755 shares of the company’s stock worth $60,000 after acquiring an additional 1,713 shares in the last quarter. Marshall Wace LLP purchased a new stake in shares of Cars.com during the first quarter worth $63,000. Barrow Hanley Mewhinney & Strauss LLC raised its holdings in Cars.com by 33.3% during the third quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 9,652 shares of the company’s stock valued at $122,000 after buying an additional 2,411 shares in the last quarter. Finally, Teacher Retirement System of Texas bought a new position in Cars.com during the third quarter valued at about $137,000. Hedge funds and other institutional investors own 89.18% of the company’s stock.

About Cars.com (Get Rating)

Cars.com Inc, through its subsidiaries, operates as a digital automotive marketplace that connects local car dealers to consumers in the United States. The company offers a suite of digital solutions that creates connections between individuals researching cars or looking to purchase a car with car dealerships and automotive original equipment manufacturers.

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