CarGurus AI Price Prediction

With a PE ratio of 25.57 and EPS of 1.48, CarGurus appears reasonably valued relative to a profitable, mid-growth tech/marketplace business, but not obviously cheap. The valuation implies the market expects steady, not explosive, earnings growth. In the absence of more detailed revenue and margin data, profitability looks solid but not strong enough to drive a clearly bullish view on its own.

• A PE of 25.57 on EPS of 1.48 suggests the market is pricing in moderate growth and stable profitability rather than high-growth tech multiples.
• Positive EPS indicates the company is profitable, which is constructive for a digital marketplace model that often sacrifices earnings for growth.
• Without explicit revenue and margin trends, the current valuation looks broadly in line with a mature, profitable online platform, supporting a neutral stance rather than a clear value or growth outlier.

The stock trades at $37.85, modestly up 2.0% over the last month, suggesting a mild positive trend but not strong momentum. Price is above the 200-day moving average of $33.36, which is technically constructive, while an RSI of 39.27 indicates the stock is closer to oversold than overbought, reflecting subdued buying pressure. Overall, technicals point to a consolidating uptrend rather than a strong bullish breakout.

• Trading above the 200-day moving average ($37.85 vs. $33.36) signals a longer-term positive trend and underlying support.
• An RSI of 39.27 is below the neutral 50 level, indicating weak near-term momentum and suggesting the stock is not overheated and may be closer to oversold territory.
• A 2.0% gain over the last month reflects modest appreciation, consistent with consolidation within an established uptrend rather than aggressive accumulation.

Web traffic is very high and stable at roughly 40.8 million monthly visitors, but flat month over month, implying no recent inflection in user demand. App downloads are large in absolute terms (about 310,000 per day) but down sharply by 40.5% month over month, a notable negative signal for mobile engagement, partially offset by an 11.5% increase in job openings and slow but steady growth across social media channels. Altogether, alternative data show a healthy but not accelerating demand environment, with a mixed picture between web and mobile channels.

• Website traffic is sizable (~40.76 million monthly visitors) but flat month over month (0.0% change), indicating stable but not growing top-of-funnel interest.
• Mobile app downloads are high in volume (~310,000 per day) yet down 40.5% month over month, a significant deceleration that may signal weaker mobile acquisition or seasonality pressures.
• Job openings up 11.5% month over month and modest follower growth across Twitter/X, Instagram, Facebook, YouTube, and LinkedIn suggest ongoing investment in operations and marketing, but the pace of audience growth is incremental rather than explosive.

CarGurus presents a balanced risk-reward profile: it is profitable with a moderate valuation, trades above its 200-day moving average, and maintains strong but stable traffic and brand presence. However, the lack of clear acceleration in web traffic and the sharp drop in app downloads temper enthusiasm, while technical momentum remains subdued. Overall, the signals collectively support a neutral outlook rather than a distinctly bullish or bearish stance.

• Profitability and a reasonable PE multiple, combined with a price above the 200-day moving average, provide a fundamentally and technically stable backdrop.
• Mixed alternative data—flat web traffic, sharply lower app downloads, but rising job postings and slowly growing social channels—suggest a steady but not rapidly strengthening business environment.