Bull of the Day: CarGurus (CARG)

Company Overview - CarGurus, Inc. is an online automotive marketplace that connects buyers and sellers of new and used cars, utilizing proprietary technology, search algorithms, and data analytics [3]. - The company primarily operates in Canada, the United Kingdom, and Germany [3]. Industry Analysis - The Automotive – Replacement Parts industry is ranked in the Top 3% of the Zacks Industry Rank [4]. - Although CarGurus is categorized within this industry, its underlying business model may not fully align with traditional replacement parts companies [4]. Earnings Estimates - CarGurus has received a Zacks Rank 1 (Strong Buy) due to several analysts increasing their earnings estimates for the current and next year [4]. - Over the past thirty days, six analysts have raised their earnings estimates for the current year, while four have done so for the next year [4]. - The Zacks Consensus Estimate for the current year has increased from $1.45 to$1.62, and for the next year, it has risen from $1.75 to$1.88 [4]. Growth Projections - Current year EPS growth is projected at 31.71%, while next year's growth is estimated at 15.64% [5]. - This growth is occurring alongside a revenue contraction of 3.4% this year, with forecasted revenue growth of 8.2% next year [5].