Cars.com

CARS

Internet Content & Information · Communication Services

Also trades as: 0HTZ.L

Price

$12.22

-0.05 (-0.41%)

Market Cap

$683.1M

Winston Score

Winston is curious

A decent business — some strong pillars, some weaker.

Data as of Aug 23, 2026 · filings through Jun 30, 2026

How the score breaks down

Quality

Good

Growth

Weak

Cash Flow

Exceptional

Stability

Good

Valuation

Strong

Track this stock — start free trial

Share count falling — buybacks

−13.5% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 71.3M (2021) → 61.7M (2025)

Winston Score History

The full picture

Cars.com is an online marketplace that connects car buyers with car dealerships across the United States. Its main product is a website and app where people can search for new and used vehicles, read reviews, and compare prices. The company also owns the Dealer Inspire brand, which builds websites and digital marketing tools for auto dealers.

Cars.com makes money by charging dealerships subscription and advertising fees to list their inventory and reach potential buyers. It operates almost entirely in the United States and generates roughly $700 million in annual revenue. Its moat comes from its established brand and the large volume of car listings it hosts, which attracts buyers and keeps dealers paying for visibility. The main risk is competition from larger platforms like CarGurus, AutoTrader, and increasingly from automakers and dealers building their own direct digital channels, which could pressure pricing and dealer retention over time.

Politician Trades

1 trades / 12mo

0 Congressional buys and 1 sell on CARS in the last 12 months.

Unlock the full Smart Money Map — every trade plotted on the price chart with politicians, amounts and returns since each trade. Founder's Deal is $57/mo locked for life.

Unlock politician trades

Growth Profile

For growth stock investors

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+0.7% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

+136.4% YoY

YoY Growth Rate

EPS growth accelerating

R&D Spend

$0/ year

0.0% of revenue

Below sector average (12%)

Research and development spending

Insider Activity

15.8%ownership

→ Flat

Insider ownership roughly steady over the past year

Cash Position

Cash flow positive

$65M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Growth context

Cars.com is growing revenue at 1% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

Each metric is explained in plain language so you know exactly what you're looking at. Start your free trial now.

Quality

Profit per sale

Gross Margin

83.2%

Premium pricing power — 83.2% gross margin

Profit after running costs

Operating Margin

15.5%

Healthy — 15.5% operating margin

Return on the money invested

ROCE

9.3%

Below par — 9.3% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Growth

Sales growth

Sales YoY

+1.1%

Nearly flat sales (+1.1% YoY)

Profit growth

EPS YoY

-7.0%

Earnings shrinking (-7.0% YoY)

Slight earnings drop. Typical near a cyclical low.

How steady the profit is

EPS Consistency

4/8 quarters

Earnings inconsistent quarter-to-quarter

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Cash Flow

Profit that turns into cash

Cash Conversion

558%

Turns 558% of profit into real cash

Spare cash per sale

FCF Margin

26.1%

Converts sales into free cash efficiently (26.1%)

Free cash flow margin above 20%. Out of every $100 in sales, more than $20 is real cash they keep.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Stability

What it owes vs what it owns

Debt / Equity

1.01

Elevated debt (1.01)

Covers its interest

Interest Cover

5.45x

Adequate interest coverage (5.5x)

Interest coverage between 3 and 8. Profits cover interest several times over.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Valuation

Price vs profit

P/E Ratio (TTM)

20.9x

Growth-priced — P/E 20.9

P/E above the market average. People are paying up for expected growth.

Cheaper or dearer next year

P/E vs Forward

+15.8

GROWING

Earnings expected to grow meaningfully — cheaper on forward P/E (20.9 → 5.1)

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Dividends

Not applicable for this business.

🔒 See full fundamentals and if they are improving or declining — click here for your free trial now.

Start free trial