Cars Valuation
| CARS Stock | USD 19.89 0.56 2.90% |
At this time, the firm appears to be undervalued. Cars Inc shows a prevailing Real Value of $21.05 per share. The current price of the firm is $19.89. Our model approximates the value of Cars Inc from analyzing the firm fundamentals such as Current Valuation of 1.67 B, return on equity of 0.0796, and Profit Margin of 0.05 % as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Cars' valuation include:
Price Book 2.4907 | Enterprise Value 1.7 B | Enterprise Value Ebitda 8.9866 | Price Sales 1.7421 | Forward PE 8.5251 |
Undervalued
Today
Please note that Cars' price fluctuation is very steady at this time. Calculation of the real value of Cars Inc is based on 3 months time horizon. Increasing Cars' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Cars stock is determined by what a typical buyer is willing to pay for full or partial control of Cars Inc. Since Cars is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Cars Stock. However, Cars' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 19.89 | Real 21.05 | Target 23.36 | Hype 20.03 | Naive 18.76 |
The intrinsic value of Cars' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Cars' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Cars Inc helps investors to forecast how Cars stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Cars more accurately as focusing exclusively on Cars' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Cars' intrinsic value based on its ongoing forecasts of Cars' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Cars' closest peers.
Cars Cash |
|
Cars Valuation Trend
Cars' real value is important for investors to make better decisions and a more accurate overall view of Cars' financial worth over time. Using both Cars' enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.
Cars Revenue by Product
Cars Total Value Analysis
Cars Inc is currently projected to have valuation of 1.67 B with market capitalization of 1.25 B, debt of 483.25 M, and cash on hands of 18.13 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Cars fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
1.67 B | 1.25 B | 483.25 M | 18.13 M |
Cars Investor Information
About 92.0% of the company shares are held by institutions such as insurance companies. The book value of Cars was currently reported as 7.73. The company has Price/Earnings To Growth (PEG) ratio of 1.22. Cars Inc had not issued any dividends in recent years. Based on the key indicators related to Cars' liquidity, profitability, solvency, and operating efficiency, Cars Inc is performing exceptionally good at this time. It has a great probability to report excellent financial results in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Operating Profit Margin | 0.0746 | 0.0785 |
|
| |||||
| Total Cash From Operating Activities | 116.1 M | 136.7 M |
|
| |||||
| Operating Income | 92.7 M | 54.1 M |
|
|
Cars Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Cars has an asset utilization ratio of 58.78 percent. This implies that the Company is making $0.59 for each dollar of assets. An increasing asset utilization means that Cars Inc is more efficient with each dollar of assets it utilizes for everyday operations.Cars Ownership Allocation
Cars holds a total of 64.74 Million outstanding shares. The majority of Cars Inc outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Cars Inc to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Cars. Please pay attention to any change in the institutional holdings of Cars Inc as this could imply that something significant has changed or is about to change at the company. Also note that nearly three hundred ninety-four thousand nine hundred ten invesors are currently shorting Cars expressing very little confidence in its future performance.Cars Profitability Analysis
The company reported the previous year's revenue of 689.18 M. Net Income was 118.44 M with profit before overhead, payroll, taxes, and interest of 449.9 M.About Cars Valuation
The stock valuation mechanism determines Cars' current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Cars Inc based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Cars. We calculate exposure to Cars's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Cars's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 567 M | 537.4 M | |
| Pretax Profit Margin | 0.03 | 0.03 | |
| Operating Profit Margin | 0.08 | 0.07 | |
| Net Profit Margin | 0.17 | 0.18 | |
| Gross Profit Margin | 0.82 | 0.66 |
Cars Growth Indicators
Investing in growth stocks can be very risky. If the company such as Cars does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 68.2 M | |
| Quarterly Earnings Growth Y O Y | 3.163 | |
| Forward Price Earnings | 8.5251 |
Cars Current Valuation Indicators
Cars' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Cars' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Cars, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Cars' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Cars' worth.Additional Tools for Cars Stock Analysis
When running Cars' price analysis, check to measure Cars' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Cars is operating at the current time. Most of Cars' value examination focuses on studying past and present price action to predict the probability of Cars' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Cars' price. Additionally, you may evaluate how the addition of Cars to your portfolios can decrease your overall portfolio volatility.