Markets

Stock Alert: Cars.com Climbs 20%

(RTTNews) - Shares of Cars.com, LLC (CARS), an online marketplace and solutions provider for the automotive industry, are rising more than 20 percent or $1.64 in Thursday's morning trade at $9.65 after the company projected third-quarter revenue above analysts' estimates.

Cars.com said Wednesday that based on preliminary information, it expects third-quarter revenue of about $142 to $144 million and adjusted EBITDA margin between 33 percent and 34 percent. The company projects net loss for the third quarter between $10 million and $12 million, primarily due to a non-cash charge of about $31 million. Analysts polled by Thomson Reuters have a consensus estimate for earnings of $0.38 per share for the quarter on revenues of $137.48 million.

Cars.com added that it capitalized on consumers' desire to connect with dealers digitally, leading to all-time low cancellation rates and net growth of nearly 100 dealer customers during the quarter.

Cars.com has traded in a range of $3.25 to $13.55 in the past 52 weeks.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

CARS

Latest Markets Videos

    RTTNews

    Founded in the late 1990s by Andrew Mariathasan in New York, with the goal of covering Wall Street for a new generation of investors, RTTNews has expanded steadily over the years to become a trusted provider of content for a wide array of subjects across several platforms. RTT's Financial Newswire is relied upon by some of the world's largest financial institutions, including banks, brokerages, trading platforms and financial exchanges.

    Learn More