Investors interested in Internet - Commerce stocks are likely familiar with Commerce.com (CMRC) and CarGurus (CARG) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank is a proven strategy that targets companies with positive earnin ...

Global Research ab 15 March 2026 Road & Spak Everything In The Right Place? As we had documented in this weekly space, we grew more cautious particularly on suppliers as the group had rallied through 4Q25 earnings season. Our thinking was that most of the gains had been driven by multiple expansion, multiples looked stretched, and we saw a low probability that positive earnings revisions could backfill multiples. This meant that continued outperformance had to be driven by further multiple expansion – histo ...

With car and gas prices on the rise, CarGurus experts spotlight the market insights and AI-powered tools that can help shoppers find their best value this spring BOSTON, March 19, 2026 (GLOBE NEWSWIRE) -- CarGurus, the No. 1 most visited automotive shopping site in the U.S.¹, today released tips for car shoppers looking to find their best deal this tax season. With demand for used cars rising, new car prices remaining high, and uncertainty around gas prices putting more attention on fuel-efficient models, C ...

Core Viewpoint - CarGurus Inc. is considered one of the most undervalued NASDAQ stocks, despite a recent target price cut by Oppenheimer from $40 to $38, maintaining an Outperform rating due to its strong fundamentals and resilience against AI disruption [1]. Group 1: Target Price and Valuation - Oppenheimer reduced its target price on CarGurus by 5.0% to $38, citing the impact of AI disruption on valuation multiples in the tech sector, which has contributed to an approximate 18% decline in CarGurus' stock price year to date [1]. - The firm believes that CarGurus' proprietary valuation data, strong dealer relationships, and AI adoption will protect it from the negative effects of large language model (LLM) disruptions, justifying the overweight rating [1]. Group 2: Product Development and Revenue Guidance - Oppenheimer sees potential upside for CarGurus due to new products and features like PriceVantage, New Car Exposure, CG Discover, and Dealership Mode, which are expected to leverage the company's scale and lead to high incremental margins [2]. - Management's revenue guidance for 2026, released alongside Q4 2025 earnings, indicates that subscription upgrades and increased new-product attach rates will enhance the U.S. quarterly average revenue per subscribing dealer (QARSD) pricing [3]. Group 3: Company Overview - CarGurus Inc. operates as an online automotive platform for buying and selling vehicles, featuring a car listings marketplace and digital retail solutions, including the CarOffer digital wholesale platform [4]. - The company operates through segments such as the customer-facing U.S. Marketplace and the Digital Wholesale division, which provides dealer-to-dealer services and products sold on the CarOffer platform [4].

Economic Insights - The US Federal Reserve should consider cutting rates in response to inflation driven by rising energy prices due to the US-Iran war, according to Barry Knapp, managing partner at Ironsides [1] - Weak consumer demand, indicated by a slowdown in goods and services consumption, is expected to weaken further due to supply-pull inflation, suggesting no risk of the economy overheating with a rate cut [2] Impact on Financial Institutions - A rate cut to approximately 3.00% would benefit Americans in the lower half of the "K-shaped economy," as current Fed policy rates are deemed too tight for small banks, businesses, and households without assets [3] - Lower interest rates would steepen the yield curve, encouraging small banks to lend more, which could lead to higher economic growth [3] Stock Market Valuation - A reduction in interest rates would likely relieve pressure on stock market valuation multiples, which have been affected by concerns over AI [4] - According to the Gordon Growth Model, justified P/E multiples are influenced by interest rate levels and terminal growth rates, meaning lower rates would increase the justified P/E multiple [5] Company-Specific Analysis: American Airlines Group Inc. (AAL) - American Airlines is identified as one of the 15 most undervalued NASDAQ stocks, but faced a downgrade from Rothschild & Co Redburn to Neutral with a target price of $12.50 due to the US-Iran war impacting fuel costs [9] - Goldman Sachs raised its Q2 Brent crude oil price forecast by approximately 15% to $76 per barrel, warning that prolonged conflict could push prices to around $100 per barrel, significantly affecting AAL's operating margins [10] - AAL's fuel expenses accounted for roughly 20% of its revenue in 2025, and a 15% increase in oil prices could reduce operating margins by 3 percentage points, while a 52% increase could reduce margins by 10 percentage points [10] Company-Specific Analysis: CarGurus Inc. (CARG) - CarGurus is also listed among the 15 most undervalued NASDAQ stocks, with Oppenheimer reducing its target price by 5% to $38 while maintaining an Outperform rating [12][13] - The decline in CarGurus' stock price, down approximately 18% year-to-date, is attributed to the AI disruption narrative affecting tech and software valuations [13] - Oppenheimer sees potential upside for CarGurus due to new products and features that leverage the company's scale, leading to high incremental margins [14] - Management's 2026 revenue guidance indicates that subscription upgrades and higher new-product attach rates will enhance average revenue per subscribing dealer [15]

Group 1 - A hacking group named ShinyHunters claimed to have stolen 12.4 million to 12.5 million records from CarGurus, a car shopping site, and subsequently published the data [2][3] - The compromised data includes names, physical addresses, email addresses, IP addresses, and phone numbers [3] - ShinyHunters has a history of data breaches, including a previous incident involving Google, where they accessed a Salesforce database through social engineering tactics [7] Group 2 - The reported data breach at CarGurus is part of a broader trend of data breaches affecting various companies, including Conduent Business Services, which impacted over 25 million individuals [9] - PayPal also experienced a data exposure incident affecting about 100 customers due to an error in its loan application process [9]

Core Insights - CarGurus experienced a significant data breach affecting 12.5 million customer accounts, with sensitive information such as names, email addresses, phone numbers, and physical addresses stolen [1][2][3] Group 1: Data Breach Details - The breach was attributed to the ShinyHunters hacking group, known for their social engineering tactics [2] - The compromised data included user account ID mappings, finance pre-qualification application data, and dealer account and subscription information [3] Group 2: Industry Context - This incident marks the second automotive-related data breach reported by Have I Been Pwned in the current year, following a breach involving CarMax that affected approximately 431,000 unique email addresses [4]

Financial Performance - CarGurus reported a 14% increase in annual revenue for 2025, totaling $907 million, with Q4 revenue at $241.09 million, reflecting a year-over-year growth of 5.49% [1] - International revenue surged by 32% in Q4, supported by a record expansion of the dealer network, adding 1,357 paying US dealers and achieving a 14% increase in international accounts [2][1] Strategic Decisions - The company decided to wind down the 'car offer' business in Q4, incurring $13.3 million in related expenditures [2] - CarGurus launched more new products than in any previous year to enhance dealer workflows and consumer digital deal capabilities, focusing on long-term growth and doubling the Total Addressable Market (TAM) through new software and data intelligence tools [2] Future Outlook - For Q1 2026, CarGurus provided positive revenue guidance, projecting growth between 13% to 16% [4] - The company anticipates a margin compression of 1.5 to 2.5 percentage points as it prioritizes investments in international expansion, account management, and technology over short-term margin maximization [4] Business Model - CarGurus operates an online automotive platform for buying and selling vehicles, generating revenue through dealer subscription fees, advertising from auto manufacturers and other brand advertisers, and partnerships with financing services companies [5]

Group 1 - The core focus of BAD BEAT Investing is to provide high-quality research and investment opportunities, emphasizing both long and short trades for short- and medium-term investments [1] - Quad 7 Capital, the team behind BAD BEAT Investing, consists of 7 analysts with diverse expertise in business, policy, economics, mathematics, game theory, and sciences [1] - The service aims to educate investors on trading strategies, offering tools such as chat rooms, daily analyst summaries, and options trading education [1] Group 2 - BAD BEAT Investing has a proven track record, having been predominantly long (95%) and short (5%) since May 2020, following a significant market call in February 2020 [1] - The investment approach includes a focus on income generation, special situations, and momentum trades, with clear entry and exit targets provided [1] - The service is designed to save time for investors by delivering in-depth research and actionable trade ideas on a weekly basis [1]

Core Viewpoint - The stock market in 2026 is characterized as volatile, presenting a favorable environment for stock-picking, with the S&P 500 maintaining levels close to last year's highs while large companies experience fluctuations [1] Group 1: Market Analysis - The S&P 500 index is holding close to last year's highs, indicating a stable yet volatile market environment [1] - The current market conditions are seen as an opportunity for selective investment strategies, particularly in technology sectors [1] Group 2: Analyst Background - Gary Alexander has extensive experience in covering technology companies on Wall Street and has worked in Silicon Valley, providing insights into industry trends [1] - He has been a contributor to Seeking Alpha since 2017 and has been featured in various web publications, indicating a strong presence in financial analysis [1]