CarGurus Inc. (NASDAQ:CARG) is one of the best stocks for beginners with little money in 2026. On February 19, CarGurus reported financial results for Q4 and the full year 2025. The full year was characterized by a 14% increase in annual revenue to $907 million, whereas quarterly revenue stood at $241.09 million and rose 5.49% year-over-year. This growth was supported by a record expansion of the dealer network, adding 1,357 paying US dealers and achieving a 14% increase in international accounts. The co ...

Core Insights - The Q3 2025 analysis by CarGurus indicates a bifurcated market where budget-conscious buyers are leaning towards older used vehicles while affluent consumers are driving demand for new luxury models [1][2] Market Dynamics - Overall demand for new and used vehicles remains robust, with a notable shift in consumer behavior in response to market changes [2] - Year-over-year sales trends reveal a significant divide between value-focused buyers and higher-income shoppers, highlighting the importance of monitoring this balance in the future [2] Used Vehicle Market - In 2025, the majority of used retail sales growth is concentrated in vehicles priced under $30,000, which accounted for approximately 73% of the year-over-year increase in used sales [5] - The growth in this segment is primarily driven by vehicles aged seven years or older [5] - Coastal states, particularly California, Florida, Texas, and Virginia, have the highest availability of used vehicles priced under $20,000, with at least 30% of listings in this range as of September [5] New Vehicle Market - Luxury vehicle sales are being propelled by affluent buyers, with nearly half of new luxury growth occurring in the $70,000 to $90,000 price range, alongside strong demand for vehicles priced at $120,000 and above [5] - European brands are leading the growth in the upper-tier market, although tariff exposure remains a concern [5] - As of September, over 40% of luxury listings were 2026 models, with an average price approximately 6% higher than comparable 2025 models [5] Electric and Hybrid Vehicles - New electric vehicle (EV) sales surged by 53% quarter-over-quarter, while used EV sales increased by 16% ahead of federal tax credit expirations [5] - Hybrid vehicle sales are also experiencing significant growth, with new hybrid sales up about 50% year-over-year, particularly in the $30,000 to $40,000 price range [5] - The outlook for hybrids may improve due to fewer upcoming EV launches and expectations of muted EV demand [5]

Group 1: Cars.com - Cars.com operates an online automotive platform offering new and used vehicle listings, expert and consumer reviews, and research tools [1] - The company has a Zacks Rank of 1 (Strong Buy) and a 7% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [1] - Cars.com has a price-to-earnings ratio (P/E) of 6.93, significantly lower than the industry average of 22.20, and possesses a Value Score of A [2] Group 2: Grupo Cibest S.A. - Grupo Cibest S.A. is Colombia's largest bank by assets, with the largest market participation in deposit products and loans [2] - The company also carries a Zacks Rank of 1 and has seen a 7% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [2] - Grupo Cibest has a P/E ratio of 7.58 compared to the industry average of 11.50, and it holds a Value Score of A [3] Group 3: Smithfield Foods, Inc. - Smithfield Foods is a pork producer and food-processing company with a Zacks Rank of 1 [3] - The company has experienced a 3% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [3] - Smithfield Foods has a P/E ratio of 9.69, which is lower than the industry average of 10.90, and it also possesses a Value Score of A [4]

Group 1: Cars.com - Cars.com operates an online automotive platform offering new and used vehicle listings, expert and consumer reviews, and research tools [1] - The company has a Zacks Rank of 1 (Strong Buy) and a Zacks Consensus Estimate for current year earnings has increased by 1.7% over the last 60 days [1] - Cars.com has a price-to-earnings ratio (P/E) of 6.9, significantly lower than the industry average of 22.80, and possesses a Value Score of A [2] Group 2: Ultrapar Participacoes - Ultrapar Participacoes is a major Brazilian industrial group, one of the largest distributors of liquefied petroleum gas in Brazil, and a leading producer of petrochemicals [2] - The company carries a Zacks Rank of 1 and has seen a 38.5% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [2] - Ultrapar has a P/E ratio of 11.49 compared to the industry average of 19.10, and also holds a Value Score of A [3] Group 3: Norwegian Cruise Line - Norwegian Cruise Line is a leading cruise line operator owning three brands: Oceania Cruises, Regent Seven Seas Cruises, and Norwegian Cruise Line [3] - The company has a Zacks Rank of 1 and a Zacks Consensus Estimate for current year earnings has increased by 1.5% over the last 60 days [3] - Norwegian Cruise Line has a P/E ratio of 12.01, lower than the industry average of 22.50, and possesses a Value Score of A [4]

Core Insights - CarGurus has announced its 11th annual Top Dealer Awards, recognizing dealerships in North America and the U.K. that excel in customer service and digital retail innovation [1][2] Group 1: Awards Overview - The Top Dealer Awards highlight dealerships that prioritize a customer-first approach, utilizing data and market intelligence to enhance the shopping experience [2] - Award categories include Top Rated Dealer, Top Value Dealer, and Top Digital Dealer, each focusing on different aspects of dealership performance [7] Group 2: Award Criteria - Top Rated Dealer recognizes dealerships with an average rating of at least 4.5 out of 5, based on a minimum of five new reviews in 2024 for U.S. dealers and four for Canadian and U.K. dealers [7] - Top Value Dealer honors the top 100 dealerships in each region with the highest percentage of inventory rated as a "Good" or "Great" deal according to CarGurus' deal rating algorithm [7] - Top Digital Dealer celebrates U.S. dealerships that provide a seamless digital retail experience, spotlighting those with the highest share of inventory available for online transactions [7] Group 3: Company Background - CarGurus is a leading online automotive platform for buying and selling vehicles, offering digital retail solutions and the CarOffer online wholesale platform [5] - The platform aims to provide consumers with confidence in their vehicle purchases and assists dealerships in pricing, marketing, and selling vehicles effectively [5] - CarGurus operates in multiple markets, including Canada and the U.K., and also manages independent online marketplaces like Autolist and PistonHeads [6]

Core Viewpoint - CarGurus, Inc. will announce its financial results for the quarter ended March 31, 2025, on May 8, 2025, after market close [1] Group 1: Financial Results Announcement - The financial results will be reported in a press release [1] - A conference call and live webcast will be held at 5:00 p.m. Eastern Time on May 8, 2025, for investors and analysts [2] - An audio replay of the call will be available from 8:00 p.m. Eastern Time on May 8, 2025, until 11:59 p.m. Eastern Time on May 22, 2025 [3] Group 2: Company Overview - CarGurus is a leading online automotive platform for buying and selling vehicles, utilizing proprietary technology and data analytics [4] - The company operates in the U.S., Canada, and the U.K., and also manages independent online marketplaces like Autolist and PistonHeads [5]