Cars.com, Inc. (CARS)

Over the past six months, Cars.com's stock price has been impacted by several events. The company missed its Q2 2025 EPS and revenue forecasts, leading to a stock price drop. The company reported record total revenue for Q3 2025, with subscription-based dealer revenue up. Tobias Hartmann was named the new CEO, succeeding Alex Vetter, and Cormac Twomey was appointed Chief Technology Officer. Cars.com announced new technology and advertising solutions for auto dealers, including AI video tools and integrated wholesale options. Cars Commerce announced a collaboration with Del Grande Dealer Group (DGDG) and Salesforce to launch DealerCloud LLC, an automotive CRM solution. DA Davidson reiterated a Buy rating on Cars.com stock with a $13.50 target in November 2025. As of early February 2026, the stock price had decreased over the past six months and year.

Demand for Cars.com's products and services is influenced by trends in the automotive market and consumer behavior. The tax refund season is anticipated to bring buyers back into the market. Affordability is a central concern for consumers, and an increase in new-car inventory can lead to a shift towards a buyer's market. New-vehicle sales saw a strong stretch earlier in the year due to "pull-ahead" demand. The supply of used vehicles has diminished, and monitoring lease returns is crucial for gauging the future landscape of the used-car market. Automakers rolling out new model year inventory earlier can also influence demand patterns.

Cars.com, Inc., operating as Cars Commerce Inc., is an audience-driven technology company focused on empowering the automotive industry by simplifying the buying and selling of cars. The company operates within the automotive marketing services industry, connecting car buyers and sellers through its platforms and solutions. Its major products and brands, organized under the Cars Commerce platform, include Cars.com Marketplace, Dealer Inspire, AccuTrade, Cars Commerce Media Network, and DealerClub. The company's platform also incorporates AI-driven technologies across pretail, retail, and post-sale activities.

Cars.com, Inc. primarily serves the United States market and is expanding into Canada through acquisitions like D2C Media. Its employees are spread across the U.S., with its headquarters in Chicago, Illinois.

Cars.com maintains a strong brand reputation as the No. 1 most recognized automotive marketplace, influenced by its extensive collection of consumer reviews. Cars.com announced its annual Dealer of the Year Awards, recognizing top automotive dealers in North America based on online consumer reviews. Cars.com's Experience Report emphasized the crucial role of dealership engagement in building auto brand reputation. The launch of new AI-powered tools and solutions for auto dealers aims to improve user experience and dealer efficiency, positively impacting its reputation as an innovator.

Cars.com, Inc. is a publicly traded company with a mixed ownership structure. Approximately 62.61% of the company's stock is owned by institutional investors, 4.55% by insiders, and 32.83% by public companies and individual investors. Major institutional shareholders include FMR LLC, BlackRock, Inc., Vanguard Group Inc, Dimensional Fund Advisors LP, Hill Path Capital LP, State Street Corp, Brown Advisory Inc, and Par Capital Management Inc.