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KAR (Openlane) GF Value Rank : 5 (As of Mar. 24, 2025)


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What is Openlane GF Value Rank?

Openlane has the GF Value Rank of 5.

GF Value Rank evaluates the exclusive GuruFocus valuation and performance of a stock, rated on a scale from 1 to 10. It is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

A higher score indicates a stock with a relatively low valuation and substantial potential for outperformance. Conversely, a lower score often reflects stocks that are either highly overvalued or deeply undervalued, both of which tend to underperform.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

Competitive Comparison of Openlane's GF Value Rank

For the Auto & Truck Dealerships subindustry, Openlane's GF Value Rank, along with its competitors' market caps and GF Value Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Openlane's GF Value Rank Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Openlane's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Openlane's GF Value Rank falls into.


Openlane GF Value Rank Related Terms

Thank you for viewing the detailed overview of Openlane's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.

Openlane Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » Openlane Inc (NYSE:KAR) » Definitions » GF Value Rank
Comparable Companies
SAH MCW DRVN ACVA CWH CARG CARS UXIN SDA CANG CVNA KMX PAG TPE:2207 LAD XBRU:DIE AN GPI ABG VVV
Traded in Other Exchanges
XKR:Germany
Address
11299 North Illinois Street, Suite 500, Carmel, IN, USA, 46032
Website
https://corporate.openlane.com
Openlane Inc provides a digital marketplace for used vehicles, connecting sellers and buyers in North America and Europe for fast and transparent transactions. Its services include financing, repossessions, repairs, transportation, warranty, and inventory management. The company operates used-vehicle auctions and has two main segments: Marketplace and Finance, with majority revenue coming from the Marketplace segment, which to used vehicle remarketing, including marketplace services, remarketing, or make ready services and all are interrelated, synergistic elements along the auto remarketing chain. The Finance segment, through AFC engaged in business of providing short-term, inventory-secured financing to independent vehicle dealers.
Executives
Brad S. Lakhia officer: EVP & CFO 19100 RIDGEWOOD PARKWAY, SAN ANTONIO TX 78259
James P Coyle officer: EVP, Chief Digital Officer 11299 NORTH ILLINOIS STREET, CARMEL IN 46032
Money James E. Ii officer: AFC President 13085 HAMILTON CROSSING BLVD., CARMEL IN 46032
Kelly Peter officer: Pres. & CEO, OPENLANE C/O KAR AUCTION SERVICES, INC., 11299 NORTH ILLINOIS STREET, CARMEL IN 46032
Michael T. Kestner director 13085 HAMILTON CROSSING BLVD., CARMEL IN 46032
J Mark Howell director C/O ANGIE'S LIST, INC., 1030 EAST WASHINGTON STREET, INDIANAPOLIS IN 46202
James P Hallett officer: CEO
Srisu Subrahmanyam officer: Pres KAR Svcs Group, EVP Ops 11299 NORTH ILLINOIS STREET, CARMEL IN 46032
Justin T. Davis officer: President of BacklotCars 11299 NORTH ILLINOIS STREET, CARMEL IN 46032
Scott A Anderson officer: Chief Accounting Officer 11299 NORTH ILLINOIS STREET, CARMEL IN 46032
Mary Ellen Smith director 11299 NORTH ILLINOIS STREET, CARMEL IN 46032
Ignition Acquisition Holdings Gp Llc 10 percent owner C/O APAX PARTNERS L.P., 601 LEXINGTON AVENUE, NEW YORK NY 10022
Ignition Acquisition Holdings Lp 10 percent owner C/O APAX PARTNERS L.P., 601 LEXINGTON AVENUE, NEW YORK NY 10017
Ignition Gp Llc 10 percent owner C/O APAX PARTNERS L.P., 601 LEXINGTON AVENUE, NEW YORK NY 10022
Ignition Parent Lp 10 percent owner C/O APAX PARTNERS L.P., 601 LEXINGTON AVENUE, NEW YORK NY 10022