CARG (CarGurus) ROCE %: 48.24% (As of Mar. 2026)


CARG CarGurus Inc CARG
84 GF Score
Price $31.20
GF Value $40.21
Valuation Modestly Undervalued
! 3 Warning Signs
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What is CarGurus ROCE %?

CarGurus CARG +2.50% 84 ROCE % is 48.24% as of Mar. 2026. GuruFocus rates CARG with a GF Score™ of 84/100 and a GF Value™ of $40.21 (Modestly Undervalued). The stock has 3 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. CarGurus's annualized ROCE % for the quarter that ended in Mar. 2026 was 48.24%.


CarGurus  (NAS:CARG) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.


CarGurus ROCE % Related Terms


CarGurus ROCE % Historical Data

* Premium members only.

The historical data trend for CarGurus's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

CarGurus ROCE % Chart

CarGurus Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.78 13.65 14.75 22.00 37.89

CarGurus Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 30.56 35.62 36.59 63.86 48.24
CARG
84GF Score
CarGurus Inc CARG
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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CarGurus ROCE % Calculation

CarGurus's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=244.944/( ( (824.536 - 93.051) + (661.897 - 100.539) )/ 2 )
=244.944/( (731.485+561.358)/ 2 )
=244.944/646.4215
=37.89 %

CarGurus's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=237.12/( ( (661.897 - 100.539) + (519.613 - 97.951) )/ 2 )
=237.12/( ( 561.358 + 421.662 )/ 2 )
=237.12/491.51
=48.24 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 48.24% mean?
CarGurus (CARG) has a ROCE % of 48.24% as of Mar. 2026.
Is CarGurus' ROCE % too high?
CarGurus' current ROCE % is 48.24%. The Vehicles & Parts industry median ROCE % is 7.94. CarGurus' value of 48.24% is 507.6% above this industry median. Overall, CarGurus has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does CarGurus' ROCE % compare to SAH and MCW?
CarGurus' ROCE % of 48.24% can be compared against companies in the Vehicles & Parts industry. The industry median ROCE % is 7.94. CarGurus' value of 48.24% is 507.6% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Vehicles & Parts company?
The median ROCE % among Vehicles & Parts companies is 7.94, based on 1,319 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. CarGurus's current ROCE % of 48.24% is 507.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Vehicles & Parts industry, the median ROCE % is 7.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CarGurus's current ROCE % is 48.24%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CarGurus stock overvalued right now?
Based on GuruFocus' analysis, CarGurus (CARG) is currently considered Modestly Undervalued. The stock's GF Value™ is $40.21, compared to a current price of $31.20 — trading 22.4% below its estimated fair value. The current ROCE % is 48.24% and 507.6% above the Vehicles & Parts industry median of 7.94. CarGurus' overall GF Score™ is 84/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For CarGurus (CARG), the current ROCE % is 48.24% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is CarGurus (CARG) Overvalued in 2026?

Based on GuruFocus' analysis, CarGurus stock appears to be undervalued. The current stock price of $31.20 is trading 22.4% below its estimated GF Value™ of $40.21. GuruFocus considers CarGurus to be Modestly Undervalued.

Key valuation signals for CARG:

  • ROCE %: 48.24%
  • GF Value™: $40.21 vs. price of $31.20 (22.4% below fair value)
  • GF Score™: 84/100 with 3 warning signs
  • Industry Position: 507.6% above the Vehicles & Parts median

No single metric tells the full story. See the CARG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


CarGurus Business Description

Address 1001 Boylston Street, 16th Floor, Boston, MA, USA, 02115
CarGurus Inc is a company that acts as an online automotive marketplace connecting buyers and sellers of new and used cars. It provides three types of marketplace Listing products, Restricted Listings, and Enhanced or Featured Listings, through which it offers real-time and historical data analyzing the connections and pricing analysis. The listing platforms offer auto manufacturers and others to buy advertising on the company's site and target consumers based on the make, model, and zip code of the cars. The company operates through two segments, namely U.S. Marketplace and Digital Wholesale. It generates maximum revenue from the U.S. Marketplace segment. Geographically, the company derives its key revenue from the United States and the rest from international markets.
84GF Score

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ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$31.20
Price
$40.21
GF Value