As of 2025-05-16, the Intrinsic Value of Cars.com Inc (CARS) is 20.85 USD. This Cars.com valuation is based on the model Discounted Cash Flows (Growth Exit 5Y). With the current market price of 10.86 USD, the upside of Cars.com Inc is 92%.

The range of the Intrinsic Value is 14.35 - 34.68 USD.

Is Cars.com undervalued or overvalued?

Based on its market price of 10.86 USD and our intrinsic valuation, Cars.com Inc (CARS) is undervalued by 92%.

10.86 USD

Stock Price

20.85 USD

Intrinsic Value

Intrinsic Value Details

Cars.com Intrinsic Value - Valuation Summary

	Range	Selected	Upside
a
DCF (Growth Exit 5Y)	14.35 - 34.68	20.85	92.0%
DCF (Growth Exit 10Y)	18.64 - 40.57	25.69	136.6%
DCF (EBITDA Exit 5Y)	8.68 - 19.88	12.87	18.5%
DCF (EBITDA Exit 10Y)	13.03 - 25.09	17.55	61.6%
Peter Lynch Fair Value	18.96 - 18.96	18.96	74.61%
P/E Multiples	9.68 - 11.77	10.51	-3.3%
EV/EBITDA Multiples	9.61 - 54.06	24.81	128.5%
Earnings Power Value	40.01 - 50.62	45.31	317.2%
Dividend Discount Model - Stable	6.08 - 15.84	10.96	1.0%
Dividend Discount Model - Multi Stages	7.24 - 14.97	9.80	-9.8%

Cars.com Intrinsic Value - Peers Comparison

	Range	Selected	Upside
a
Meta Platforms Inc	218.92 - 331.91	263.08	33.8%
Pinterest Inc	4.96 - 12.43	6.65	-79.4%
Match Group Inc	34.5 - 55.14	42.77	47.6%
Yandex NV	19.37 - 52.92	26.15	38.1%
CarGurus Inc	12.42 - 119.53	20.08	-39.0%
Autohome Inc	23.83 - 52.51	32.10	24.7%
IAC/Interactivecorp	27.59 - 141.17	45.94	21.3%
JOYY Inc	11.6 - 64.66	18.71	-55.0%
Momo Inc	9.8 - 16.16	12.15	96.0%
MediaAlpha Inc	19.02 - 55.72	28.32	168.1%

Cars.com Intrinsic Value - Key Valuation Metrics

Market Cap (mil)	690
Beta	1.07
Outstanding shares (mil)	64
Enterprise Value (mil)	1,095

Market risk premium	5.1%
Cost of Equity	8.5%
Cost of Debt	5%
WACC	6.7%