CarGurus, Inc. (CARG) vs Rush Enterprises, Inc. (RUSHB)

CarGurus, Inc. and Rush Enterprises, Inc. are both Auto & Truck Dealerships companies. Rush Enterprises, Inc. is the larger, with a market value of $3.9B against $2.8B — 1.4× the size. CarGurus, Inc. trades at the lower P/E: 16.7× against 24.4×. CarGurus, Inc. grew revenue faster over the last twelve months: 21.2% against −5.86%. CarGurus, Inc. has the higher net margin (18.2% vs 3.67%) and the higher return on invested capital (103.9% vs 9.44%). Across the 22 metrics below, CarGurus, Inc. leads on 18 and Rush Enterprises, Inc. on 4.

Valuation

Metric CARG RUSHB Auto & Truck Dealerships median
P/E 16.71 24.36 16.07
P/S 2.91 0.89 0.43
P/B 10.65 2.74 2.36
Price to free cash flow 9.67 18.46 10.48
EV/EBITDA 9.44 10.42 8.50
EV/Sales 2.79 0.91 0.89
Earnings yield 5.98% 4.11% 2.72%
Free cash flow yield 10.34% 5.42% 2.83%

Profitability

Metric CARG RUSHB Auto & Truck Dealerships median
Gross margin 92.32% 19.74% 19.56%
Operating margin 24.43% 5.13% 3.73%
Net margin 18.19% 3.67% 1.07%
Free cash flow margin 30.11% 4.83% 2.34%
Return on equity 50.28% 11.71% 10.04%
Return on assets 27.46% 5.66% 0.61%
Return on invested capital 103.85% 9.44% 6.85%

Growth

Metric CARG RUSHB Auto & Truck Dealerships median
Revenue growth (TTM) 21.24% (5.86%) 1.46%
EPS growth (last fiscal year) 675.00% (12.10%) —
Revenue growth, 5-year CAGR 10.46% 9.44% 10.46%
Net income growth, 5-year CAGR 14.99% 18.08% 0.00%

Health

Metric CARG RUSHB Auto & Truck Dealerships median
Debt to equity 0.00 0.16 0.55
Current ratio 1.85 1.45 1.15
Net debt to EBITDA (0.66) 0.23 1.34

Dividend

Metric CARG RUSHB Auto & Truck Dealerships median
Dividend yield — 1.14% 1.37%
Payout ratio 0.00 0.13 0.00

Size

Metric CARG RUSHB Auto & Truck Dealerships median
Market cap 2.76b 3.87b 2.10b

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