CarGurus (CARG)vsAlphabet Inc Class A (GOOGL)
CARG
CarGurus
$34.43
+3.38%
COMMUNICATION SERVICES · Cap: $2.89B
GOOGL
Alphabet Inc Class A
$338.50
+1.77%
COMMUNICATION SERVICES · Cap: $4.14T
Smart Verdict
WallStSmart Research — data-driven comparison
Alphabet Inc Class A generates 45995% more annual revenue ($445.87B vs $967.27M). GOOGL leads profitability with a 54.8% profit margin vs 18.2%. CARG appears more attractively valued with a PEG of 0.71. GOOGL earns a higher WallStSmart Score of 76/100 (B+).
CARG
Strong Buy75
out of 100
Grade: B
GOOGL
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+24.9%
Fair Value
$36.63
Current Price
$34.42
$2.21 discount
Margin of Safety
+48.8%
Fair Value
$661.47
Current Price
$338.50
$322.97 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 63 in profit
Earnings expanding 141.0% YoY
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Attractively priced relative to earnings
Strong operational efficiency at 25.3%
Mega-cap, among the largest globally
Every $100 of equity generates 38 in profit
Keeps 55 of every $100 in revenue as profit
Strong operational efficiency at 34.0%
Earnings expanding 294.0% YoY
Safe zone — low bankruptcy risk
Areas to Watch
Trading at 13.0x book value
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : CARG
The strongest argument for CARG centers on Return on Equity, EPS Growth, Altman Z-Score. Profitability is solid with margins at 18.2% and operating margin at 25.3%. Revenue growth of 13.1% demonstrates continued momentum.
Bull Case : GOOGL
The strongest argument for GOOGL centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 54.8% and operating margin at 34.0%. Revenue growth of 24.2% demonstrates continued momentum.
Bear Case : CARG
The primary concerns for CARG are Price/Book.
Bear Case : GOOGL
The primary concerns for GOOGL are Free Cash Flow.
Key Dynamics to Monitor
CARG profiles as a mature stock while GOOGL is a growth play — different risk/reward profiles.
GOOGL carries more volatility with a beta of 1.23 — expect wider price swings.
GOOGL is growing revenue faster at 24.2% — sustainability is the question.
CARG generates stronger free cash flow (94M), providing more financial flexibility.
Bottom Line
GOOGL scores higher overall (76/100 vs 75/100), backed by strong 54.8% margins and 24.2% revenue growth. CARG offers better value entry with a 24.9% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
CarGurus
COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA
CarGurus, Inc. operates an online automotive marketplace that connects buyers and sellers of new and used cars in the United States and internationally. The company is headquartered in Cambridge, Massachusetts.
Alphabet Inc Class A
COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA
Alphabet Inc. is an American multinational conglomerate headquartered in Mountain View, California. It was created through a restructuring of Google on October 2, 2015, and became the parent company of Google and several former Google subsidiaries. The two co-founders of Google remained as controlling shareholders, board members, and employees at Alphabet. Alphabet is the world's fourth-largest technology company by revenue and one of the world's most valuable companies.
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