WallStSmart

CarGurus (CARG)vsMeta Platforms Inc. (META)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Meta Platforms Inc. generates 23497% more annual revenue ($228.25B vs $967.27M). META leads profitability with a 29.8% profit margin vs 18.2%. CARG appears more attractively valued with a PEG of 0.71. CARG earns a higher WallStSmart Score of 75/100 (B).

CARG

Strong Buy

75

out of 100

Grade: B

Growth: 6.0Profit: 9.5Value: 8.0Quality: 7.0
Piotroski: 5/9Altman Z: 4.31

META

Strong Buy

71

out of 100

Grade: B

Growth: 6.0Profit: 9.5Value: 8.0Quality: 7.0
Piotroski: 3/9Altman Z: 2.88
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CARGUndervalued (+24.9%)

Margin of Safety

+24.9%

Fair Value

$36.63

Current Price

$34.42

$2.21 discount

UndervaluedFair: $36.63Overvalued
METAUndervalued (+31.3%)

Margin of Safety

+31.3%

Fair Value

$943.81

Current Price

$648.03

$295.78 discount

UndervaluedFair: $943.81Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CARG6 strengths · Avg: 9.0/10
Return on EquityProfitability
62.9%10/10

Every $100 of equity generates 63 in profit

EPS GrowthGrowth
141.0%10/10

Earnings expanding 141.0% YoY

Altman Z-ScoreHealth
4.3110/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.718/10

Growing faster than its price suggests

P/E RatioValuation
16.7x8/10

Attractively priced relative to earnings

Operating MarginProfitability
25.3%8/10

Strong operational efficiency at 25.3%

META6 strengths · Avg: 9.0/10
Market CapQuality
$1.65T10/10

Mega-cap, among the largest globally

Operating MarginProfitability
34.8%10/10

Strong operational efficiency at 34.8%

Return on EquityProfitability
26.1%9/10

Every $100 of equity generates 26 in profit

Profit MarginProfitability
29.8%9/10

Keeps 30 of every $100 in revenue as profit

PEG RatioValuation
0.858/10

Growing faster than its price suggests

Revenue GrowthGrowth
28.0%8/10

Revenue surging 28.0% year-over-year

Areas to Watch

CARG1 concerns · Avg: 4.0/10
Price/BookValuation
13.0x4/10

Trading at 13.0x book value

META2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

EPS GrowthGrowth
-13.4%2/10

Earnings declined 13.4%

Comparative Analysis Report

WallStSmart Research

Bull 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 : META

The strongest argument for META centers on Market Cap, Operating Margin, Return on Equity. Profitability is solid with margins at 29.8% and operating margin at 34.8%. Revenue growth of 28.0% demonstrates continued momentum.

Bear Case : CARG

The primary concerns for CARG are Price/Book.

Bear Case : META

The primary concerns for META are Piotroski F-Score, EPS Growth.

Key Dynamics to Monitor

CARG profiles as a mature stock while META is a growth play — different risk/reward profiles.

META carries more volatility with a beta of 1.24 — expect wider price swings.

META is growing revenue faster at 28.0% — sustainability is the question.

META generates stronger free cash flow (1.7B), providing more financial flexibility.

Bottom Line

CARG scores higher overall (75/100 vs 71/100), backed by strong 18.2% margins and 13.1% revenue growth. META offers better value entry with a 31.3% 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.

Meta Platforms Inc.

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

Meta Platforms, Inc. develops products that enable people to connect and share with friends and family through mobile devices, PCs, virtual reality headsets, wearables and home devices around the world. The company is headquartered in Menlo Park, California.

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