WallStSmart

KAR Auction Services Inc (KAR)vsRush Enterprises B Inc (RUSHB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rush Enterprises B Inc generates 292% more annual revenue ($7.43B vs $1.90B). KAR leads profitability with a 9.0% profit margin vs 3.5%. KAR appears more attractively valued with a PEG of 1.34. KAR earns a higher WallStSmart Score of 65/100 (B-).

KAR

Strong Buy

65

out of 100

Grade: B-

Growth: 7.3Profit: 6.5Value: 9.3Quality: 5.0

RUSHB

Hold

43

out of 100

Grade: D

Growth: 2.7Profit: 5.5Value: 4.7Quality: 5.8
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KARUndervalued (+24.2%)

Margin of Safety

+24.2%

Fair Value

$40.72

Current Price

$30.88

$9.84 discount

UndervaluedFair: $40.72Overvalued
RUSHBSignificantly Overvalued (-194.0%)

Margin of Safety

-194.0%

Fair Value

$22.24

Current Price

$63.30

$41.06 premium

UndervaluedFair: $22.24Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KAR2 strengths · Avg: 9.0/10
EPS GrowthGrowth
108.3%10/10

Earnings expanding 108.3% YoY

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

RUSHB1 strengths · Avg: 8.0/10
Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Areas to Watch

KAR1 concerns · Avg: 4.0/10
P/E RatioValuation
35.5x4/10

Premium valuation, high expectations priced in

RUSHB4 concerns · Avg: 2.5/10
Profit MarginProfitability
3.5%3/10

3.5% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
2.742/10

Expensive relative to growth rate

Revenue GrowthGrowth
-11.8%2/10

Revenue declined 11.8%

Comparative Analysis Report

WallStSmart Research

Bull Case : KAR

The strongest argument for KAR centers on EPS Growth, Price/Book. PEG of 1.34 suggests the stock is reasonably priced for its growth.

Bull Case : RUSHB

The strongest argument for RUSHB centers on Price/Book.

Bear Case : KAR

The primary concerns for KAR are P/E Ratio.

Bear Case : RUSHB

The primary concerns for RUSHB are Profit Margin, Piotroski F-Score, PEG Ratio. Thin 3.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

KAR carries more volatility with a beta of 1.25 — expect wider price swings.

KAR is growing revenue faster at 8.4% — sustainability is the question.

KAR generates stronger free cash flow (111M), providing more financial flexibility.

Monitor AUTO & TRUCK DEALERSHIPS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

KAR scores higher overall (65/100 vs 43/100). Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

KAR Auction Services Inc

CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA

KAR Auction Services, Inc. provides used vehicle auctions and related vehicle remarketing services for the automotive industry in the United States, Europe, Canada, Mexico, and the United Kingdom. The company is headquartered in Carmel, Indiana.

Rush Enterprises B Inc

CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA

Rush Enterprises, Inc. is an integrated retailer of commercial vehicles and related services in the United States. The company is headquartered in New Braunfels, Texas.

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