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CAR Group (AU:CAR)
ASX:CAR

CAR Group (CAR) AI Stock Analysis

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AU:CAR

CAR Group

(Sydney:CAR)

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Neutral 62 (OpenAI - 5.2)
Rating:62Neutral
Price Target:
AU$24.00
▼(-1.96% Downside)
Action:ReiteratedDate:02/10/26
Overall score reflects strong underlying financial performance and profitability, tempered by weak technical conditions (price below key moving averages with negative MACD and low RSI) and a relatively high P/E that limits valuation support.
Positive Factors
High Profitability & Margins
Very high gross and operating margins reflect strong pricing power and a low-cost digital model. Durable margins provide cash flow resilience across cycles, fund product development and dealer tools, and offer a structural buffer if revenue growth slows.
Negative Factors
Declining Free Cash Flow Growth
A sustained decline in FCF growth constrains reinvestment and shareholder returns. If the -13.1% trend persists, management may need to reallocate spending, cut dividends or reduce buybacks, which would limit strategic flexibility over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
High Profitability & Margins
Very high gross and operating margins reflect strong pricing power and a low-cost digital model. Durable margins provide cash flow resilience across cycles, fund product development and dealer tools, and offer a structural buffer if revenue growth slows.
Read all positive factors

CAR Group (CAR) vs. iShares MSCI Australia ETF (EWA)

CAR Group Business Overview & Revenue Model

Company Description
CAR Group Limited operates online automotive, motorcycle, and marine classifieds business in Australia, Brazil, South Korea, Malaysia, Indonesia, Thailand, Chile, China, the United States, and Mexico. The company operates through Online Advertisin...
How the Company Makes Money
CAR primarily makes money by monetising its online automotive marketplaces through paid products and services sold to dealers, OEMs, and (in some cases) private sellers. Key revenue streams typically include: (1) dealer subscriptions and listing f...

CAR Group Financial Statement Overview

Summary
Strong profitability and operating efficiency (95.2% gross margin, 23.3% net margin, 38.9% EBIT margin, 53.4% EBITDA margin) with modest revenue growth (+3.2%). Balance sheet leverage is manageable (debt-to-equity 0.47) with a solid equity base (60.9% equity ratio), but ROE is modest (9.3%). Cash generation is solid (operating cash flow coverage 1.94; FCF/NI 0.77) though free cash flow growth declined (-13.1%).
Income Statement
85
Very Positive
Balance Sheet
78
Positive
Cash Flow
70
Positive
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue1.23B1.18B1.10B781.24M509.08M427.16M
Gross Profit891.04M1.13B769.81M550.89M377.51M327.44M
EBITDA672.51M631.75M585.49M400.36M286.32M242.10M
Net Income295.36M275.49M249.97M645.62M160.82M130.70M
Balance Sheet
Total Assets4.78B4.89B4.67B4.68B1.86B1.16B
Cash, Cash Equivalents and Short-Term Investments232.44M289.33M308.31M198.71M117.45M284.00M
Total Debt1.50B1.41B1.34B1.24B714.17M106.58M
Total Liabilities1.89B1.84B1.73B1.56B847.71M223.09M
Stockholders Equity2.82B2.98B2.88B3.07B1.01B938.74M
Cash Flow
Free Cash Flow498.96M401.22M314.39M167.38M145.67M156.46M
Operating Cash Flow507.99M520.13M416.19M254.38M193.94M189.76M
Investing Cash Flow-338.96M-214.81M-137.61M-1.57B-831.53M-54.13M
Financing Cash Flow-158.45M-331.27M-190.62M1.37B472.26M-30.08M

CAR Group Technical Analysis

Technical Analysis Sentiment
Negative
Last Price24.48
Price Trends
50DMA
25.11
Negative
100DMA
28.24
Negative
200DMA
32.54
Negative
Market Momentum
MACD
-0.76
Negative
RSI
39.54
Neutral
STOCH
59.50
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CAR, the sentiment is Negative. The current price of 24.48 is above the 20-day moving average (MA) of 23.80, below the 50-day MA of 25.11, and below the 200-day MA of 32.54, indicating a bearish trend. The MACD of -0.76 indicates Negative momentum. The RSI at 39.54 is Neutral, neither overbought nor oversold. The STOCH value of 59.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:CAR.

CAR Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
AU$20.37B18.0028.87%1.33%13.09%123.97%
62
Neutral
AU$8.53B20.2910.19%2.57%7.75%10.03%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
52
Neutral
AU$68.45M-4.52-76.28%0.72%17.24%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:CAR
CAR Group
22.54
-7.87
-25.88%
AU:REA
REA Group Ltd
154.41
-64.65
-29.51%
AU:RNT
Rent.com.au Ltd
0.06
0.04
293.33%

CAR Group Corporate Events

CAR Group Sets Dividend Reinvestment Plan Issue Price for FY26 Interim Payout
Mar 26, 2026
CAR Group Limited has set the issue price for shares to be allocated under its Dividend Reinvestment Plan at $23.409 per share for the FY26 interim dividend. The price was calculated using the volume weighted average daily price of CAR Group share...
CAR Group Seeks ASX Quotation for 47,705 Newly Issued Shares
Mar 24, 2026
CAR Group Limited has applied to the ASX for quotation of 47,705 new fully paid ordinary shares following the exercise of options or conversion of other securities, with an issue date of March 5, 2026. The relatively small share issuance marginall...
CAR Group appoints interim company secretary after Birman steps down
Feb 20, 2026
CAR Group Limited, a global operator of online vehicle marketplaces and related advertising and technology solutions, runs platforms across multiple vehicle categories and key international markets including Australia, South Korea, the U.S., Chile...
CAR Group Releases Half-Year Update and Clarifies Use of Non-IFRS Metrics
Feb 8, 2026
CAR Group Limited has released a half-year results presentation for the period ended 31 December 2025 that offers a high-level update on its business activities and financial reporting approach. The document emphasises that the material is general...
CAR Group posts strong H1 FY26 result as AI and global platforms drive growth
Feb 8, 2026
CAR Group reported a strong first half for FY26, with proforma revenue rising 13% to $626 million and proforma EBITDA up 12%, underpinned by double-digit growth across all key financial metrics and markets. Reported NPAT increased 16%, cash conver...
CAR Group declares interim dividend of AUD 0.425 per share
Feb 8, 2026
CAR Group Limited, listed on the ASX under the ticker CAR with ordinary fully paid shares, reports its financial performance on a six‑month cycle in line with standard corporate reporting periods. The company’s shareholder base is elig...
CAR Group lifts half-year profit and raises interim dividend amid ongoing expansion
Feb 8, 2026
CAR Group Limited reported an 8.0% rise in revenue from continuing operations to A$625.8 million for the half year ended 31 December 2025, with statutory net profit after tax up 16.2% to A$152.3 million and net profit attributable to members up 16...
CAR Group Tightens Governance After Late Director Trade Disclosure and Blackout-Period Breach
Feb 6, 2026
CAR Group Limited has disclosed a late lodgement of an Appendix 3Y relating to director Edwina Gilbert, after an external investment manager, acting under a discretionary mandate for a testamentary trust connected to Gilbert, acquired 690 CAR Grou...
CAR Group Sets Date to Release Half-Year 2025 Results
Jan 7, 2026
CAR Group Limited has announced it will release its financial results for the half year ended 31 December 2025 on 9 February 2026, accompanied by a results briefing hosted by managing director and CEO William Elliott the same morning. The presenta...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Feb 10, 2026