CARG - CarGurus Sinks Despite Topping Q2 Estimates
Shares of CarGurus, Inc. (NASDAQ: CARG), an online platform connecting buyers and sellers of both new and used cars, declined over 13% during early Friday trading, before recovering some losses, after the company announced second-quarter results.
It was a rough second quarter for the company, as expected amid COVID-19 and its economic disruptions, but CarGurus did manage to top estimates. Revenue declined 34.7% compared to the prior year, down to $94.7 million, but that managed to top analysts' estimates of $86.6 million. Adjusted earnings per share checked in at $0.19, well ahead of analysts' estimates of $0.01 per share. "Although our industry and our business are facing unprecedented uncertainty amid the COVID-19 pandemic, CarGurus generated strong results in the second quarter that demonstrate our business's flexibility and resilience," said Langley Steinert, founder and chief executive officer of CarGurus, in a press release.
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