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Stock impact report

3 Profitable Stocks with Questionable Fundamentals [Yahoo! Finance]

Cars.com Inc. (CARS) 
Last cars.com inc. earnings: 2/26 07:30 am Check Earnings Report
US:NYSE Investor Relations: investor.cars.com/overview/default.aspx
Company Research Source: Yahoo! Finance
Profits are valuable, but they're not everything. At StockStory, we help you identify the companies that have real staying power. That said, here are three profitable companies that don't make the cut and some better opportunities instead. Trailing 12-Month GAAP Operating Margin: 8.1% Originally started as a joint venture between several media companies including The Washington Post and The New York Times, Cars.com (NYSE:CARS) is a digital marketplace that connects new and used car buyers and sellers. Why Are We Hesitant About CARS? Market opportunities are plateauing as its dealer customers were flat over the last two years Demand will likely be soft over the next 12 months as Wall Street's estimates imply tepid growth of 2.6% Earnings per share have dipped by 2% annually over the past three years, which is concerning because stock prices follow EPS over the long term Cars.com's stock price of $12.90 implies a valuation ratio of 5.6x forward EV/EBITDA. Check out our fr Show less Read more
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