Stock Price Trends

Cars.com Inc (CARS)

Cars.com Inc. is a leading digital marketplace that connects car buyers and sellers, providing a comprehensive suite of solutions tailored to the automotive industry. Headquartered in Chicago, Illinois, the company leverages advanced technology and data analytics to facilitate superior customer experiences and streamline the car purchasing process. With a robust platform that includes vehicle listings, reviews, and marketplace insights, Cars.com continues to enhance its position in the rapidly evolving automotive sector, driving growth and innovation for both consumers and dealerships alike.

Stock Price Trends

Stock price trends estimated using linear regression.

Key facts

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 19.23% per annum.
  • CARS price at the close of February 18, 2026 was $11.38 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 5.27% per annum.
  • CARS price at the close of February 18, 2026 was inside the secondary price channel.
  • The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.

Linear Regression Model

Model equation:
Yi = α + β × Xi + εi

Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)

Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)

where:

i - observation number
Yi - natural logarithm of CARS price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e


Primary Trend

Start date: March 29, 2023
End date: February 18, 2026

a = 3.5117

b = -0.0006

s = 0.1275

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0006) – 1
= -19.23%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1275) – 1
= 66.52%

March 29, 2023 calculations

Top border of price channel:

Exp(Y530)
= Exp(a + b × X530 + 2 × s)
= Exp(a + b × 768 + 2 × s)
= Exp(3.5117 + -0.0006 × 768 + 2 × 0.1275)
= Exp(3.3172)
= $27.58

Bottom border of price channel:

Exp(Y530)
= Exp(a + b × X530 – 2 × s)
= Exp(a + b × 768 – 2 × s)
= Exp(3.5117 + -0.0006 × 768 – 2 × 0.1275)
= Exp(2.8072)
= $16.56

February 18, 2026 calculations

Top border of price channel:

Exp(Y1,254)
= Exp(a + b × X1,254 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(3.5117 + -0.0006 × 1,825 + 2 × 0.1275)
= Exp(2.6985)
= $14.86

Bottom border of price channel:

Exp(Y1,254)
= Exp(a + b × X1,254 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(3.5117 + -0.0006 × 1,825 – 2 × 0.1275)
= Exp(2.1886)
= $8.92

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 19.23% per annum.
  • CARS price at the close of February 18, 2026 was $11.38 and was inside the primary price channel.

Secondary Trend

Start date: March 4, 2025
End date: February 18, 2026

a = 2.2336

b = 0.0001

s = 0.0775

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0001) – 1
= 5.27%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0775) – 1
= 36.34%

March 4, 2025 calculations

Top border of price channel:

Exp(Y1,013)
= Exp(a + b × X1,013 + 2 × s)
= Exp(a + b × 1,474 + 2 × s)
= Exp(2.2336 + 0.0001 × 1,474 + 2 × 0.0775)
= Exp(2.5958)
= $13.41

Bottom border of price channel:

Exp(Y1,013)
= Exp(a + b × X1,013 – 2 × s)
= Exp(a + b × 1,474 – 2 × s)
= Exp(2.2336 + 0.0001 × 1,474 – 2 × 0.0775)
= Exp(2.2858)
= $9.83

February 18, 2026 calculations

Top border of price channel:

Exp(Y1,254)
= Exp(a + b × X1,254 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(2.2336 + 0.0001 × 1,825 + 2 × 0.0775)
= Exp(2.6452)
= $14.09

Bottom border of price channel:

Exp(Y1,254)
= Exp(a + b × X1,254 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(2.2336 + 0.0001 × 1,825 – 2 × 0.0775)
= Exp(2.3352)
= $10.33

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 5.27% per annum.
  • CARS price at the close of February 18, 2026 was inside the secondary price channel.