Cars.com Inc. cash flow to debt ratio of 32.37% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Cars.com Inc.'s free cash flow has decreased 1.45% from $149.52M last year to $147.35M, signaling decreasing performance

Cars.com Inc.'s debt to equity ratio is 1.01, which means that the company's assets are unhealthy financed, signaling financial risk.

Cars.com Inc.'s debt has increased relative to shareholder equity from 0.89 last year to 1.01 today, signaling weakened financials

Cars.com Inc. has a net debt to EBITDA ratio of 2.20x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

Cars.com Inc.'s interest coverage ratio of 5.45 indicates that earnings with good margin can cover interest payments on company debt

Cars.com Inc.'s profit margin has decreased (29.46%) in the last year from 6.70% to 4.73%, signaling decreasing performance

Cars.com Inc.'s short-term assets of $211.59M exceed its short-term liabilities of $113.39M

Cars.com Inc.'s return on assets of 3.39% is lower than the 5.00% threshold, indicating inefficient asset utilization

Cars.com Inc.'s return on equity of 7.40%, is lower than 15.00%, indicating bad performance

Cars.com Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Cars.com Inc. had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Cars.com Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Cars.com Inc. has a free cash flow yield of 21.62%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Cars.com Inc.'s yearly earnings has decreased 58.39% since last year from $48.19M to $20.05M, signaling decreasing performance

Cars.com Inc.'s yearly revenue has increased 0.57% since last year from $719.15M to $723.24M, signaling increasing performance

ROIC 5.79% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

Cars.com Inc.'s 3-year revenue CAGR of 3.42% is positive, indicating growing revenue over the past 3 years

Cars.com Inc. had revenue growth in 5 out of 5 years, indicating consistent revenue performance

Cars.com Inc. had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Cars.com Inc. is undervalued relative to its fair value price of 27.09 based on Discounted Cash Flow model

Cars.com Inc. has an earnings yield of 5.04%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Cars.com Inc. is undervalued relative to its fair value price of 15.02 based on EBITDA multiple model

Cars.com Inc. has an EV/EBITDA ratio of 5.84x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Cars.com Inc. is undervalued relative to its fair value price of 16.86 based on Earnings Fair Value model

Cars.com Inc. had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Cars.com Inc. has a price-to-book ratio of 1.54x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Cars.com Inc. has a price-to-sales ratio of 0.94x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue