CARSCars.com Inc.

$9.74-18% 1Y

Is it safe?

Mixed

Nothing alarming, nothing pristine: comfortable debt (A) and big price swings.

1 to watch, 1 neutral, 4 without data
Credit gradeAderived · Jun 30, 2026

Investment-grade balance sheet. A rule of thumb on leverage, not a credit rating.

Drawdown risk47% volderived · Oct 8, 2026

Large price swings, high volatility. Worst drawdown -89% · now 28% below its 52-week high.

Where this answer is blind. Altman sits structurally low for utilities and pipelines; Beneish runs high for fast growers, since sales growth alone lifts it; banks and REITs are excluded.

Can CARS take a bad year?

Cars.com Inc. carries $414M of net debt at 2.63× EBITDA: a load its earnings can carry.

$414M

Net debt · as at Q2 2026 · between two and four years of EBITDA, normal for a stable business

Net debt / EBITDA
2.63×

Net debt / EBITDA · 2.73× a year ago · the load is coming down

Debt / equity
1.01×

Debt / equity

Annualised volatility
47%

Annualised volatility · roughly twice as jumpy as the market

Details›
Total debtQ2 2026
$447M
Cash and short-term investments
$33M
Net debt
$414M
EBITDA, trailing twelve months
$157M
Operating profit, trailing twelve months
$83M
Debt / equity
1.01×
Total debt / EBITDA
2.85×
Annualised volatilitytwo years of daily moves
47%
Worst drawdown on file
−89%
Below its 52-week high
28%

Balance sheet from SEC filings; drawdown and volatility from end-of-day closes; Altman Z from the filed statements.