OPENLANE (KAR) Stock Price, News & Analysis

Company Overview

OPENLANE, Inc., together with its subsidiaries, operates as a digital marketplace for used vehicles, which connects sellers and buyers in North America, Europe, the Philippines, and Uruguay. The company operates through two segments, Marketplace and Finance. The Marketplace segment offers digital marketplace services for buying and selling used vehicles. Its digital marketplaces include OPENLANE, a mobile-app enabled solutions that allows dealers to sell and source inventory in the United States. This segment also provides value-added ancillary services, including inbound and outbound transportation logistics, reconditioning, vehicle inspection and certification, titling, administrative, and collateral recovery services. This segment sells its products and services through vehicle manufacturers, fleet companies, rental car companies, finance companies, and others. The Finance segment offers floorplan financing, a short-term inventory-secured financing to independent used vehicle dealers. The company serves commercial customers and dealer customers. The company was formerly known as KAR Auction Services, Inc. and changed its name to OPENLANE, Inc. in May 2023. OPENLANE, Inc. was incorporated in 2006 and is headquartered in Carmel, Indiana.

Key Stats

• Today's Range: $20.06 to $20.48
• 50-Day Range: $15.79 to $20.75
• 52-Week Range: $12.86 to $20.85
• Volume: 4.18 million shs
• Average Volume: 716,067 shs
• Market Capitalization: $2.17 billion
• P/E Ratio: 78.04
• Dividend Yield: N/A
• Price Target: $22.00
• Consensus Rating: Moderate Buy

OPENLANE Stock Analysis - MarketRank™

OPENLANE scored higher than 62% of companies evaluated by MarketBeat, and ranked 41st out of 90 stocks in the auto/tires/trucks sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 1.4 / 5
• Analyst Rating: Moderate Buy

Consensus Rating

OPENLANE has received a consensus rating of Moderate Buy. The company's average rating score is 2.75, and is based on 3 buy ratings, 1 hold rating, and no sell ratings.

Amount of Analyst Coverage

OPENLANE has only been the subject of 2 research reports in the past 90 days.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 13.10%

Earnings Growth

Earnings for OPENLANE are expected to grow by 13.10% in the coming year, from $0.84 to $0.95 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of OPENLANE is 78.04, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 113.39.

Price to Earnings Ratio vs. Sector

The P/E ratio of OPENLANE is 78.04, which means that it is trading at a more expensive P/E ratio than the Auto/Tires/Trucks sector average P/E ratio of about 11.32.

Price to Earnings Growth Ratio

OPENLANE has a PEG Ratio of 2.05. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

OPENLANE has a P/B Ratio of 1.65. P/B Ratios below 3 indicates that a company is reasonably valued with respect to its assets and liabilities.

Short Interest

• Score: 2.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

4.13% of the float of OPENLANE has been sold short.

Short Interest Ratio / Days to Cover

OPENLANE has a short interest ratio ("days to cover") of 7.

Change versus previous month

Short interest in OPENLANE has recently increased by 4.08%, indicating that investor sentiment is decreasing.

Dividend

• Score: 0.0 / 5
• Dividend Strength: Weak

Dividend Yield

OPENLANE does not currently pay a dividend.

Dividend Growth

OPENLANE does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of OPENLANE is 292.31%. Payout ratios above 75% are not desirable because they may not be sustainable.

Dividend Sustainability

Based on EPS estimates, OPENLANE will have a dividend payout ratio of 80.00% in the coming year. This indicates that OPENLANE may not be able to sustain their current dividend.

Sustainability and ESG

• Score: 2.1 / 5
• Environmental Score: -2.06

Percentage of Shares Shorted

4.13% of the float of OPENLANE has been sold short.

Short Interest Ratio / Days to Cover

OPENLANE has a short interest ratio ("days to cover") of 7.

Change versus previous month

Short interest in OPENLANE has recently increased by 4.08%, indicating that investor sentiment is decreasing.

News and Social Media

• Score: 2.2 / 5
• News Sentiment: 0.94

News Sentiment

OPENLANE has a news sentiment score of 0.94. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.50 average news sentiment score of Auto/Tires/Trucks companies.

News Coverage This Week

MarketBeat has tracked 3 news articles for OPENLANE this week, compared to 3 articles on an average week.

Company Ownership

• Score: 3.3 / 5
• Insider Trading: Acquiring Shares

Insider Buying vs. Insider Selling

In the past three months, OPENLANE insiders have bought more of their company's stock than they have sold. Specifically, they have bought $99,999.00 in company stock and sold $0.00 in company stock.

Percentage Held by Insiders

Only 2.32% of the stock of OPENLANE is held by insiders.

Percentage Held by Institutions

99.76% of the stock of OPENLANE is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

KAR Stock Analysis - Frequently Asked Questions

How have KAR shares performed this year?

OPENLANE's stock was trading at $14.81 on January 1st, 2024. Since then, KAR stock has increased by 37.0% and is now trading at $20.29.
View the best growth stocks for 2024 here.

How were OPENLANE's earnings last quarter?

OPENLANE, Inc. (NYSE:KAR) issued its quarterly earnings results on Wednesday, November, 6th. The specialty retailer reported $0.26 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.22 by $0.04. The company's revenue was up 7.6% compared to the same quarter last year.

Who are OPENLANE's major shareholders?

Top institutional shareholders of OPENLANE include River Road Asset Management LLC (4.66%), State Street Corp (3.88%), Geode Capital Management LLC (2.32%) and Charles Schwab Investment Management Inc. (1.62%). Insiders that own company stock include James P Hallett, Peter J Kelly, James E Money II, James P Coyle, J Mark Howell, Brad S Lakhia and Michael T Kestner.
View institutional ownership trends.

How do I buy shares of OPENLANE?

Shares of KAR stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of OPENLANE own?

Based on aggregate information from My MarketBeat watchlists, some other companies that OPENLANE investors own include NVIDIA (NVDA), Meta Platforms (META), Advanced Micro Devices (AMD), Broadcom (AVGO), Netflix (NFLX), Palo Alto Networks (PANW) and Exxon Mobil (XOM).

Company Calendar

• Last Earnings: 11/06/2024
• Today: 12/21/2024
• Fiscal Year End: 12/31/2024

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Auto/Tires/Trucks
• Industry: Automotive dealers & gasoline service stations
• Sub-Industry: Diversified Support Services
• Current Symbol: NYSE:KAR
• CUSIP: 48238T10
• CIK: 1395942
• Web: www.karauctionservices.com
• Phone: (800) 923-3725
• Fax: 317-843-4898
• Employees: 4,500
• Year Founded: N/A

Price Target and Rating

• Average Stock Price Target: $22.00
• High Stock Price Target: $25.00
• Low Stock Price Target: $20.00
• Potential Upside/Downside: +8.4%
• Consensus Rating: Moderate Buy
• Rating Score (0-4): 2.75
• Research Coverage: 4 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $0.26
• Trailing P/E Ratio: 78.04
• Forward P/E Ratio: 24.15
• P/E Growth: 2.05
• Net Income: $-154,100,000.00
• Net Margins: 4.26%
• Pretax Margin: 6.52%
• Return on Equity: 8.67%
• Return on Assets: 2.45%

Debt

• Debt-to-Equity Ratio: N/A
• Current Ratio: 1.08
• Quick Ratio: 1.08

Sales & Book Value

• Annual Sales: $1.69 billion
• Price / Sales: 1.28
• Cash Flow: $1.95 per share
• Price / Cash Flow: 10.40
• Book Value: $12.28 per share
• Price / Book: 1.65

Miscellaneous

• Outstanding Shares: 106,844,000
• Free Float: 104,365,000
• Market Cap: $2.17 billion
• Optionable: Optionable
• Beta: 1.53