America's Car-Mart, Inc.
$7.37
+7.4%America's Car-Mart, Inc., through its subsidiaries, operates as an automotive retailer in the United States. It primarily sells older model used vehicles and provides financing for its customers. As of April 30, 2022, the company operated 154 dealerships in the South-Central United States. The company was founded in 1981 and is based in Rogers, Arkansas.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is compressed (P/E 3.1).
Valuation inputs: P/E 3.1, earnings yield +32.3%, momentum +7.4%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE +3.1%, ROIC +5.1%).
Profitability stack: net margin +1.3%, ROE +3.1%, ROIC +5.1%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceRisk profile is balanced but has notable pressure points to monitor.
Risk factors: liabilities/assets +64.5%, momentum +7.4%, net margin +1.3%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
America's Car-Mart, Inc. Market vs Earnings Trajectory
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America's Car-Mart, Inc. Fair Value Envelope
America's Car-Mart, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Strong gross margins indicate healthy pricing and efficient production or service delivery.
Operating Margin
Acceptable margins but limited operational leverage. Operating expense control is important.
Net Profit Margin
Minimal profitability after all expenses. Limited financial flexibility for reinvestment or shareholder returns.
Effective Tax Rate
Moderate tax rate typical for most corporations. Represents standard tax burden on profits.
Profitability Insight
Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.
America's Car-Mart, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Significant working capital drain. Growth may be consuming cash through inventory buildup or receivables extension—monitor closely.
Cash Flow Quality Insight
Cash flow concerns: Despite profitability, the company is burning cash. Review working capital management, CapEx levels, and sustainability of current operations.
America's Car-Mart, Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Acceptable liquidity, but monitor closely. Current assets just barely cover current liabilities.
Debt-to-Equity Ratio
High financial leverage. Heavy reliance on debt may indicate increased financial risk and potential solvency concerns.
Working Capital
Positive working capital, but relatively tight. The company should monitor cash flow carefully.
Asset Composition
Capital-intensive business with significant long-term investments in property, equipment, or intangibles.
America's Car-Mart, Inc. Street Expectations Map
Wall Street analysts project that CRMT stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 14.00, with estimates ranging from a low of 14.00 to a high of 14.00.
The consensus 1-year price target stands at 14.00, with estimates ranging from a low of 14.00 to a high of 14.00.
Analyst Consensus Analysis
Upside Potential
Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.
Analyst Agreement
High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.
Analyst Conviction
Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.
Market Sentiment Insight
Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.
America's Car-Mart, Inc. Insider Positioning
During the last 12 months, insiders have purchased $397K and sold $6.48M worth of CRMT shares, resulting in $6.08M of net selling activity.
3 Months
0
0.00
8.0K
100.72K
-101K
-$101K
3-6 Months
197
4.98K
0
0.00
+5K
+$5K
6-9 Months
12.0K
386.56K
7.3K
201.05K
+186K
+$186K
9-12 Months
102
5.03K
109.6K
6.17M
-6.2M
-$6.17M
Top Buyers
Fischer Jamie
Officer: Chief Operating Officer
$387K
Collins Jonathan M.
Officer: Chief Financial Officer
$10K
Top Sellers
Peterson Adam K
10 Percent Owner
$6.26M
Campbell Douglas W. Jr.
Director, Officer: President & Ceo
$139K
Fischer Jamie
Officer: Chief Operating Officer
$62K
Judy Vickie D.
Officer: Chief Accounting Officer
$18K
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $6.08M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.
Insider Participation
4 insider sellers vs. 2 buyers. More insiders selling than buying suggests cautious or negative sentiment.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
crmt Dividend History
Learning Layer
Related Guides
Build conviction on CRMT by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.