America's Car-Mart

Improved Underwriting And Demographic Tailwinds Will Transform Auto Retail

AnalystHighTarget

Not Invested

Community Contributor

Published

07 Sep 25

Updated

12 Dec 25

n/a

AnalystHighTarget's Fair Value

n/a

-56.2%

-7.1%

-56.2%

-7.1%

You can edit this narrative until Dec 13 1:05 AM. Then, changes will post as Updates.

Author's Valuation

US$4546.2% undervalued

AnalystHighTarget Fair Value

Narrative

Updates1

Shared on 12 Dec 25

Fair value Decreased 22%

CRMT: Rising Credit Losses Will Be Outweighed By Future Earnings Power

Analysts have trimmed their price target on America's Car-Mart from 58.00 dollars to 45.00 dollars, reflecting expectations for stronger top line growth but lower profit margins and a more conservative future earnings multiple. What's in the News Reported second quarter net charge offs of $106.3 million, up from $100.1 million in the first quarter, highlighting rising credit losses in the portfolio (Key Developments) Entered into an agreement for a $300 million senior secured term loan credit facility maturing October 30, 2030, bolstering liquidity and funding capacity (Key Developments) Valuation Changes The fair value estimate has fallen significantly from $58.00 to $45.00 per share.

AnalystHighTarget Fair Value

US$45

46.2% undervalued

Future estimation in

% p.a.

Decrease

Increase

Current revenue growth rate

3.56%

Specialty Stores revenue growth rate

0.29%

Risk Level (Discount Rate)

Our default considers factors like the company's size, volatility, profitablity and country of operation.

Decrease

Increase

Current discount rate

12.50%

Calculation

US$40.41m

Earnings '28

13.35x

PE Ratio '28

US$539.67m

Market Cap '28

US$539.67m

Market Cap '28

8.42m

No. shares '28

US$64.07

Share Price '28

US$64.07 Share Price '28

Discounted to 2025 @ 12.50% p.a.

US$45.00

Fair Value '25