Fund Manager Summary
The fund managers believe that CAR Group Limited presents a significant opportunity for growth, particularly as the US RV market is likely troughing, suggesting potential for recovery. In their opinion, this recovery could lead to material upside leverage for the company as market conditions improve. Additionally, the fund managers note that Brazil remains in structural growth, with various strategies in place to mitigate any cyclical weakness. Overall, the positive performance of CAR Group, evidenced by a 12.6% increase in share price, reinforces their confidence in its long-term prospects.
Source: Trading View
Commentary From The Managers
Subscribe To Unlock
Date
Price
Summary
Unlock Recent Updates With ThesisTracker Pro
Don’t let information asymmetry undermine your investment returns. Join other engaged investors on ThesisTracker Pro.
Pendal Group
30 Sept 2025
$36.78
Summary
- Pendal Group continues to hold a positive outlook on CAR Group Limited.
- CAR is considered one of the better classifieds in the market.
- The company has a deep moat due to its technology and incumbency.
- It is one of the few classifieds successfully diversified internationally.
- CAR's approach to international expansion is incremental, allowing them to understand markets before full investment.
- The management team is described as passionate and strong.
- CAR operates under a capital-light structure, which is favorable.
- Despite a maturing growth rate, CAR is seen as a consistent grower with multiple levers for growth.
- Pendal Group views CAR as a core buy.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Text:
Text:
Text:
Summary
-
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua, ut enim ad minim veniam.
-
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat, sed ut perspiciatis unde omnis iste.
-
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur, at vero eos et accusamus et iusto odio dignissimos.pedita.
Updates are made available to members within 12 hours in accordance with the ThesisTracker Pro Service Level Agreement.
Please note: The completeness, accuracy or current status of the investments referenced are not guaranteed.
Commentary From The Managers
Pendal Group
30 Sept 2025
$36.78
- Pendal Group continues to hold a positive outlook on CAR Group Limited.
- CAR is considered one of the better classifieds in the market.
- The company has a deep moat due to its technology and incumbency.
- It is one of the few classifieds successfully diversified internationally.
- CAR's approach to international expansion is incremental, allowing them to understand markets before full investment.
- The management team is described as passionate and strong.
- CAR operates under a capital-light structure, which is favorable.
- Despite a maturing growth rate, CAR is seen as a consistent grower with multiple levers for growth.
- Pendal Group views CAR as a core buy.
Summary
Antares Capital
30 Sept 2025
$36.78
- Antares Capital notes a decline in CAR Group Limited shares despite no new company-specific information.
- Two key issues influencing sentiment towards CAR include:
- Losses in the car financing market, which CAR is not exposed to, although it has a US business focused on Recreational Vehicles.
- Discussions around AI potentially disrupting classifieds markets, including cars, which are seen as generic products.
- Antares Capital believes AI is more likely to help CAR than hinder it, although this is still an early stage development worth monitoring.
Summary
Blackwattle Investment Partners
30 Sept 2025
$36.78
- Blackwattle Investment Partners views CAR Group Limited as a core buy.
- The business is considered very special due to its unique technological development.
- Local technology development has created significant competitive advantages.
- CAR's ability to deploy capital globally enhances its growth potential.
- Global operations now contribute over half of the company's profitability.
- The fund manager believes CAR has a sustainable growth engine due to its scale.
- Competitive dynamics suggest a monopolistic position in several markets, especially in Australia.
- The business is well-managed with long-tenured staff, despite a current CEO transition.
- Overall, Blackwattle Investment Partners sees CAR as a strong investment opportunity.
Summary
Selector Funds Management
31 Aug 2025
$39.94
- CAR Group is a leading global online automotive marketplace, connecting buyers and sellers across various vehicle types.
- It has a strong brand recognition and high customer engagement.
- CAR Group operates internationally with a portfolio that includes Trader Interactive in the U.S., Encar in South Korea, and a significant interest in webmotors in Brazil and chileautos in Chile.
- The company continues to innovate by offering end-to-end solutions throughout the vehicle ownership lifecycle.
- It employs over 1,700 people worldwide.
- Financially, CAR Group posted strong results for the year ended June 2025, remaining a long-term 12%+ compounder.
- Concerns exist regarding high debt levels and an 80% payout ratio to shareholders.
- The CEO transition from Cameron McIntyre to William Elliott was smooth, ensuring operational continuity.
- William Elliott, with over a decade at CAR Group, is poised to drive capital allocation and portfolio management.
- In Australia, CAR Group achieved $485m revenue with a 66% EBITDA margin, enhancing consumer experience through the Merlin re-platforming project.
- CAR Group launched Bello, a new C2C payments product, enhancing transaction trust and safety.
- In Latin America, CAR Group's webmotors in Brazil and chileautos in Chile are leading players with significant growth potential.
- North America saw a revenue contribution of $308m with a 60% EBITDA margin, despite macroeconomic challenges.
- In South Korea, Encar continues to innovate with AI-driven products, enhancing operational efficiency.
- AI is a key focus for future growth, improving consumer experience and internal workflows.
- For FY26, CAR Group forecasts 12%-14% revenue growth and 10%-13% EBITDA growth.
- CAR Group has a market capitalisation of $13.5b.
Summary
Wilson Asset Management
12 June 2025
$36.58
- Wilson Asset Management recently initiated a position in CAR Group Limited.
- Concerns around the macroeconomic environment affected CAR Group's valuation earlier this year.
- These concerns were primarily focused on their US business, Trader Interactive.
- Channel checks indicate that the concerns are overblown.
- The fund manager views this as an attractive entry point for high-quality investment.
Summary
Ten Cap
31 May 2025
$35.42
- Ten Cap views the recent sell-off of CarSales (CAR) as a buying opportunity.
- Concerns regarding U.S. recession fears contributed to the stock's decline.
- Ten Cap believes that consensus estimates underestimate CAR's medium-term growth potential.
- Continued confidence in CAR's ability to recover and grow moving forward.
Summary
Yarra Capital Management
31 Jan 2025
$40.57
- Yarra Capital Management continues to hold CAR Group (CAR) due to its strong performance following a favorable inflation print in Australia.
- The likelihood of an interest rate cut at the RBA’s February meeting has positively impacted market sentiment.
- CAR reaffirmed FY25 guidance in mid-January, indicating confidence in its future prospects.
- The company shows strong growth potential across key business segments: Australia (41% revenue), Trader Interactive (25% revenue), and Webmotors (17% revenue).
- Group margins are being sustained while re-investing in the business to promote future top line growth.
Summary
Milford Asset Management
31 Jan 2025
$40.57
- CAR Group experienced a positive bounce of +12.6%, aligning with trends among high-quality growth names.
- Milford Asset Management notes that the US RV market is likely nearing a trough, indicating potential upside leverage as conditions improve.
- In Brazil, there is a structural growth trend, supported by various factors that can mitigate cyclical weaknesses.
Summary
Blackwattle Investment Partners
31 Jan 2025
$40.57
- Blackwattle Investment Partners notes that Carsales (CAR) was the largest single stock contributor to the fund’s performance in January.
- The positive performance is viewed as a reversal of December’s decline, attributed to technical factors related to index changes.
- An update from CAR highlighted expectations of good growth in revenue and profits, alongside steady margins.
- The exit from the Australian tyre business, which has struggled with profitability, is expected to benefit the overall group.
- CAR continues to strengthen its dominant market positions in Australia, the US, South Korea, and Brazil, with market shares significantly larger than competitors.
- Ongoing re-investment and innovation are enhancing the adoption of premium products and increasing online penetration.
- This strategy is solidifying CAR’s competitive advantage, drawing parallels to the success of Realestate.com.au in the property market.
Summary
Milford Asset Management
31 Dec 2024
$36.03
- Digital marketplace continues to be a focus for Milford Asset Management
- CAR Group experienced a decline of -13.2%, similar to other high-quality growth names
- Market concerns centered around US business and potential rate hikes in Brazil
- US RV market is likely troughing with potential for significant upside leverage as conditions improve
- Brazil shows structural growth with multiple factors to mitigate cyclical weakness
Summary
Blackwattle Investment Partners
31 Dec 2024
$36.03
- Carsales (CAR): Elevated into the ASX 50 Index, leading to reduced holdings from index tracking funds.
- Expectations of shallower rate cycle: Impacts new vehicle funding rates, potentially slowing recovery in Carsales USA business, Trader Interactive (TI) for recreational vehicles and Power Sports.
- Optimism for strong medium-term revenue growth: Particularly in Trader Interactive.
- Market Leadership: Trader Interactive is a clear leader with 3.0x audience leadership over its nearest vertical competitor.
- Growth opportunities: Product offerings in Trader Interactive are nascent compared to Australia, presenting avenues for revenue growth from successful Australian products like media, premium ad packages, and data.
- Expansion into new categories: Opportunity for growth in categories like Boating.
Summary
Blackwattle Investment Partners
31 Aug 2024
$37.45
- Car Group (CAR +9%) delivered a strong result, with revenue and income both up +17%.
- Blackwattle Investment Partners views Car Group as an outlier, successfully executing an international expansion strategy.
- This success contrasts with REA Group (REA) and Seek (SEK), which have incurred over $0.9bn in impairments from international investments.
- Car Group’s acquisition of Webmotors (Brazil) is highlighted as a successful case, with $442m capital deployed generating $182m revenue and $66m EBITDA.
- This implies a cash ROC of 15%, with growth exceeding double digits.
- Though it is early for Trader Interactive, Car Group’s largest acquisition to date, promising signs are evident.
- Trader Interactive is a clear leader with 3.0x audience leadership over its nearest competitor.
- There are opportunities to enhance revenue through products proven in Australia, such as media, premium ad packages, and data.
- Additionally, potential growth exists in new categories like Boating.
Summary
Yarra Capital Management
31 Aug 2024
$37.45
- Yarra Capital Management has updated its investment thesis on CAR Group (CAR), maintaining an overweight position.
- The company demonstrated solid revenue and earnings growth across all key markets despite a challenging macroeconomic climate.
- CAR's resilience is highlighted by counter-cyclical features such as increased uptake of higher-priced depth products.
- Expansion of group margins is coupled with reinvestment in the business to foster future top-line growth.
- Offshore businesses, being less mature, present further growth opportunities by applying successful strategies from the Australian market.
- CAR Group's revenue composition includes 41% from Australia, 25% from Trader Interactive, and 17% from Webmotors.
Summary
Yarra Capital Management
31 July 2024
$34.85
- Yarra Capital Management remains overweight CAR Group (CAR), recognizing strong growth potential across multiple regions.
- Strong revenues are projected from Australia (42%), Trader Interactive (25%), and Webmotors (16%).
- CAR has significantly increased investment in product development, aiming for yield growth globally.
- The company has enhanced its market position, particularly in the private segment in Australia.
- Offshore business units are less mature, suggesting further growth opportunities as they apply key learnings from Australia.
- Improved visibility on CAR’s medium-term revenue growth is noted.
- CAR's current trading multiple of 33.7-times FY25 earnings is seen as relatively undemanding given favorable market conditions.
Summary
Yarra Capital Management
30 June 2024
$34.67
- Yarra Capital Management is overweight on CAR Group (CAR), seeing strong growth potential.
- Revenue breakdown shows 42% from Australia, 25% from Trader Interactive, and 16% from Webmotors.
- Material investment has been made in product development, supporting further yield growth.
- In Australia, CAR's market position has strengthened in the private segment.
- Offshore businesses are less mature and have further growth potential by applying key learnings from Australia.
- Improved visibility on CAR's medium-term revenue growth.
- The current valuation at 33.0-times FY25 earnings is viewed as relatively undemanding given the growth tailwinds.
Summary
Please note: The completeness, accuracy or current status of the investments referenced are not guaranteed.
ANALYST INSIGHT
Equity Research Analyst
"It seems CAR Group is poised for a rebound as the US RV market appears to be nearing its trough, offering intriguing upside potential. Meanwhile, Brazil’s structural growth could act as a buffer against cyclical downturns, making this a compelling watch for savvy investors."
Last Updated: 30 Sept 2025
Query The Data
Frequently Asked Questions
Who is investing in CAR Group Limited (ASX:CAR)?
Fund managers including Milford Asset Management, Blackwattle Investment Partners, Wilson Asset Management, Yarra Capital Management, Ten Cap, Pendal Group, Antares Capital and Selector Funds Management have invested in CAR Group Limited (ASX:CAR).
Why do fund managers invest in CAR Group Limited?
Fund managers are investing in CAR Group Limited due to its strong performance in the high-quality growth sector, with a notable 12.6% increase in share price. They see potential in the US RV market, which is expected to recover, offering significant upside. Additionally, the company's operations in Brazil are positioned for structural growth, providing resilience against cyclical downturns.
What happened to CAR Group Limited (ASX:CAR)?
Fund managers are investing in CAR Group Limited due to its robust competitive position and innovative technology. The company has a strong global presence, with over half of its profitability coming from international markets, and a deep moat in technology and incumbency. Despite a maturing growth rate, CAR Group shows consistent performance with a capital-light structure and passionate management. The recent internal CEO succession is expected to maintain operational continuity. Additionally, CAR Group is leveraging AI to enhance consumer experience and operational efficiency, positioning itself for sustainable long-term growth.