BTIG analyst Marvin Fong downgraded CarGurus to Neutral from Buy, saying the stock reported "solid" Q4 results but provided "surprisingly weak" FY20 guidance of 12%-14% revenue growth vs. consensus 20.5%. The analyst cites the company's decision to reduce ad load so as to improve the user experience and also to take a " more circumspect approach to raising unit pricing" as well as the slowing additions of participating dealing. Fong adds that the outlook also assumes no increase in unit pricing and finds the guidance to be "quite conservative", but believes that CarGurus' implied mid-teen growth warrants a neutral stance.

Analyst White, along with Jeff Rubin, COO of Competition Auto Group, discusses the sector, specifically the use of digital advertising, third party sites CARS and CARG and inventory volatility on an Analyst/Industry conference call to be held on April 30 at 11 am.