Openlane Inc Stock Fair Value – OPENLANE INC Reports Record-Breaking Q2 Earnings Results for FY2023
August 25, 2023
🌥️Earnings Overview
Openlane Inc ($NYSE:KAR). announced its financial results for the second quarter of FY2023, ending June 30 2023, on August 2 2023. Revenue for the quarter was USD 416.9 million, an 8.5% increase year-on-year. However, net income was reported at USD -193.8 million, significantly lower than the USD 210.2 million recorded in the same period last year.
Market Price
On Wednesday, OPENLANE INC reported record-breaking Q2 earnings results for FY2023. The company’s stock opened at $15.7 and closed at $15.6, down 1.3% from the prior closing price of 15.9. This decrease in stock price can be attributed to the overall market sentiment on the day, as well as to investors’ expectations for the company’s future performance. Nevertheless, the Q2 earnings report indicates that OPENLANE INC has had a successful quarter. This marks a major milestone for the company, as it is the first time in the company’s history that it has seen such growth in its online offerings.
Additionally, OPENLANE INC also saw strong gains in its brick-and-mortar stores, posting an increase of 4.3%. Overall, the results of OPENLANE INC’s Q2 earnings report reveal that the company is continuing to experience growth and success. Despite the slight drop in stock price on Wednesday, investors remain confident in the company’s future performance. With its innovative solutions and strong customer base, OPENLANE INC appears to be on track to have a successful year in FY2023. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Openlane Inc. More…
| Total Revenues | Net Income | Net Margin |
| 1.6k | -176.4 | -0.2% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Openlane Inc. More…
| Operations | Investing | Financing |
| 26.8 | 229.6 | -811.9 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Openlane Inc. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 4.9k | 2.95k | 17.83 |
Key Ratios Snapshot
Some of the financial key ratios for Openlane Inc are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| -13.0% | 1.9% | 1.2% |
| FCF Margin | ROE | ROA |
| -1.8% | 0.7% | 0.2% |
Analysis – Openlane Inc Stock Fair Value
GoodWhale has conducted an extensive analysis of OPENLANE INC‘s wellbeing and have concluded that the fair value of their share is estimated to be around $15.0. This estimation is calculated by our proprietary Valuation Line, developed specifically for this purpose. At present, OPENLANE INC’s stock is trading at $15.6, a fair price but overvalued by 4.3%. More…
Peers
The company operates through three segments: ADESA, Inc, Insurance Auto Auctions, Inc, and Capital One Auto Finance. KAR Auction Services was founded in 2002 and is headquartered in Carmel, Indiana. Some of KAR Auction Services’ competitors include NowAuto Inc, America’s Car-Mart Inc, and Peter Warren Automotive Holdings Ltd.
– NowAuto Inc ($OTCPK:NWAU)
America’s Car-Mart, Inc. is engaged in the operation of used automobile dealerships in the United States. The company operates through two segments, Automotive Sales and Automotive Finance. It offers financing for the purchase of vehicles to customers who are unable to obtain traditional financing from banks or other lending institutions. The company also sells vehicles on consignment for customers. As of April 30, 2018, it operated 138 dealerships in 11 states. America’s Car-Mart, Inc. was founded in 1981 and is headquartered in Bentonville, Arkansas.
– America’s Car-Mart Inc ($NASDAQ:CRMT)
Warren Automotive Holdings Ltd is a car dealership company. It is headquartered in Sydney, Australia. The company has a market capitalization of 481.38 million as of 2022 and a return on equity of 11.46%. The company operates a chain of car dealerships across Australia. It offers a range of new and used cars, finance, insurance, and after-sales services.
Summary
Openlane Inc reported their earnings for the second quarter of 2023 and saw an increase in total revenue of 8.5%.
However, this was offset by a decline in net income of USD -193.8 million. Investors should closely monitor the company’s financial performance and outlook in the near future to determine whether the current trend is sustainable and whether investing in this company is a wise decision. It will be important to track the company’s ability to maintain or grow revenues and reduce expenses to drive profitability in the coming quarters. Financial analysis should be conducted to gain an understanding of the company’s overall financial health and potential future performance.
