Latest news with #MaplebearInc
Yahoo
4 days ago
- Business
- Yahoo
Maplebear Inc. (CART): A Bull Case Theory
We came across a bullish thesis on Maplebear Inc. (CART) on Chit Chat Stocks' Substack. In this article, we will summarize the bulls' thesis on CART. Maplebear Inc. (CART)'s share was trading at $47.02 as of 28th May. CART's trailing and forward P/E were 30.95 and 19.12 respectively according to Yahoo Finance. A delivery truck filled with grocery items heading to a local school. Instacart (CART) has emerged as the dominant third-party grocery delivery platform in the U.S., controlling over 70% market share among independent providers. Founded by Apoorva Mehta in 2012, the company scaled quickly by leveraging a 'ninja shopping' model—using independent shoppers to buy items in-store without grocer partnerships—and building a unique centralized SKU database. Instacart now reaches 98% of U.S. households, with approximately 8 million customers and 600,000 shoppers. The company monetizes through service and delivery fees, tips, and increasingly, advertising. Since 2021, advertising has grown rapidly and now contributes nearly $1 billion of Instacart's $3.5 billion in revenue, complementing the 6.5–7.5% take rate it earns on $34 billion in annual gross transaction volume. Ads appear across browsing, search, and post-order experiences, targeting CPG brands. Instacart boasts 75% gross margins and 24% free cash flow margins, supported by asset-light operations. Competitive concerns over Uber and DoorDash appear overstated due to Instacart's superior shopper quality and customer loyalty, particularly for large, complex grocery orders. While grocers like Walmart may pursue in-house delivery, most rely on Instacart for not only delivery but also e-commerce tools, inventory management, and white-label storefronts. CEO Fidji Simo, a former Facebook executive instrumental in its ads business, has driven growth but is departing for OpenAI. Instacart has bought back $2.2 billion in stock over two years, reducing its share count by 6%. While it lacks an impenetrable moat, Instacart occupies a sticky and underestimated strategic position in the evolving grocery and retail media ecosystem. For a comprehensive analysis of another standout stock covered by the same author, we recommend reading our summary of his bullish thesis on Airbnb, Inc. (ABNB). Since our coverage, the stock is up 1.6% as of 28th May. Maplebear Inc. (CART) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 64 hedge fund portfolios held CART at the end of the first quarter which was 60 in the previous quarter. While we acknowledge the risk and potential of CART as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than CART but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Melden Sie sich an, um Ihr Portfolio aufzurufen.
Yahoo
7 days ago
- Business
- Yahoo
Jefferies Lifts Maplebear (CART) PT to $50 on Grocery GTV Growth
On Tuesday, Jefferies raised its price target on Maplebear Inc. (NASDAQ:CART) to $50 from $48, while maintaining a Hold rating on the shares. This adjustment reflects Jefferies' analysis of Maplebear's grocery business, which indicates a path to meeting consensus gross transaction volume (GTV). The firm also sees potential for additional upside from contributions through its partnership with Uber Eats. A wide aisled grocery store stocked with natural and organic groceries and dietary supplements. Despite the positive trajectory of the grocery business, the Hold rating is maintained due to concerns about margin visibility. This caution stems from Maplebear's recent ramp-up in marketing efforts and affordability initiatives, as well as a slower-than-expected build-out of high-margin advertising revenue. In Q1 2025, Maplebear reported total revenue of $897 million, which was up 9% year-over-year, and an adjusted EBITDA of $244 million, which was up 23%. GTV reached $9.1 billion and marked a 10% year-over-year growth that was driven by a 14% increase in orders to 83.2 million. Maplebear Inc. (NASDAQ:CART) is also referred to as Instacart and provides online grocery shopping services to households in North America. While we acknowledge the potential of CART to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CART and that has 100x upside potential, check out our report about the cheapest AI stock. READ NEXT: and . Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
7 days ago
- Business
- Yahoo
Jefferies Lifts Maplebear (CART) PT to $50 on Grocery GTV Growth
On Tuesday, Jefferies raised its price target on Maplebear Inc. (NASDAQ:CART) to $50 from $48, while maintaining a Hold rating on the shares. This adjustment reflects Jefferies' analysis of Maplebear's grocery business, which indicates a path to meeting consensus gross transaction volume (GTV). The firm also sees potential for additional upside from contributions through its partnership with Uber Eats. A wide aisled grocery store stocked with natural and organic groceries and dietary supplements. Despite the positive trajectory of the grocery business, the Hold rating is maintained due to concerns about margin visibility. This caution stems from Maplebear's recent ramp-up in marketing efforts and affordability initiatives, as well as a slower-than-expected build-out of high-margin advertising revenue. In Q1 2025, Maplebear reported total revenue of $897 million, which was up 9% year-over-year, and an adjusted EBITDA of $244 million, which was up 23%. GTV reached $9.1 billion and marked a 10% year-over-year growth that was driven by a 14% increase in orders to 83.2 million. Maplebear Inc. (NASDAQ:CART) is also referred to as Instacart and provides online grocery shopping services to households in North America. While we acknowledge the potential of CART to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CART and that has 100x upside potential, check out our report about the cheapest AI stock. READ NEXT: and . Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
19-05-2025
- Business
- Yahoo
4 Stocks to Buy as Retail Sales Grow Despite Tariff Threats
U.S. retail sales slowed in April compared to the prior month. However, the sector has shown immense resilience amid price pressure and tariff threats. Retail sales grew in April, which is a positive sign for the sector and the economy. Moreover, President Donald Trump announced a temporary pause on tariffs after the United States and China reached a trade truce last weekend. Also, the White House said that more trade deals are upcoming as negotiations with other countries are ongoing. This is likely to benefit the retail sector in the near term. Given this situation, it would be ideal to invest in retail stocks. We have selected five, namely, Maplebear Inc. CART, PC Connection, Inc. CNXN, Carvana Co. CVNA and Nordstrom, Inc. JWN for investors. These stocks have seen positive earnings estimate revisions in the past 60 days, carry a Zacks Rank #1 (Strong Buy) or 2 (Buy), and are set for solid returns. You can see the complete list of today's Zacks #1 Rank stocks here. Retail sales grew 0.1% in April after an upwardly revised 1.7% jump in March, the Commerce Department said last week. Year over year, retail sales rose 5.2% in April. Sales at online stores grew 2% in April. Also, sales at food services and drinking places, the only services segment in the report, popped 1.2% in April. The retail sector has had a rough ride this year as Trump's tariffs have been weighing on consumer sentiment. Even then, the sector has managed to hold its ground and sales have been growing steadily. The meager jump in retail sales in April was mostly due to fears of tariffs as consumers tried to save more. However, sales are likely to get a boost after the United States reached trade deals with several nations. Earlier this month, Trump announced that the United States and the U.K. had reached a trade deal. Also, after weeks of tensions between Washington and Beijing, the United States and China decided to pause tariffs for 90 days and work out a deal. Treasury Secretary Scott Bessent said last week that more trade deals are likely in the coming days as negotiations continue with other countries. U.S. consumer inflation has once again started showing signs of cooling, with food prices easing. The consumer price index (CPI) rose just 0.2% in April after declining 0.1% in March for the first time since May 2020. Year over year, CPI rose 2.3%, the smallest gain since February 2021. The April reading indicates that inflation is gradually reaching the Federal Reserve's 2% target. This has raised hopes that the Federal Reserve could resume rate cuts in September. The Federal Reserve paused rate cuts this year after a 100-basis-point rate cut last year, as inflation showed signs of increasing in January. However, slowing inflation has made consumers optimistic about at least two rate cuts of 25 basis points each this year. Lower borrowing rates bode well for the retail sector and the broader economy. Maplebear Inc. is a grocery technology company principally in North America, works with grocers and retailers to transform how people shop. CART's Instacart Platform offers retailers a suite of enterprise-grade technology products and services to power their e-commerce experiences, fulfill orders, digitize brick-and-mortar stores, provide advertising services, and glean insights. Maplebear's expected earnings growth rate for the current year is 7.6%. The Zacks Consensus Estimate for current-year earnings has improved 5.6% over the past 60 days. CART currently carries a Zacks Rank #2. PC Connection is a direct marketer of brand-name personal computers and related peripherals, software, and networking products to business, education, government, and consumer end-users located primarily in the United States. PC Connectionhas an expected earnings growth rate of 6.8% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 4.2% over the past 60 days. CNXN currently carries a Zacks Rank #2. Carvana Co. is a leading e-commerce platform for buying and selling used cars. CVNA's end-to-end online business model, which covers every aspect of used-car retailing — including sales, financing, logistics, inspection and repair centers, as well as software development — has transformed traditional used-car sales in several ways. Carvana'sexpected earnings growth rate for next year is more than 100%. The Zacks Consensus Estimate for current-year earnings has improved 28.2% over the past 60 days. CVNA currently has a Zacks Rank #2. Nordstrom, Inc. is a leading fashion specialty retailer in the United States. JWN offers an extensive selection of both branded and private-label merchandise, which are positioned in the upscale segment of the industry. Nordstrom offers high-quality apparel, shoes, cosmetics and related accessories for men, women, young adults and children through a variety of channels. Nordstrom's expected earnings growth rate for the current year is 1.8%. The Zacks Consensus Estimate for current-year earnings has improved 0.9% over the past 60 days. JWN currently has a Zacks Rank #2. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Nordstrom, Inc. (JWN) : Free Stock Analysis Report PC Connection, Inc. (CNXN) : Free Stock Analysis Report Carvana Co. (CVNA) : Free Stock Analysis Report Maplebear Inc. (CART) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
16-05-2025
- Business
- Yahoo
Jim Cramer Says He's ‘Kind of Wary' of Maplebear Inc. (CART)
We recently published an article titled In this article, we are going to take a look at where Maplebear Inc. (NASDAQ:CART) stands against the other stocks Jim Cramer recently talked about. During the most recent episode of Mad Money, which aired on Monday, the 12th of May, Jim Cramer discussed the recent market rally and encouraged his viewers to stay invested. He also emphasized the importance of earnings, saying: 'Earnings matter again, okay? That's what happened last night when the United States and China reached an agreement, however temporary, to hold off trade armageddon. The rollback of the exorbitant tariffs to much more reasonable levels caused the stock market to explode.' READ ALSO: AND Although Cramer was happy about the market's recovery, he reminded his viewers that the S&P 500 is still flat on a year-to-date basis and discussed how other regions are doing: 'Now don't get me wrong, I'm glad it happened, but I just spent a week in Europe, and it is stunning how much better the markets are doing over there.' His final reminder was for his viewers to just stay invested in the market and avoid trying to time the market, saying: 'Bottom line: It's better to stay in, stay on, and let her ride than to try to pick the perfect moment to trade in and out and in and out of the stock market. By the way, that's not much of a strategy. It's more of a game of chicken where there are no winners, just losers who think they are smarter than the average bear.' For this article, we compiled a list of 10 stocks that were discussed by Jim Cramer during the Mad Money episode that aired on the 13th of May 2024. We then calculated their performance for the past 12 months, until May 13th, 2025, market close. We have also included the hedge fund sentiment for the stocks, which we sourced from Insider Monkey's Q4 2024 database of over 900 hedge funds. The stocks are listed in the order that Cramer mentioned them. Please note that this article mentions Jim Cramer's previous opinions and may not account for any changes to his opinions regarding the stocks that are mentioned. It is primarily an examination of how his previously provided opinions have panned out. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). A busy restaurant kitchen with a chef and staff rhythmically preparing food for delivery Inc. (NASDAQ:CART), was the final gig economy stock Cramer reviewed that evening. The company had recently reported a strong quarter, but its stock dropped sharply, and Cramer expressed hesitation given competitive risks. He said: "The plan worked because when Maplebear reported last Wednesday, the quarter looked awfully similar to the one everybody loved back in February. [...] The company delivered another big surprise profit, making 43 cents of earnings per share when analysts were looking for a 2 cent loss. [...] Management's guidance for the current quarter was on the high end for gross transaction volume and was flat out better than expected for EBITDA — substantially so. [...] But it eventually gave up those gains and then some, ending the day down 3.7% and then tumbling another 3.1% the following Friday. [...] The real reason I hesitate to wholeheartedly recommend Instacart's parent company is that I'm just not sure how the grocery delivery space is going to work out in the long run. [...] They need to do that because three weeks ago Amazon announced a new low-cost grocery delivery subscription for Prime customers. [...] I don't think they'll ever truly stop trying — and in the end, well, you don't want to compete against Amazon. [...] It's still too early for me to get behind this one — especially with Amazon desperate to take over the online grocery delivery space, and I think they have the horses to do it. [...] I'm kind of wary of Instacart." That wariness was unfounded, as the stock rose 27.51% over the next twelve months. Maplebear Inc. (NASDAQ:CART), the parent company of Instacart, operates a grocery technology platform that provides online ordering and delivery from supermarkets and retailers. Overall CART ranks 6th on our list of the stocks Jim Cramer recently discussed. While we acknowledge the potential of CART as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than CART but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
