BTIG Reiterates Neutral Rating on America's Car-Mart (CRMT)

BTIG analyst Vincent Caintic reiterated a Neutral rating on America's Car-Mart (NASDAQ: CRMT).

The analyst comments "We came away from our field trip with America's CarMart executives with a new and positive perspective on the changes management has made to streamline its procurement, reconditioning and logistical operations. There remains much to do, which we see as offering potential upside to future quarters. Our prior skepticism about the necessity of these centralization efforts has now changed, where we now encourage management to accelerate efforts to optimize and modernize Car-Mart processes. While we now see that Car-Mart's decentralized, storebased back office operations are very inefficient, Car-Mart's current state presents significant opportunities to derisk the business, take out cost, add scalability and accelerate capital turns. Said another way, Car-Mart's changes reduce the downside risk of its operations, and should be highly accretive to earnings. We remain Neutral as we await additional evidence that mgmt's efforts are flowing through to financial results. We think Car-Mart is still in the early stages of implementing all the changes, and executing on a multitude of changes will take much effort to successfully achieve."

For an analyst ratings summary and ratings history on America's Car-Mart click here. For more ratings news on America's Car-Mart click here.

Shares of America's Car-Mart closed at $46.23 yesterday.

You May Also Be Interested In

• Analog Devices (ADI) Reiterated at Overweight by Cantor Fitzgerald: Beat and Raise Expected
• Deutsche Bank Downgrades SentinelOne Inc (S) to Hold on Valuation
• Baird removes Fresh Pick on Huntington and comments on banks