OPENLANE (KAR) Sees 2.78% Increase Over the Past Week: Key Insights to Consider
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Aug 29 2025
0mins
Source: NASDAQ.COM
Momentum Investing Overview
- Concept of Momentum Investing: This strategy involves buying stocks that are trending upwards, with the expectation that they will continue to rise. Investors aim to capitalize on established price movements for profitable trades.
- Zacks Momentum Style Score: This score helps investors identify stocks with strong momentum characteristics, addressing the challenges of defining momentum metrics.
OPENLANE (KAR) Analysis
- Current Performance: OPENLANE holds a Momentum Style Score of B and a Zacks Rank of #1 (Strong Buy). The stock has increased by 2.78% over the past week, outperforming the Zacks Automotive - Original Equipment industry, which rose by 2.27%.
- Long-Term Growth: Over the last month, KAR's shares have surged by 17.33%, significantly outpacing the industry’s 7.23%. In the past quarter, shares rose by 22.03%, and over the last year, they have skyrocketed by 67.4%, compared to the S&P 500's gains of 10.77% and 17.6%, respectively.
Trading Volume and Earnings Estimates
- Trading Volume Insights: KAR's average 20-day trading volume stands at 922,513 shares, indicating a bullish trend when combined with rising stock prices.
- Earnings Estimate Revisions: In the last two months, two earnings estimates for KAR have increased, raising the consensus estimate from $0.98 to $1.08. For the next fiscal year, two estimates have also moved upwards, with no downward revisions.
Future Outlook
- Investment Recommendation: Given its strong performance metrics and positive earnings revisions, KAR is positioned as a promising momentum stock. Investors are encouraged to consider OPENLANE for potential short-term gains.
- Semiconductor Market Growth: The global semiconductor manufacturing market is expected to grow from $452 billion in 2021 to $971 billion by 2028, indicating a significant opportunity for companies like OPENLANE that cater to emerging technologies such as AI and IoT.
Analyst Views on KAR
Wall Street analysts forecast KAR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for KAR is 31.90 USD with a low forecast of 29.00 USD and a high forecast of 35.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
3 Buy
2 Hold
0 Sell
Moderate Buy
Current: 30.880
Low
29.00
Averages
31.90
High
35.00
Current: 30.880
Low
29.00
Averages
31.90
High
35.00
About KAR
OPENLANE, Inc. provides sellers and buyers across the global wholesale used vehicle industry with technology-driven remarketing solutions. The Company offers a digital marketplace for used vehicles, connecting sellers and buyers across North America and Europe. Its end-to-end platform supports the whole car, financing, logistics and other ancillary and related services. Its segments include Marketplace and Finance. Marketplace segment serves its customer base through digital marketplaces in the United States, Canada and Europe and vehicle logistics center locations across Canada. This segment includes private label remarketing solutions, which are offered to automobile manufacturers, captive finance companies and other commercial customers to offer vehicles digitally. Through Automotive Finance Corporation, the Finance segment provides short-term, inventory-secured financing, known as floorplan financing, primarily to independent vehicle dealers throughout the United States and Canada.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
