Shares of Mister Car Wash (NYSE: MCW) received a significant upgrade from Zacks Research, moving from a strong sell rating to a hold rating, according to a report published on October 30, 2023. This change reflects a more optimistic view of the company’s performance amidst a backdrop of varied opinions from other financial analysts.
Multiple firms have recently weighed in on the stock. **Guggenheim** set a price target of **$8.00** and assigned a “buy” rating. In contrast, **UBS Group** lowered its target from **$7.25** to **$6.25** and maintained a “neutral” stance. **Stephens** also adjusted its outlook, upgrading Mister Car Wash from “equal weight” to “overweight” while simultaneously reducing its price objective from **$7.50** to **$6.25**. Additionally, **Mizuho** confirmed a target price of **$8.00**, and **Piper Sandler** downgraded the stock from “overweight” to “neutral,” cutting the target price from **$8.00** to **$6.00**.
Overall, the consensus surrounding Mister Car Wash remains mixed. As of now, seven analysts have assigned a buy rating, six have given a hold rating, and one has issued a sell rating. According to data from MarketBeat.com, the stock currently holds an average rating of “hold” with an average target price of **$7.23**.
Recent Earnings Results and Financial Outlook
Mister Car Wash last reported its quarterly earnings on **October 29, 2023**, revealing an earnings per share (EPS) of **$0.11**. This figure surpassed analysts’ expectations, which estimated the EPS at **$0.10**. The company generated revenue of **$263.42 million** for the quarter, exceeding the consensus estimate of **$261.47 million**.
The company achieved a return on equity of **10.49%**, with a net margin of **7.06%**. Year-over-year, quarterly revenue increased by **5.7%**, up from **$0.09** EPS reported in the same quarter last year. For the fiscal year 2025, Mister Car Wash has set guidance for an EPS between **$0.420** and **$0.430**. Analysts anticipate that the company will report an average EPS of **$0.33** for the current year.
Institutional Investor Activity
Recent activity among institutional investors indicates a growing interest in Mister Car Wash. **CIBC Bancorp USA Inc.** acquired a new position valued at approximately **$56,000** during the third quarter. Meanwhile, **PharVision Advisers LLC** boosted its holdings by **227.0%**, bringing its total to **45,428 shares** worth **$242,000** after purchasing an additional **31,534 shares**.
**Verition Fund Management LLC** also increased its stake by **73.7%**, acquiring **181,048 shares** valued at **$965,000**. **Quarry LP** raised its stake by **65.7%**, now holding **7,604 shares** valued at **$41,000**. Additionally, **Qube Research & Technologies Ltd** increased its holdings by **5.6%**, owning **2,065,264 shares** worth **$11,008,000** after acquiring **109,278 shares**.
Mister Car Wash continues to navigate a fluctuating market, balancing analyst upgrades and downgrades with positive earnings results and growing institutional interest. As the company builds its future, investors will be watching closely to see how these factors play out in its performance.
