What happened Shares of Cars.com (NYSE: CARS) resisted the negative economic sentiment pervading the broader market and jumped by more than 20% at the market open Thursday. As of 11:20 a.m. EDT, shares remained up by about 16%. The automotive marketplace platform operator provided preliminary third-quarter results, and received two analyst upgrades on the news. So what At the midpoint of its expected revenue range for the third quarter, the company forecasts a 40% jump in sales compared to the second quarter. Image source: Getty Images. Management also said it expects adjusted EBITDA margins to be between 33% and 34%, compared to 23% for the previous quarter. Though it still expects a net loss of between $10 million and $12 million, the company attributed that mainly to a $31 million non-cash charge related to income tax on an impairment recorded earlier in the year. Now what The preliminary results prompted two analyst firms to lift their ratings on Cars.com to a buy, and to set new price targets on the stock well above Wednesday's closing price of $8.01 a share. B. Riley FBR and Craig-Hallum issued new price targets of $11 and $14, respectively. In the note explaining its upgrade, B. Riley FBR pointed to the growth of Cars.com's dealer network and its debt-reduction efforts. In its press release, Cars.com stated that consumers are embracing its platform as a tool to connect to car dealers digitally, reflecting a trend toward greater e-commerce use that has been seen across many segments during the pandemic. The company realized net growth of almost 100 dealer customers during the quarter, and paid down approximately $48 million in debt. 10 stocks we like better than Cars.com Inc.When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Cars.com Inc. wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of September 24, 2020 Howard Smith has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.Source