Carriage Services (CSV) Stock Forecast & Price Target

Carriage Services Inc has shown a robust performance with a 5.2% year-over-year increase in operating revenue, primarily fueled by a significant 21.4% rise in cemetery preneed sales. The company also demonstrated strong operational efficiency, with adjusted free cash flow climbing 9.5% to $39.3 million and cash flow from operations increasing by 9.0% to $46.6 million for the first nine months of 2025. Additionally, cemetery revenue grew by 12.6%, supported by a notable increase in both the number of preneed interment rights sold and the average price per sold right, contributing to a positive financial outlook.

Carriage Services Inc. reported a 4.8% decline in funeral operating EBITDA, bringing it down to $20.6 million, alongside a significant 23.5% decrease in operating income to $17.5 million, largely due to increased impairment charges and net losses from divestitures that exceeded market expectations. Additionally, net income fell sharply by 33.4% to $6.6 million, with a corresponding decline in diluted earnings per share, suggestive of deteriorating financial health and performance relative to previous estimates and consensus. The ongoing macroeconomic pressures affecting pre-need sales, coupled with a reduction in at-need funeral volumes driven by a declining death rate since 2021, further support a negative outlook for the company's future financial performance.