Carvana (NYSE:CVNA) Shares Down 4.3% – What’s Next?

Carvana Co. (NYSE:CVNA) traded down 4.3% on Friday . The stock traded as low as $236.53 and last traded at $236.68. 1,011,664 shares traded hands during trading, a decline of 79% from the average session volume of 4,811,665 shares. The stock had previously closed at $247.31.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on the company. Morgan Stanley raised their target price on Carvana from $75.00 to $110.00 and gave the stock an “underweight” rating in a research report on Thursday, August 1st. Bank of America raised their price target on Carvana from $185.00 to $210.00 and gave the stock a “buy” rating in a research note on Wednesday, October 9th. Piper Sandler raised their price target on Carvana from $151.00 to $225.00 and gave the stock a “neutral” rating in a research note on Thursday. Stephens assumed coverage on Carvana in a research note on Thursday, September 12th. They set an “overweight” rating and a $190.00 price target on the stock. Finally, Jefferies Financial Group raised their price target on Carvana from $150.00 to $185.00 and gave the stock a “hold” rating in a research note on Tuesday, October 22nd. One investment analyst has rated the stock with a sell rating, ten have given a hold rating and eight have issued a buy rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $208.88.

Carvana Stock Performance

The company has a market capitalization of $49.35 billion, a price-to-earnings ratio of 24,755.76 and a beta of 3.44. The stock has a fifty day moving average price of $172.95 and a two-hundred day moving average price of $136.66. The company has a quick ratio of 2.02, a current ratio of 3.11 and a debt-to-equity ratio of 47.20.

Carvana (NYSE:CVNA) last released its quarterly earnings results on Wednesday, October 30th. The company reported $0.64 earnings per share for the quarter, topping analysts’ consensus estimates of $0.23 by $0.41. The company had revenue of $3.66 billion during the quarter, compared to analyst estimates of $3.47 billion. During the same period last year, the firm earned $0.23 earnings per share. The business’s revenue was up 31.8% compared to the same quarter last year. As a group, analysts forecast that Carvana Co. will post 0.26 EPS for the current fiscal year.

Insider Transactions at Carvana

In other news, major shareholder Ernest C. Garcia II sold 15,814 shares of the business’s stock in a transaction on Friday, October 25th. The stock was sold at an average price of $201.16, for a total value of $3,181,144.24. Following the completion of the transaction, the insider now directly owns 37,442,317 shares of the company’s stock, valued at $7,531,896,487.72. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. In related news, major shareholder Ernest C. Garcia II sold 100,000 shares of the company’s stock in a transaction on Thursday, August 15th. The stock was sold at an average price of $148.68, for a total value of $14,868,000.00. Following the completion of the transaction, the insider now directly owns 690,814 shares in the company, valued at approximately $102,710,225.52. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, major shareholder Ernest C. Garcia II sold 15,814 shares of the company’s stock in a transaction on Friday, October 25th. The shares were sold at an average price of $201.16, for a total value of $3,181,144.24. Following the completion of the transaction, the insider now owns 37,442,317 shares of the company’s stock, valued at $7,531,896,487.72. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 2,705,891 shares of company stock valued at $455,601,985 over the last three months. 17.12% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Carvana

Institutional investors have recently added to or reduced their stakes in the business. Sugarloaf Wealth Management LLC acquired a new position in Carvana in the third quarter valued at $32,000. Capital Performance Advisors LLP acquired a new stake in Carvana during the third quarter worth about $40,000. Ridgewood Investments LLC purchased a new position in shares of Carvana in the 2nd quarter worth about $32,000. Summit Securities Group LLC lifted its stake in shares of Carvana by 110.0% in the 2nd quarter. Summit Securities Group LLC now owns 300 shares of the company’s stock valued at $39,000 after purchasing an additional 3,300 shares in the last quarter. Finally, Fifth Third Bancorp grew its holdings in shares of Carvana by 450.8% during the 2nd quarter. Fifth Third Bancorp now owns 336 shares of the company’s stock worth $43,000 after purchasing an additional 275 shares during the period. 56.71% of the stock is currently owned by institutional investors and hedge funds.

Carvana Company Profile

Carvana Co, together with its subsidiaries, operates an e-commerce platform for buying and selling used cars in the United States. Its platform allows customers to research and identify a vehicle; inspect it using company's 360-degree vehicle imaging technology; obtain financing and warranty coverage; purchase the vehicle; and schedule delivery or pick-up from their desktop or mobile devices.