Carvana Co. (NYSE:CVNA) Receives Consensus Recommendation of “Moderate Buy” from Analysts

Carvana Co. (NYSE:CVNA) has been given a consensus recommendation of “Moderate Buy” by the twenty-five research firms that are currently covering the company, MarketBeat Ratings reports. Six research analysts have rated the stock with a hold rating and nineteen have issued a buy rating on the company. The average 12-month price objective among brokerages that have issued ratings on the stock in the last year is $446.0909.

A number of analysts recently issued reports on CVNA shares. Argus initiated coverage on Carvana in a research report on Monday, December 15th. They set a “buy” rating and a $500.00 price objective for the company. Bank of America increased their target price on shares of Carvana from $385.00 to $455.00 and gave the stock a “buy” rating in a research note on Monday, December 8th. Weiss Ratings reiterated a “hold (c)” rating on shares of Carvana in a research report on Monday, December 15th. Barclays upped their price objective on shares of Carvana from $390.00 to $465.00 and gave the stock an “overweight” rating in a report on Wednesday, December 10th. Finally, Zacks Research cut shares of Carvana from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, November 4th.

Carvana Trading Down 3.0%

CVNA opened at $451.54 on Friday. The stock has a market capitalization of $98.23 billion, a PE ratio of 103.09, a P/E/G ratio of 1.47 and a beta of 3.51. Carvana has a one year low of $148.25 and a one year high of $485.33. The company has a debt-to-equity ratio of 1.63, a quick ratio of 2.55 and a current ratio of 4.05. The business’s 50 day moving average price is $363.36 and its 200 day moving average price is $355.59.

Carvana (NYSE:CVNA) last posted its earnings results on Wednesday, October 29th. The company reported $1.03 EPS for the quarter, missing analysts’ consensus estimates of $1.29 by ($0.26). Carvana had a net margin of 3.44% and a return on equity of 30.62%. The business had revenue of $5.65 billion during the quarter, compared to analysts’ expectations of $5.04 billion. During the same quarter in the prior year, the firm earned $0.64 EPS. Carvana’s revenue for the quarter was up 54.5% compared to the same quarter last year. As a group, equities research analysts expect that Carvana will post 2.85 EPS for the current year.

Insider Buying and Selling at Carvana

In related news, insider Daniel J. Gill sold 80,000 shares of the stock in a transaction dated Monday, December 8th. The stock was sold at an average price of $439.50, for a total transaction of $35,160,000.00. Following the transaction, the insider owned 191,106 shares of the company’s stock, valued at approximately $83,991,087. This represents a 29.51% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Thomas Taira sold 30,952 shares of Carvana stock in a transaction dated Monday, December 8th. The shares were sold at an average price of $435.96, for a total value of $13,493,833.92. Following the completion of the transaction, the insider directly owned 69,880 shares of the company’s stock, valued at approximately $30,464,884.80. This represents a 30.70% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 594,332 shares of company stock valued at $240,118,193. Corporate insiders own 17.12% of the company’s stock.

Institutional Trading of Carvana

Hedge funds have recently made changes to their positions in the business. Dimensional Fund Advisors LP grew its holdings in shares of Carvana by 3.7% in the first quarter. Dimensional Fund Advisors LP now owns 537,028 shares of the company’s stock valued at $112,226,000 after purchasing an additional 19,279 shares in the last quarter. Cresset Asset Management LLC boosted its position in Carvana by 32.2% in the 1st quarter. Cresset Asset Management LLC now owns 3,347 shares of the company’s stock valued at $700,000 after buying an additional 816 shares during the period. Brooklyn Investment Group boosted its position in Carvana by 961.5% in the 1st quarter. Brooklyn Investment Group now owns 138 shares of the company’s stock valued at $29,000 after buying an additional 125 shares during the period. Northern Trust Corp grew its stake in shares of Carvana by 5.4% in the first quarter. Northern Trust Corp now owns 685,864 shares of the company’s stock worth $143,400,000 after acquiring an additional 35,168 shares in the last quarter. Finally, Wellington Management Group LLP increased its position in shares of Carvana by 470.8% during the first quarter. Wellington Management Group LLP now owns 206,702 shares of the company’s stock worth $43,217,000 after acquiring an additional 170,487 shares during the period. Institutional investors and hedge funds own 56.71% of the company’s stock.

About Carvana

Carvana Co is an online-only retailer of used vehicles that operates a consumer-facing e-commerce platform for buying and selling cars. The company markets and sells inspected, reconditioned pre-owned vehicles through its website, where shoppers can browse inventory, view detailed 360-degree photos and vehicle history reports, finance purchases, and arrange delivery or pickup. Carvana’s model is built around a digital end-to-end car buying experience that aims to simplify vehicle transactions compared with traditional dealerships.

Its products and services include direct retail sales of used cars, trade-in and purchase offers for consumer vehicles, vehicle financing and related protection products, and a seven-day return policy that allows customers to test a vehicle in everyday use.