What is Zacks Research’s Forecast for Carvana Q2 Earnings?

Carvana Co. (NYSE:CVNA) – Research analysts at Zacks Research lowered their Q2 2026 EPS estimates for Carvana in a report released on Wednesday, March 4th. Zacks Research analyst Team now expects that the company will earn $1.81 per share for the quarter, down from their prior forecast of $2.06. The consensus estimate for Carvana’s current full-year earnings is $2.85 per share. Zacks Research also issued estimates for Carvana’s Q3 2027 earnings at $2.88 EPS, Q4 2027 earnings at $1.99 EPS and FY2028 earnings at $11.80 EPS.

CVNA has been the topic of several other reports. Bank of America reduced their price objective on Carvana from $460.00 to $400.00 and set a “buy” rating on the stock in a research note on Thursday, February 19th. Stephens reiterated an “overweight” rating and issued a $519.00 target price on shares of Carvana in a report on Thursday, February 19th. Deutsche Bank Aktiengesellschaft cut their target price on Carvana from $600.00 to $519.00 and set a “buy” rating on the stock in a research report on Thursday, February 19th. Barclays decreased their price target on Carvana from $530.00 to $450.00 and set an “overweight” rating on the stock in a report on Friday, February 20th. Finally, Evercore lowered their price target on Carvana from $430.00 to $390.00 in a research report on Thursday, February 19th. One research analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $440.59.

Carvana Stock Down 4.1%

Shares of NYSE:CVNA opened at $317.69 on Friday. The company has a market cap of $69.53 billion, a price-to-earnings ratio of 39.51 and a beta of 3.60. Carvana has a 12 month low of $148.25 and a 12 month high of $486.89. The company has a current ratio of 4.31, a quick ratio of 2.73 and a debt-to-equity ratio of 1.15. The company has a 50-day moving average price of $399.42 and a 200 day moving average price of $380.02.

Carvana (NYSE:CVNA) last issued its quarterly earnings data on Wednesday, February 18th. The company reported $4.22 EPS for the quarter, topping analysts’ consensus estimates of $1.10 by $3.12. The business had revenue of $5.60 billion during the quarter, compared to analysts’ expectations of $5.24 billion. Carvana had a net margin of 6.92% and a return on equity of 50.96%. The business’s revenue was up 58.0% on a year-over-year basis. During the same period last year, the company posted $0.56 EPS.

Insider Activity

In related news, insider Thomas Taira sold 30,952 shares of the business’s stock in a transaction on Monday, December 8th. The stock was sold at an average price of $435.96, for a total transaction of $13,493,833.92. Following the completion of the transaction, the insider owned 69,880 shares in the company, valued at $30,464,884.80. The trade was a 30.70% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Paul W. Breaux sold 20,000 shares of the company’s stock in a transaction on Monday, December 8th. The shares were sold at an average price of $438.50, for a total value of $8,770,000.00. Following the completion of the transaction, the insider directly owned 69,289 shares in the company, valued at $30,383,226.50. This trade represents a 22.40% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 300,673 shares of company stock valued at $133,268,531. 17.12% of the stock is currently owned by corporate insiders.

Institutional Trading of Carvana

Several institutional investors and hedge funds have recently made changes to their positions in CVNA. Thurston Springer Miller Herd & Titak Inc. purchased a new position in Carvana in the 4th quarter worth about $29,000. Farmers & Merchants Investments Inc. bought a new stake in Carvana during the 4th quarter valued at about $29,000. Motiv8 Investments LLC purchased a new stake in Carvana in the 4th quarter valued at about $33,000. Salomon & Ludwin LLC grew its stake in Carvana by 112.5% in the 4th quarter. Salomon & Ludwin LLC now owns 85 shares of the company’s stock worth $37,000 after acquiring an additional 45 shares in the last quarter. Finally, ORG Partners LLC grew its stake in Carvana by 8,700.0% in the 3rd quarter. ORG Partners LLC now owns 88 shares of the company’s stock worth $33,000 after acquiring an additional 87 shares in the last quarter. 56.71% of the stock is currently owned by institutional investors.

Key Headlines Impacting Carvana

Here are the key news stories impacting Carvana this week:

• Positive Sentiment: Zacks says Carvana has a clear path to a 13.5% adjusted EBITDA margin over time as fixed‑cost leverage and operational efficiencies scale (Q4 dipped to 9.1%). Will Carvana’s Fixed Cost Leverage Drive Its EBITDA Margin?
• Positive Sentiment: Zacks highlights Carvana’s push toward vertical integration (in‑house reconditioning, logistics, financing) as a structural margin tailwind and notes strong customer referrals that could support market‑share gains. Will Vertical Integration Strengthen Carvana’s Prospects?
• Positive Sentiment: Wholesale used‑vehicle prices (Manheim index) rose year‑over‑year in February, which can support retail pricing and gross profit per unit as the spring selling season begins. Used vehicle prices jump ahead of spring selling season optimism
• Neutral Sentiment: Industry and analyst sentiment remains generally constructive: Carvana has a consensus rating around “Moderate Buy,” reflecting mixed analyst views on near‑term execution vs. long‑term opportunity. Carvana Receives Consensus Rating
• Negative Sentiment: Retail GPU fell in Q4 (roughly a $255 decline), and rising reconditioning and logistics costs pressured margins; management says automation/scale should help, but near‑term recovery is uncertain. Carvana’s GPU Declines in Q4: What Will Drive Improvement?
• Negative Sentiment: Several analysts have trimmed near‑term estimates and price targets (e.g., Citi cut its PT), and headlines flag a “rough start” to 2026—these revisions are weighing on sentiment and the stock. Carvana Stock Continues to Slide As Analysts Lower Price Targets
• Negative Sentiment: Zacks Research issued mixed estimate changes: small raises for some later periods but meaningful cuts to near‑term quarters (Q2 2026, Q3 2027), underscoring uncertainty over short‑term profitability.

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.