Brightlight Capital Management LP Trims Stock Holdings in Carvana Co. $CVNA

Brightlight Capital Management LP reduced its holdings in Carvana Co. (NYSE:CVNA) by 18.0% during the fourth quarter, according to the company in its most recent filing with the SEC. The fund owned 92,800 shares of the company’s stock after selling 20,400 shares during the quarter. Carvana makes up 27.8% of Brightlight Capital Management LP’s portfolio, making the stock its biggest position. Brightlight Capital Management LP’s holdings in Carvana were worth $39,163,000 as of its most recent SEC filing.

A number of other large investors also recently modified their holdings of the business. First Horizon Corp lifted its position in shares of Carvana by 6.4% in the 4th quarter. First Horizon Corp now owns 418 shares of the company’s stock worth $176,000 after buying an additional 25 shares during the last quarter. Finivi Inc. lifted its position in shares of Carvana by 4.6% in the 4th quarter. Finivi Inc. now owns 698 shares of the company’s stock worth $295,000 after buying an additional 31 shares during the last quarter. HB Wealth Management LLC lifted its position in shares of Carvana by 1.0% in the 4th quarter. HB Wealth Management LLC now owns 3,190 shares of the company’s stock worth $1,346,000 after buying an additional 31 shares during the last quarter. Gilder Gagnon Howe & Co. LLC lifted its position in shares of Carvana by 1.7% in the 2nd quarter. Gilder Gagnon Howe & Co. LLC now owns 1,846 shares of the company’s stock worth $622,000 after buying an additional 31 shares during the last quarter. Finally, Insigneo Advisory Services LLC lifted its position in shares of Carvana by 4.8% in the 4th quarter. Insigneo Advisory Services LLC now owns 696 shares of the company’s stock worth $294,000 after buying an additional 32 shares during the last quarter. 56.71% of the stock is currently owned by institutional investors.

Trending Headlines about Carvana

Here are the key news stories impacting Carvana this week:

• Positive Sentiment: Carvana is expanding into new vehicle sales, with seven new-vehicle franchises already acquired; investors may view this as a meaningful growth opportunity that broadens the company’s addressable market. Carvana is expanding into new vehicles. The implications could reshape the U.S. automotive retail market
• Positive Sentiment: Analyst commentary remains constructive, with price targets implying notable upside and recent estimate revisions suggesting Wall Street still sees earnings growth potential for CVNA. Can Carvana (CVNA) Climb 37.01% to Reach the Level Wall Street Analysts Expect?
• Positive Sentiment: Several bullish articles argue Carvana’s turnaround is still intact, citing strong revenue growth, expanding margins, and operational efficiencies that could support further upside. Carvana: 40% Growth, Expanding Margins, And More Upside Ahead
• Neutral Sentiment: A director sold 15,000 shares, but the transaction was relatively modest versus the insider’s remaining stake and does not clearly indicate a major change in fundamentals. SEC Form 4 filing for Ira J. Platt
• Negative Sentiment: CarMax’s earnings report and commentary on continued low margins are weighing on sentiment for Carvana, since investors are extrapolating sector-wide pressure onto CVNA. Carvana Stock Falls As CarMax Warns Of Persistent Low Margins
• Negative Sentiment: Some commentary warns that the used-car market is softening and that credit-related risks could hurt margins and financing performance, which is fueling selling pressure in CVNA. CarMax Drops 7% Despite Earnings Beat, Carvana Tumbles 8% on Used-Car Margin, Credit Fears
• Negative Sentiment: Recent articles have also taken a skeptical view of Carvana’s turnaround story, arguing there may be hidden risks behind the bullish narrative. Carvana: The Turnaround Story Has A Hidden Trap

Analyst Upgrades and Downgrades

CVNA has been the topic of a number of recent research reports. JPMorgan Chase & Co. raised their price target on shares of Carvana from $91.00 to $93.00 and gave the stock an “overweight” rating in a research report on Thursday, April 30th. UBS Group reaffirmed a “buy” rating and issued a $104.00 price objective (up from $97.00) on shares of Carvana in a report on Thursday, April 30th. Royal Bank Of Canada reaffirmed an “outperform” rating and issued a $92.00 price objective on shares of Carvana in a report on Friday, June 12th. Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating and issued a $107.40 price objective on shares of Carvana in a report on Thursday, April 30th. Finally, Citigroup reaffirmed an “outperform” rating on shares of Carvana in a report on Friday, May 1st. Two investment analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $93.14.

Carvana Stock Down 10.3%

Carvana stock opened at $62.82 on Thursday. The stock has a market cap of $68.91 billion, a price-to-earnings ratio of 38.21, a PEG ratio of 11.82 and a beta of 3.45. The company has a current ratio of 4.09, a quick ratio of 2.57 and a debt-to-equity ratio of 1.05. The company’s 50-day moving average price is $71.47 and its two-hundred day moving average price is $75.19. Carvana Co. has a 52 week low of $54.46 and a 52 week high of $97.38.

Carvana (NYSE:CVNA) last released its earnings results on Wednesday, April 29th. The company reported $1.69 EPS for the quarter, beating the consensus estimate of $0.32 by $1.37. The firm had revenue of $6.43 billion for the quarter, compared to analysts’ expectations of $6.12 billion. Carvana had a net margin of 6.40% and a return on equity of 41.46%. On average, analysts expect that Carvana Co. will post 1.58 EPS for the current fiscal year.

Insider Activity

In other Carvana news, Director Ira J. Platt sold 15,000 shares of the firm’s stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $67.83, for a total transaction of $1,017,450.00. Following the transaction, the director owned 186,470 shares of the company’s stock, valued at approximately $12,648,260.10. This trade represents a 7.45% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, COO Benjamin E. Huston sold 50,000 shares of the firm’s stock in a transaction dated Wednesday, April 1st. The shares were sold at an average price of $61.97, for a total transaction of $3,098,600.00. Following the transaction, the chief operating officer directly owned 464,620 shares in the company, valued at approximately $28,793,430.64. The trade was a 9.72% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 415,812 shares of company stock worth $29,056,896 in the last 90 days. 15.19% of the stock is currently owned by corporate insiders.

Carvana Company Profile

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.