Maverick Capital Ltd. Decreases Position in Carvana Co. $CVNA

Maverick Capital Ltd. decreased its holdings in Carvana Co. (NYSE:CVNA) by 9.0% in the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 420,276 shares of the company’s stock after selling 41,598 shares during the quarter. Carvana comprises about 1.5% of Maverick Capital Ltd.’s portfolio, making the stock its 28th biggest position. Maverick Capital Ltd.’s holdings in Carvana were worth $132,126,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in the business. Quantinno Capital Management LP grew its stake in shares of Carvana by 18.3% during the first quarter. Quantinno Capital Management LP now owns 48,924 shares of the company’s stock worth $15,381,000 after acquiring an additional 7,558 shares during the last quarter. Spruce House Investment Management LLC raised its position in shares of Carvana by 2.6% in the 1st quarter. Spruce House Investment Management LLC now owns 2,335,000 shares of the company’s stock valued at $734,077,000 after purchasing an additional 60,000 shares during the last quarter. Styrax Capital LP boosted its stake in Carvana by 33.2% in the 1st quarter. Styrax Capital LP now owns 300,000 shares of the company’s stock worth $94,314,000 after purchasing an additional 74,728 shares in the last quarter. OMERS ADMINISTRATION Corp boosted its stake in Carvana by 16.8% in the 1st quarter. OMERS ADMINISTRATION Corp now owns 11,244 shares of the company’s stock worth $3,535,000 after purchasing an additional 1,621 shares in the last quarter. Finally, Lombard Odier Asset Management Switzerland SA purchased a new stake in Carvana during the 1st quarter worth approximately $1,165,000. 56.71% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity

In related news, COO Benjamin E. Huston sold 50,000 shares of the business’s stock in a transaction on Friday, May 1st. The shares were sold at an average price of $76.99, for a total transaction of $3,849,600.00. Following the completion of the transaction, the chief operating officer directly owned 529,810 shares in the company, valued at $40,791,131.52. The trade was a 8.62% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director J Danforth Quayle sold 14,525 shares of the company’s stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $70.00, for a total transaction of $1,016,750.00. Following the completion of the sale, the director directly owned 214,960 shares in the company, valued at approximately $15,047,200. The trade was a 6.33% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 396,962 shares of company stock valued at $28,525,088 over the last quarter. Insiders own 15.19% of the company’s stock.

Carvana Stock Performance

CVNA opened at $63.99 on Tuesday. Carvana Co. has a 12-month low of $54.46 and a 12-month high of $97.38. 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 firm has a market capitalization of $70.19 billion, a PE ratio of 38.93, a P/E/G ratio of 13.57 and a beta of 3.46. The firm has a 50 day moving average of $66.95 and a two-hundred day moving average of $71.37.

Carvana (NYSE:CVNA) last announced its quarterly earnings data on Wednesday, April 29th. The company reported $1.69 EPS for the quarter, beating the consensus estimate of $0.32 by $1.37. The business had revenue of $6.43 billion during 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 anticipate that Carvana Co. will post 1.63 EPS for the current year.

Analysts Set New Price Targets

A number of brokerages have issued reports on CVNA. Robert W. Baird set a $88.00 price target on shares of Carvana in a research note on Friday, May 15th. Needham & Company LLC reiterated a “buy” rating and set a $120.00 price objective on shares of Carvana in a research note on Friday, June 5th. BNP Paribas Exane boosted their price objective on shares of Carvana from $77.60 to $85.80 in a report on Thursday, April 30th. UBS Group reissued a “buy” rating and issued a $104.00 target price (up from $97.00) on shares of Carvana in a research report on Thursday, April 30th. Finally, Citizens Jmp raised their target price on Carvana from $92.00 to $103.00 and gave the stock a “market outperform” rating in a research note on Friday, May 1st. One research analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating and six have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $92.65.

Carvana 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.