Carvana Co. (CVNA) – What Are Brokerages Thinking About This Stock?

Shares of Carvana Co. (NYSE:CVNA) have earned a consensus recommendation of “Moderate Buy” from the twenty-five analysts that are presently covering the firm, Marketbeat Ratings reports. Eight equities research analysts have rated the stock with a hold recommendation, sixteen have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12 month price target among brokerages that have covered the stock in the last year is $83.04.

A number of analysts have recently issued reports on the company. Citigroup reiterated a “market outperform” rating on shares of Carvana in a research report on Monday, August 31st. Morgan Stanley set a $88.00 price objective on shares of Carvana and gave the stock an “overweight” rating in a research report on Thursday. Robert W. Baird set a $72.00 price objective on shares of Carvana in a research report on Thursday, July 30th. UBS Group reaffirmed a “buy” rating and issued a $83.00 target price on shares of Carvana in a research note on Friday, July 31st. Finally, Hovde Group lifted their target price on shares of Carvana from $39.50 to $48.00 and gave the company a “market perform” rating in a research report on Tuesday, August 4th.

Carvana Price Performance

Carvana stock traded down $1.67 during midday trading on Friday, reaching $58.95. 8,280,909 shares of the stock were exchanged, compared to its average volume of 8,775,124. Carvana has a 52 week low of $54.46 and a 52 week high of $97.38. The company has a debt-to-equity ratio of 0.94, a quick ratio of 2.33 and a current ratio of 3.93. The firm has a market cap of $64.87 billion, a PE ratio of 32.60, a PEG ratio of 1.78 and a beta of 3.55. The company’s fifty day moving average is $68.05 and its 200-day moving average is $68.58.

Carvana (NYSE:CVNA) last posted its earnings results on Wednesday, July 29th. The company reported $0.42 EPS for the quarter, topping the consensus estimate of $0.39 by $0.03. The business had revenue of $7.38 billion during the quarter, compared to analysts’ expectations of $6.90 billion. Carvana had a return on equity of 37.06% and a net margin of 6.26%. The firm’s revenue was up 52.4% on a year-over-year basis. During the same period in the previous year, the business earned $1.51 earnings per share. On average, sell-side analysts forecast that Carvana will post 1.65 EPS for the current year.

Insider Transactions at Carvana

In related news, Director Michael Maroone acquired 25,000 shares of the stock in a transaction dated Friday, July 31st. The shares were purchased at an average price of $61.80 per share, for a total transaction of $1,545,000.00. Following the transaction, the director owned 168,573 shares in the company, valued at $10,417,811.40. This represents a 17.41% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Thomas Taira sold 16,789 shares of the firm’s stock in a transaction on Monday, September 14th. The shares were sold at an average price of $70.58, for a total transaction of $1,184,967.62. Following the sale, the insider owned 366,987 shares in the company, valued at approximately $25,901,942.46. This trade represents a 4.37% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 358,161 shares of company stock worth $24,164,285. Company insiders own 15.19% of the company’s stock.

Institutional Investors Weigh In On Carvana

A number of large investors have recently added to or reduced their stakes in CVNA. TD Waterhouse Canada Inc. boosted its holdings in shares of Carvana by 13.3% in the 3rd quarter. TD Waterhouse Canada Inc. now owns 16,648 shares of the company’s stock worth $1,050,000 after purchasing an additional 1,951 shares in the last quarter. V Square Quantitative Management LLC raised its holdings in shares of Carvana by 3.2% during the 3rd quarter. V Square Quantitative Management LLC now owns 15,127 shares of the company’s stock valued at $946,000 after buying an additional 465 shares in the last quarter. Formuepleje A S purchased a new position in shares of Carvana during the 3rd quarter valued at about $334,000. Turtle Creek Wealth Advisors LLC raised its holdings in shares of Carvana by 19.6% during the 3rd quarter. Turtle Creek Wealth Advisors LLC now owns 4,095 shares of the company’s stock valued at $256,000 after buying an additional 671 shares in the last quarter. Finally, WealthPlan Investment Management LLC lifted its position in Carvana by 4.9% in the 3rd quarter. WealthPlan Investment Management LLC now owns 13,307 shares of the company’s stock worth $832,000 after buying an additional 624 shares during the last quarter. Hedge funds and other institutional investors own 56.71% of the company’s stock.

About Carvana

Carvana Co is an online used-car retailer that enables customers to research, purchase, finance, trade in and sell vehicles through its digital platform. The company’s services are designed to allow customers to complete much of the vehicle-buying process online, including selecting a vehicle, arranging financing, completing documentation and scheduling delivery or pickup.

Carvana offers a broad selection of used cars, trucks and sport utility vehicles. Its platform includes vehicle listings with photographs and inspection information, while its operations support vehicle reconditioning, logistics and customer delivery.