Carvana (NYSE:CVNA) Lowered to Hold Rating by Zacks Research

Zacks Research downgraded shares of Carvana (NYSE:CVNA) from a strong-buy rating to a hold rating in a research report released on Tuesday,Zacks.com reports.

Several other research analysts have also recently issued reports on CVNA. Stephens restated an “overweight” rating and issued a $440.00 target price on shares of Carvana in a report on Tuesday, September 23rd. Piper Sandler lifted their target price on shares of Carvana from $340.00 to $440.00 and gave the company an “overweight” rating in a report on Thursday, July 31st. Wells Fargo & Company lifted their target price on shares of Carvana from $390.00 to $425.00 and gave the company an “overweight” rating in a report on Thursday, July 31st. Jefferies Financial Group reiterated a “buy” rating on shares of Carvana in a research report on Thursday, October 30th. Finally, Wall Street Zen lowered shares of Carvana from a “buy” rating to a “hold” rating in a research report on Sunday, October 19th. Fourteen investment analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $415.50.

Carvana Trading Down 0.2%

Shares of CVNA stock opened at $309.20 on Tuesday. The company has a debt-to-equity ratio of 1.63, a current ratio of 4.05 and a quick ratio of 2.55. The firm has a market cap of $66.54 billion, a PE ratio of 70.59, a price-to-earnings-growth ratio of 1.12 and a beta of 3.50. The company has a 50-day moving average of $359.57 and a two-hundred day moving average of $333.26. Carvana has a 1-year low of $148.25 and a 1-year high of $413.33.

Carvana (NYSE:CVNA) last posted its quarterly earnings data on Wednesday, October 29th. The company reported $1.03 EPS for the quarter, missing the consensus estimate 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 period in the previous year, the business posted $0.64 EPS. The company’s revenue for the quarter was up 54.5% compared to the same quarter last year. On average, analysts predict that Carvana will post 2.85 EPS for the current year.

Insider Transactions at Carvana

In other Carvana news, insider Paul W. Breaux sold 15,000 shares of the stock in a transaction that occurred on Tuesday, September 9th. The shares were sold at an average price of $375.00, for a total value of $5,625,000.00. Following the completion of the sale, the insider owned 83,018 shares of the company’s stock, valued at $31,131,750. This trade represents a 15.30% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, major shareholder Ernest C. Garcia II sold 95,087 shares of the stock in a transaction that occurred on Wednesday, August 13th. The shares were sold at an average price of $349.09, for a total transaction of $33,193,920.83. Following the completion of the sale, the insider directly owned 34,442,317 shares of the company’s stock, valued at $12,023,468,441.53. This trade represents a 0.28% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 753,475 shares of company stock valued at $268,535,378 in the last three months. 17.12% of the stock is owned by company insiders.

Hedge Funds Weigh In On Carvana

Several large investors have recently added to or reduced their stakes in the company. Profund Advisors LLC lifted its stake in Carvana by 9.4% during the third quarter. Profund Advisors LLC now owns 5,348 shares of the company’s stock worth $2,017,000 after purchasing an additional 460 shares during the last quarter. Oppenheimer Asset Management Inc. raised its stake in shares of Carvana by 46.3% during the third quarter. Oppenheimer Asset Management Inc. now owns 977 shares of the company’s stock valued at $369,000 after purchasing an additional 309 shares in the last quarter. Candriam S.C.A. grew its holdings in Carvana by 11.5% during the third quarter. Candriam S.C.A. now owns 9,523 shares of the company’s stock worth $3,592,000 after acquiring an additional 982 shares during the period. Plato Investment Management Ltd grew its holdings in Carvana by 2.9% during the third quarter. Plato Investment Management Ltd now owns 3,747 shares of the company’s stock worth $1,403,000 after acquiring an additional 107 shares during the period. Finally, Smartleaf Asset Management LLC grew its holdings in Carvana by 111.2% during the third quarter. Smartleaf Asset Management LLC now owns 965 shares of the company’s stock worth $379,000 after acquiring an additional 508 shares during the period. 56.71% of the stock is currently owned by institutional investors.

Carvana Company Profile

Carvana Co, together with its subsidiaries, operates an e-commerce platform for buying and selling used cars in the United States. Its platform allows customers to research and identify a vehicle; inspect it using company's 360-degree vehicle imaging technology; obtain financing and warranty coverage; purchase the vehicle; and schedule delivery or pick-up from their desktop or mobile devices.