Dragoneer Investment Group LLC Grows Stock Position in Carvana Co. $CVNA

Dragoneer Investment Group LLC boosted its position in Carvana Co. (NYSE:CVNA) by 44.3% during the fourth quarter, Holdings Channel reports. The fund owned 979,460 shares of the company’s stock after acquiring an additional 300,539 shares during the period. Carvana comprises 9.0% of Dragoneer Investment Group LLC’s holdings, making the stock its 4th biggest holding. Dragoneer Investment Group LLC’s holdings in Carvana were worth $413,352,000 as of its most recent SEC filing.

Other institutional investors have also added to or reduced their stakes in the company. Gavilan Investment Partners LLC bought a new position in Carvana in the third quarter valued at $26,030,000. Sands Capital Management LLC increased its stake in Carvana by 44.4% in the fourth quarter. Sands Capital Management LLC now owns 2,442,534 shares of the company’s stock valued at $1,030,798,000 after acquiring an additional 751,019 shares during the last quarter. Intech Investment Management LLC boosted its position in Carvana by 301.4% during the third quarter. Intech Investment Management LLC now owns 7,230 shares of the company’s stock valued at $2,727,000 after buying an additional 5,429 shares during the period. TD Asset Management Inc boosted its position in Carvana by 5.2% during the third quarter. TD Asset Management Inc now owns 133,811 shares of the company’s stock valued at $50,479,000 after buying an additional 6,643 shares during the period. Finally, Picton Mahoney Asset Management boosted its position in Carvana by 581.4% during the third quarter. Picton Mahoney Asset Management now owns 16,491 shares of the company’s stock valued at $6,220,000 after buying an additional 14,071 shares during the period. Institutional investors own 56.71% of the company’s stock.

Analysts Set New Price Targets

Several research firms have issued reports on CVNA. Morgan Stanley upped their price target on shares of Carvana from $90.00 to $102.00 and gave the company an “overweight” rating in a research report on Thursday, April 30th. Citigroup restated an “outperform” rating on shares of Carvana in a research report on Friday, May 1st. UBS Group reiterated a “buy” rating and issued a $104.00 price objective (up from $97.00) on shares of Carvana in a research report on Thursday, April 30th. Wells Fargo & Company increased their price objective on Carvana from $85.00 to $95.00 and gave the company an “overweight” rating in a research note on Thursday, April 30th. Finally, Weiss Ratings lowered Carvana from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday, March 24th. Two equities research analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat, Carvana has an average rating of “Moderate Buy” and an average target price of $93.14.

Carvana Stock Performance

Carvana stock opened at $69.96 on Wednesday. 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 50-day moving average of $71.47 and a 200-day moving average of $75.25. The firm has a market cap of $76.73 billion, a P/E ratio of 42.55, a P/E/G ratio of 11.63 and a beta of 3.45. Carvana Co. has a 1-year low of $54.46 and a 1-year high of $97.38.

Carvana (NYSE:CVNA) last issued its quarterly earnings data on Wednesday, April 29th. The company reported $1.69 EPS for the quarter, topping the consensus estimate of $0.32 by $1.37. Carvana had a net margin of 6.40% and a return on equity of 41.46%. The business had revenue of $6.43 billion during the quarter, compared to analyst estimates of $6.12 billion. Sell-side analysts expect that Carvana Co. will post 1.58 EPS for the current year.

Carvana News Summary

Here are the key news stories impacting Carvana this week:

• Positive Sentiment: Carvana is expanding beyond used cars and has purchased seven new-vehicle franchises since last year, a move that could broaden its revenue base and potentially disrupt the traditional dealership model. Carvana is expanding into new vehicles. The implications could reshape the U.S. automotive retail market
• Positive Sentiment: Wall Street price targets imply roughly 37% upside for CVNA, and the recent trend in earnings estimate revisions suggests analysts remain constructive on the company’s outlook. Can Carvana (CVNA) Climb 37.01% to Reach the Level Wall Street Analysts Expect?
• Positive Sentiment: Market commentary has also been favorable, with Jim Cramer calling Carvana “a great buy,” which may have helped reinforce bullish sentiment among retail investors. Jim Cramer Notes “Carvana Was a Great Buy for Us”
• Neutral Sentiment: Carvana shares have been rising while the broader market has been weaker, indicating relative strength rather than a clear company-specific catalyst from the latest trading session. Carvana (CVNA) Ascends While Market Falls: Some Facts to Note
• Neutral Sentiment: A director sold 15,000 shares at $67.83, but the transaction was relatively small versus the insider’s remaining holdings and does not necessarily signal a major shift in fundamentals. SEC Form 4 filing for Ira J. Platt

Insiders Place Their Bets

In other Carvana news, CFO Mark W. Jenkins sold 63,750 shares of the firm’s stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $70.40, for a total value of $4,488,000.00. Following the completion of the sale, the chief financial officer directly owned 1,036,594 shares in the company, valued at $72,976,217.60. This trade represents a 5.79% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Stephen R. Palmer sold 5,000 shares of the firm’s stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $70.42, for a total transaction of $352,100.00. Following the completion of the sale, the vice president owned 152,955 shares of the company’s stock, valued at $10,771,091.10. This trade represents a 3.17% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 415,812 shares of company stock valued at $29,056,896 over the last ninety days. 15.19% of the stock is owned by corporate insiders.

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.