Zacks Research Brokers Lower Earnings Estimates for Carvana

Carvana Co. (NYSE:CVNA) – Analysts at Zacks Research decreased their Q1 2027 EPS estimates for Carvana in a research note issued on Thursday, July 16th. Zacks Research analyst Team now anticipates that the company will post earnings per share of $0.47 for the quarter, down from their prior forecast of $0.50. Zacks Research has a “Hold” rating on the stock. The consensus estimate for Carvana’s current full-year earnings is $1.64 per share. Zacks Research also issued estimates for Carvana’s Q4 2027 earnings at $0.38 EPS, FY2027 earnings at $1.99 EPS, Q1 2028 earnings at $0.77 EPS, Q2 2028 earnings at $0.74 EPS and FY2028 earnings at $3.25 EPS.

Carvana (NYSE:CVNA) last posted 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 company had revenue of $6.43 billion during the quarter, compared to analyst estimates of $6.12 billion. Carvana had a return on equity of 41.46% and a net margin of 6.40%.

A number of other research analysts also recently commented on CVNA. DA Davidson upped their price objective on Carvana from $64.00 to $67.00 and gave the stock a “neutral” rating in a research note on Friday, May 1st. BNP Paribas Exane raised their target price on Carvana from $77.60 to $85.80 in a research note on Thursday, April 30th. Weiss Ratings reissued a “hold (c+)” rating on shares of Carvana in a report on Thursday, June 18th. Bank of America upped their price target on shares of Carvana from $72.00 to $82.00 and gave the stock a “neutral” rating in a research report on Tuesday, April 21st. Finally, 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. One analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $92.53.

Carvana Trading Up 2.4%

Shares of NYSE CVNA opened at $65.65 on Monday. Carvana has a 12-month low of $54.46 and a 12-month high of $97.38. The company has a market cap of $72.01 billion, a price-to-earnings ratio of 39.93, a price-to-earnings-growth ratio of 10.45 and a beta of 3.46. 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 stock’s 50 day simple moving average is $67.45 and its 200 day simple moving average is $71.99.

Insiders Place Their Bets

In related news, CFO Mark W. Jenkins sold 63,750 shares of the firm’s stock in a transaction that occurred on Friday, May 1st. The stock was sold at an average price of $77.44, for a total value of $4,936,672.50. Following the sale, the chief financial officer directly owned 1,050,635 shares in the company, valued at $81,359,073.13. This trade represents a 5.72% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through 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 Carvana stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $70.00, for a total value of $1,016,750.00. Following the sale, the director directly owned 214,960 shares in the company, valued at $15,047,200. The trade was a 6.33% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 396,962 shares of company stock worth $28,525,088. 15.19% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Sands Capital Management LLC lifted its stake in shares of Carvana by 44.4% in the 4th quarter. Sands Capital Management LLC now owns 2,442,534 shares of the company’s stock worth $1,030,798,000 after acquiring an additional 751,019 shares during the period. Capricorn Fund Managers Ltd acquired a new position in shares of Carvana during the first quarter valued at approximately $29,866,000. Gavilan Investment Partners LLC increased its stake in shares of Carvana by 24.6% during the fourth quarter. Gavilan Investment Partners LLC now owns 86,000 shares of the company’s stock valued at $36,294,000 after acquiring an additional 17,000 shares during the period. Goodnow Investment Group LLC raised its holdings in Carvana by 9.0% during the fourth quarter. Goodnow Investment Group LLC now owns 710,091 shares of the company’s stock worth $299,673,000 after purchasing an additional 58,828 shares in the last quarter. Finally, Hsbc Holdings PLC grew its holdings in Carvana by 239.6% during the fourth quarter. Hsbc Holdings PLC now owns 221,727 shares of the company’s stock worth $93,748,000 after acquiring an additional 156,430 shares during the period. 56.71% of the stock is owned by institutional investors and hedge funds.

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.