Needham & Company LLC Reiterates “Buy” Rating for Carvana (NYSE:CVNA)

Carvana (NYSE:CVNA)‘s stock had its “buy” rating reaffirmed by stock analysts at Needham & Company LLC in a research report issued on Monday,Benzinga reports. They presently have a $500.00 price objective on the stock. Needham & Company LLC’s target price suggests a potential upside of 66.19% from the company’s previous close.

CVNA has been the topic of several other research reports. DA Davidson dropped their price target on Carvana from $470.00 to $320.00 and set a “neutral” rating on the stock in a research note on Thursday, February 19th. William Blair restated an “outperform” rating on shares of Carvana in a research note on Friday. Stephens reiterated an “overweight” rating and issued a $519.00 target price on shares of Carvana in a research report on Thursday, February 19th. Citigroup cut their price target on shares of Carvana from $550.00 to $465.00 and set a “buy” rating on the stock in a report on Thursday, February 19th. Finally, Royal Bank Of Canada reduced their price target on shares of Carvana from $500.00 to $440.00 and set an “outperform” rating for the company in a research report on Thursday, February 19th. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $440.59.

Carvana Trading Up 2.8%

Shares of Carvana stock opened at $300.85 on Monday. The firm’s 50 day simple moving average is $388.30 and its two-hundred day simple moving average is $378.81. The firm has a market capitalization of $65.84 billion, a price-to-earnings ratio of 37.42 and a beta of 3.60. Carvana has a 12-month low of $148.25 and a 12-month high of $486.89. The company has a current ratio of 4.31, a quick ratio of 2.73 and a debt-to-equity ratio of 1.15.

Carvana’s stock is scheduled to split on Thursday, May 7th. The 5-1 split was announced on Friday, March 13th. The newly issued shares will be payable to shareholders after the closing bell on Wednesday, May 6th.

Carvana (NYSE:CVNA) last announced its quarterly earnings data on Wednesday, February 18th. The company reported $4.22 earnings per share for the quarter, beating analysts’ consensus estimates of $1.10 by $3.12. Carvana had a net margin of 6.92% and a return on equity of 50.96%. The firm had revenue of $5.60 billion for the quarter, compared to analyst estimates of $5.24 billion. During the same period in the previous year, the company earned $0.56 earnings per share. The business’s quarterly revenue was up 58.0% compared to the same quarter last year. Analysts predict that Carvana will post 2.85 EPS for the current year.

Insider Transactions at Carvana

In other news, VP Stephen R. Palmer sold 1,000 shares of the company’s stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $393.04, for a total transaction of $393,040.00. Following the completion of the sale, the vice president owned 37,192 shares of the company’s stock, valued at $14,617,943.68. This represents a 2.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director J Danforth Quayle sold 2,900 shares of the stock in a transaction dated Monday, March 9th. The shares were sold at an average price of $309.97, for a total transaction of $898,913.00. Following the completion of the sale, the director owned 41,913 shares of the company’s stock, valued at $12,991,772.61. This trade represents a 6.47% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 53,574 shares of company stock worth $21,463,735 in the last quarter. 16.36% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in CVNA. Federated Hermes Inc. boosted its holdings in Carvana by 124.9% in the 3rd quarter. Federated Hermes Inc. now owns 265,921 shares of the company’s stock valued at $100,316,000 after purchasing an additional 147,683 shares during the last quarter. Hudson Bay Capital Management LP lifted its holdings in Carvana by 158.0% in the second quarter. Hudson Bay Capital Management LP now owns 16,478 shares of the company’s stock valued at $5,552,000 after acquiring an additional 10,090 shares during the last quarter. Massachusetts Financial Services Co. MA grew its position in Carvana by 11.2% in the third quarter. Massachusetts Financial Services Co. MA now owns 637,462 shares of the company’s stock worth $240,476,000 after acquiring an additional 64,424 shares during the period. Strs Ohio grew its position in Carvana by 89.9% in the third quarter. Strs Ohio now owns 37,756 shares of the company’s stock worth $14,243,000 after acquiring an additional 17,878 shares during the period. Finally, Gavilan Investment Partners LLC acquired a new stake in Carvana during the third quarter worth $26,030,000. 56.71% of the stock is currently 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.