DA Davidson Forecasts Strong Price Appreciation for Carvana (NYSE:CVNA) Stock

Carvana (NYSE:CVNA) had its price objective increased by research analysts at DA Davidson from $260.00 to $380.00 in a report issued on Thursday,Benzinga reports. The brokerage presently has a “neutral” rating on the stock. DA Davidson’s price objective suggests a potential upside of 3.15% from the company’s current price.

Other research analysts also recently issued reports about the stock. Evercore ISI raised their price objective on shares of Carvana from $295.00 to $305.00 and gave the stock an “in-line” rating in a research report on Tuesday, June 24th. JMP Securities lifted their target price on shares of Carvana from $440.00 to $460.00 and gave the company a “market outperform” rating in a report on Thursday. Oppenheimer raised shares of Carvana from a “market perform” rating to an “outperform” rating and set a $450.00 target price on the stock in a report on Friday, July 25th. Gordon Haskett initiated coverage on shares of Carvana in a report on Monday, July 14th. They issued a “hold” rating and a $329.00 target price on the stock. Finally, William Blair reaffirmed an “outperform” rating on shares of Carvana in a report on Wednesday, July 23rd. Six investment analysts have rated the stock with a hold rating and thirteen have issued a buy rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $379.65.

Carvana Stock Performance

Shares of CVNA stock opened at $368.39 on Thursday. The firm’s 50 day moving average price is $333.58 and its 200-day moving average price is $267.43. The company has a debt-to-equity ratio of 2.51, a quick ratio of 2.70 and a current ratio of 4.00. Carvana has a one year low of $118.50 and a one year high of $413.33. The firm has a market cap of $78.89 billion, a P/E ratio of 92.33, a P/E/G ratio of 1.47 and a beta of 3.57.

Carvana (NYSE:CVNA) last released its earnings results on Wednesday, July 30th. The company reported $1.28 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.09 by $0.19. Carvana had a net margin of 3.46% and a return on equity of 40.57%. The company had revenue of $4.84 billion for the quarter, compared to analyst estimates of $4.54 billion. During the same period in the prior year, the business earned ($0.05) EPS. The firm’s quarterly revenue was up 41.9% on a year-over-year basis. As a group, equities research analysts predict that Carvana will post 2.85 EPS for the current year.

Insider Activity

In other Carvana news, CEO Ernest C. Garcia III sold 2,700 shares of the company’s stock in a transaction dated Thursday, July 31st. The shares were sold at an average price of $403.83, for a total value of $1,090,341.00. Following the sale, the chief executive officer owned 591,440 shares of the company’s stock, valued at $238,841,215.20. This represents a 0.45% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, major shareholder Ernest C. Garcia II sold 50,000 shares of the company’s stock in a transaction dated Wednesday, July 30th. The shares were sold at an average price of $332.21, for a total transaction of $16,610,500.00. Following the completion of the sale, the insider directly owned 35,342,792 shares in the company, valued at $11,741,228,930.32. This trade represents a 0.14% decrease in their position. The disclosure for this sale can be found here. Insiders sold 2,343,765 shares of company stock worth $780,120,744 in the last ninety days. Insiders own 17.12% of the company’s stock.

Institutional Trading of Carvana

Several institutional investors and hedge funds have recently modified their holdings of the business. Hilltop National Bank acquired a new position in shares of Carvana in the second quarter valued at approximately $25,000. Brooklyn Investment Group raised its position in shares of Carvana by 961.5% in the first quarter. Brooklyn Investment Group now owns 138 shares of the company’s stock valued at $29,000 after buying an additional 125 shares during the last quarter. N.E.W. Advisory Services LLC acquired a new position in shares of Carvana in the first quarter valued at approximately $33,000. SJS Investment Consulting Inc. raised its position in shares of Carvana by 960.0% in the second quarter. SJS Investment Consulting Inc. now owns 106 shares of the company’s stock valued at $36,000 after buying an additional 96 shares during the last quarter. Finally, LRI Investments LLC acquired a new position in shares of Carvana in the second quarter valued at approximately $42,000. Hedge funds and other institutional investors own 56.71% of the company’s stock.

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.