Carvana (NYSE:CVNA) Upgraded to “Buy” at Wall Street Zen

Wall Street Zen upgraded shares of Carvana (NYSE:CVNA) from a hold rating to a buy rating in a research note issued to investors on Saturday.

CVNA has been the subject of a number of other research reports. BTIG Research reaffirmed a “buy” rating and issued a $450.00 price target on shares of Carvana in a research note on Friday. Gordon Haskett assumed coverage on Carvana in a research note on Monday, July 14th. They issued a “hold” rating and a $329.00 price target for the company. Citigroup reaffirmed a “buy” rating on shares of Carvana in a research note on Thursday. William Blair reaffirmed an “outperform” rating on shares of Carvana in a research note on Wednesday, July 23rd. Finally, Bank of America boosted their price target on Carvana from $375.00 to $425.00 and gave the company a “buy” rating in a research note on Thursday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and six have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, Carvana has an average rating of “Moderate Buy” and an average target price of $407.44.

Carvana Trading Down 8.2%

Shares of Carvana stock opened at $330.58 on Friday. The firm has a 50-day moving average of $365.17 and a 200-day moving average of $315.32. The stock has a market cap of $71.14 billion, a PE ratio of 82.85, a PEG ratio of 1.08 and a beta of 3.55. Carvana has a 52-week low of $148.25 and a 52-week high of $413.33. The company has a debt-to-equity ratio of 2.51, a quick ratio of 2.58 and a current ratio of 4.00.

Carvana (NYSE:CVNA) last announced its earnings results on Wednesday, July 30th. The company reported $1.28 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.09 by $0.19. The company had revenue of $4.84 billion during the quarter, compared to analysts’ expectations of $4.54 billion. Carvana had a net margin of 3.46% and a return on equity of 40.57%. Carvana’s quarterly revenue was up 41.9% on a year-over-year basis. During the same quarter in the previous year, the business posted ($0.05) earnings per share. As a group, sell-side analysts forecast that Carvana will post 2.85 EPS for the current year.

Insiders Place Their Bets

In other Carvana news, major shareholder Ernest C. Garcia II sold 100,000 shares of the business’s stock in a transaction dated Wednesday, July 16th. The stock was sold at an average price of $352.40, for a total transaction of $35,240,000.00. Following the completion of the transaction, the insider owned 35,892,792 shares of the company’s stock, valued at approximately $12,648,619,900.80. The trade was a 0.28% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, major shareholder Ernest C. Garcia II sold 93,376 shares of the business’s stock in a transaction dated Thursday, July 31st. The stock was sold at an average price of $394.16, for a total value of $36,805,084.16. Following the transaction, the insider directly owned 6,624 shares of the company’s stock, valued at approximately $2,610,915.84. The trade was a 93.38% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 1,996,820 shares of company stock valued at $719,703,146. 17.12% of the stock is currently owned by corporate insiders.

Institutional Trading of Carvana

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Warren Street Wealth Advisors LLC grew its holdings in shares of Carvana by 2.8% during the second quarter. Warren Street Wealth Advisors LLC now owns 1,153 shares of the company’s stock worth $388,000 after purchasing an additional 31 shares during the last quarter. MAI Capital Management grew its holdings in shares of Carvana by 1.8% during the second quarter. MAI Capital Management now owns 1,757 shares of the company’s stock worth $592,000 after purchasing an additional 31 shares during the last quarter. Gilder Gagnon Howe & Co. LLC grew its holdings in shares of Carvana by 1.7% during the second quarter. Gilder Gagnon Howe & Co. LLC now owns 1,846 shares of the company’s stock worth $622,000 after purchasing an additional 31 shares during the last quarter. Yousif Capital Management LLC grew its holdings in shares of Carvana by 4.1% during the first quarter. Yousif Capital Management LLC now owns 1,266 shares of the company’s stock worth $265,000 after purchasing an additional 50 shares during the last quarter. Finally, Kingsview Wealth Management LLC grew its holdings in shares of Carvana by 1.2% during the second quarter. Kingsview Wealth Management LLC now owns 4,611 shares of the company’s stock worth $1,554,000 after purchasing an additional 53 shares during the last quarter. 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.