Carvana (NYSE:CVNA) Coverage Initiated at UBS Group

Stock analysts at UBS Group initiated coverage on shares of Carvana (NYSE:CVNA) in a research note issued on Monday, Marketbeat.com reports. The brokerage set a “buy” rating and a $450.00 price target on the stock. UBS Group’s price target indicates a potential upside of 13.94% from the stock’s current price.

Several other research analysts have also recently weighed in on the stock. Needham & Company LLC reissued a “buy” rating and issued a $500.00 price target on shares of Carvana in a report on Monday, November 17th. Citigroup lowered their target price on Carvana from $490.00 to $445.00 and set a “buy” rating on the stock in a research note on Monday, November 3rd. Wedbush upgraded Carvana from a “neutral” rating to an “outperform” rating and boosted their price target for the company from $380.00 to $400.00 in a research note on Monday, November 24th. Wall Street Zen cut Carvana from a “buy” rating to a “hold” rating in a research report on Sunday, October 19th. Finally, Bank of America lowered their price target on shares of Carvana from $405.00 to $385.00 and set a “buy” rating on the stock in a research report on Thursday, October 30th. Eighteen investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $422.10.

Carvana Stock Performance

Shares of CVNA stock opened at $394.94 on Monday. The stock has a market cap of $85.92 billion, a P/E ratio of 90.17, a P/E/G ratio of 1.38 and a beta of 3.51. The company has a fifty day moving average price of $345.36 and a two-hundred day moving average price of $344.35. Carvana has a one year low of $148.25 and a one year high of $413.33. The company has a debt-to-equity ratio of 1.63, a current ratio of 4.05 and a quick ratio of 2.55.

Carvana (NYSE:CVNA) last posted its quarterly earnings results on Wednesday, October 29th. The company reported $1.03 EPS for the quarter, missing analysts’ consensus estimates of $1.29 by ($0.26). Carvana had a return on equity of 30.62% and a net margin of 3.44%.The business had revenue of $5.65 billion for the quarter, compared to the consensus estimate of $5.04 billion. During the same quarter in the previous year, the business posted $0.64 EPS. The company’s revenue for the quarter was up 54.5% on a year-over-year basis. As a group, equities analysts predict that Carvana will post 2.85 EPS for the current year.

Insider Transactions at Carvana

In related news, insider Ryan S. Keeton sold 32,370 shares of the company’s stock in a transaction that occurred on Friday, October 31st. The shares were sold at an average price of $301.68, for a total transaction of $9,765,381.60. Following the completion of the transaction, the insider directly owned 115,456 shares in the company, valued at $34,830,766.08. This represents a 21.90% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Ernest C. Garcia III sold 10,000 shares of the firm’s stock in a transaction that occurred on Wednesday, September 10th. The shares were sold at an average price of $367.06, for a total transaction of $3,670,600.00. Following the completion of the sale, the chief executive officer owned 446,440 shares in the company, valued at $163,870,266.40. This represents a 2.19% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 366,452 shares of company stock valued at $133,974,140. Company insiders own 17.12% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Los Angeles Capital Management LLC raised its holdings in Carvana by 1,950.7% during the 2nd quarter. Los Angeles Capital Management LLC now owns 111,190 shares of the company’s stock worth $37,467,000 after purchasing an additional 105,768 shares during the last quarter. Berkshire Capital Holdings Inc. increased its position in shares of Carvana by 632,200.0% during the first quarter. Berkshire Capital Holdings Inc. now owns 63,230 shares of the company’s stock worth $13,220,000 after buying an additional 63,220 shares during the period. Charles Schwab Investment Management Inc. lifted its holdings in Carvana by 6.0% in the first quarter. Charles Schwab Investment Management Inc. now owns 490,874 shares of the company’s stock valued at $102,632,000 after buying an additional 27,912 shares during the period. Arrowstreet Capital Limited Partnership bought a new stake in Carvana during the second quarter valued at $183,102,000. Finally, Vanguard Group Inc. lifted its stake in shares of Carvana by 9.7% in the 1st quarter. Vanguard Group Inc. now owns 12,534,843 shares of the company’s stock valued at $2,620,785,000 after purchasing an additional 1,109,476 shares during the period. Institutional investors and hedge funds own 56.71% of the company’s stock.

About Carvana

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.