BNP Paribas Exane Cuts Carvana (NYSE:CVNA) Price Target to $69.00

Carvana (NYSE:CVNA) had its price target decreased by BNP Paribas Exane from $86.00 to $69.00 in a research report report published on Thursday,Benzinga reports. BNP Paribas Exane currently has a neutral rating on the stock.

Other equities research analysts have also issued research reports about the stock. Bank of America raised their price target on shares of Carvana from $72.00 to $82.00 and gave the company a “neutral” rating in a research note on Tuesday, April 21st. Weiss Ratings reiterated a “hold (c+)” rating on shares of Carvana in a research report on Thursday, June 18th. Stephens increased their price objective on Carvana from $86.00 to $97.00 in a report on Thursday, April 30th. BTIG Research decreased their price objective on Carvana from $97.00 to $87.00 and set a “buy” rating for the company in a report on Thursday. Finally, Zacks Research cut Carvana from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, July 15th. One research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $85.86.

Carvana Stock Up 1.3%

Carvana stock opened at $62.25 on Thursday. The company has a 50-day simple moving average of $66.85 and a 200-day simple moving average of $70.64. The firm has a market capitalization of $68.28 billion, a P/E ratio of 34.43, a P/E/G ratio of 14.17 and a beta of 3.46. The company has a debt-to-equity ratio of 0.94, a quick ratio of 2.57 and a current ratio of 3.93. Carvana has a one year low of $54.46 and a one year high of $97.38.

Carvana (NYSE:CVNA) last issued its quarterly earnings data on Wednesday, July 29th. The company reported $0.42 earnings per share for the quarter, beating the consensus estimate of $0.39 by $0.03. The firm had revenue of $7.38 billion for the quarter, compared to the consensus estimate of $6.90 billion. Carvana had a net margin of 6.26% and a return on equity of 37.06%. Carvana’s quarterly revenue was up 52.4% compared to the same quarter last year. During the same period last year, the firm posted $1.51 EPS. As a group, equities analysts expect that Carvana will post 1.65 earnings per share for the current year.

Insider Transactions at Carvana

In other news, COO Benjamin E. Huston sold 50,000 shares of the company’s stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $68.55, for a total value of $3,427,500.00. Following the completion of the sale, the chief operating officer directly owned 458,755 shares of the company’s stock, valued at approximately $31,447,655.25. This represents a 9.83% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Ira J. Platt sold 15,000 shares of the company’s stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $67.83, for a total transaction of $1,017,450.00. Following the completion of the sale, the director directly owned 186,470 shares of the company’s stock, valued at approximately $12,648,260.10. This represents a 7.45% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 278,212 shares of company stock worth $19,343,496 over the last ninety days. Insiders own 15.19% of the company’s stock.

Institutional Investors Weigh In On Carvana

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Thurston Springer Miller Herd & Titak Inc. bought a new position in Carvana during the 4th quarter valued at $29,000. Farmers & Merchants Investments Inc. bought a new stake in shares of Carvana in the 4th quarter worth $29,000. Motiv8 Investments LLC bought a new stake in shares of Carvana in the 4th quarter worth $33,000. Ascentis Independent Advisors acquired a new stake in shares of Carvana in the first quarter valued at $26,000. Finally, Salomon & Ludwin LLC lifted its holdings in shares of Carvana by 112.5% in the fourth quarter. Salomon & Ludwin LLC now owns 85 shares of the company’s stock valued at $37,000 after buying an additional 45 shares during the period. Institutional investors own 56.71% of the company’s stock.

Carvana News Roundup

Here are the key news stories impacting Carvana this week:

• Positive Sentiment: Carvana reported record second-quarter performance, including $7.38 billion in revenue, $513 million in net income and $769 million in adjusted EBITDA. Retail unit sales increased 38%, while the company extended its streak of growth and profitability. Carvana Reports Record Profit But Cools Expectations With Cautious Outlook
• Positive Sentiment: Management highlighted continued platform expansion, inventory growth and software investments, including an artificial-intelligence customer-service agent intended to reduce service costs. Same-day delivery also expanded to the Fort Myers market. Carvana Slashes Customer Service Costs Through AI Agent
• Positive Sentiment: Needham maintained a buy rating and a $120 price target, arguing that the post-earnings selloff may offer an opportunity. Citigroup, Barclays and BTIG also retained bullish ratings, although each lowered its target. Needham Says Carvana Stock Could Double as Management Lowers Guidance
• Neutral Sentiment: Some analysts continue to view strong consumer demand and Carvana’s online retail model favorably, suggesting the business remains fundamentally healthy despite the market’s negative earnings reaction.
• Negative Sentiment: Carvana’s full-year adjusted EBITDA outlook of approximately $2.7 billion to $3.0 billion, with a midpoint below Wall Street expectations, disappointed investors. The guidance overshadowed the quarterly beat and raised concerns about the pace of future earnings growth. CVNA Stock Is Dropping After a Record Quarter
• Negative Sentiment: Analysts also cited declining gross profit per unit and adjusted EBITDA margins. BNP Paribas Exane lowered its rating to neutral and cut its price target sharply, while several other firms reduced targets, indicating that valuation is harder to justify without renewed margin expansion. Carvana Profit Compression Makes This Stock Tougher To Bank On

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.