Carvana (NYSE:CVNA) Reaches New 1-Year High – Time to Buy?

Carvana Co. (NYSE:CVNA) hit a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $299.00 and last traded at $293.00, with a volume of 5883877 shares changing hands. The stock had previously closed at $279.62.

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on CVNA. Wedbush raised shares of Carvana to a “hold” rating in a report on Thursday, May 8th. Evercore ISI reduced their price target on shares of Carvana from $250.00 to $240.00 and set an “in-line” rating on the stock in a report on Tuesday, March 11th. Stephens reaffirmed an “overweight” rating and issued a $300.00 price target on shares of Carvana in a report on Monday, March 3rd. DA Davidson upped their price target on shares of Carvana from $220.00 to $260.00 and gave the company a “neutral” rating in a report on Thursday, February 20th. Finally, Wells Fargo & Company upped their price target on shares of Carvana from $290.00 to $310.00 and gave the company an “overweight” rating in a report on Thursday, May 8th. Six research analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company. According to MarketBeat, Carvana presently has an average rating of “Moderate Buy” and an average price target of $268.59.

Carvana Stock Performance

The company has a quick ratio of 2.12, a current ratio of 3.64 and a debt-to-equity ratio of 3.82. The company has a market cap of $62.46 billion, a PE ratio of 186.62 and a beta of 3.61. The stock’s 50 day simple moving average is $213.32 and its two-hundred day simple moving average is $228.39.

Carvana (NYSE:CVNA) last released its quarterly earnings data on Wednesday, May 7th. The company reported $1.51 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.75 by $0.76. Carvana had a net margin of 1.54% and a return on equity of 36.59%. The company had revenue of $4.23 billion during the quarter, compared to analyst estimates of $3.94 billion. During the same quarter in the prior year, the business earned $0.23 earnings per share. The business’s quarterly revenue was up 38.3% compared to the same quarter last year. As a group, research analysts anticipate that Carvana Co. will post 2.85 earnings per share for the current year.

Insider Transactions at Carvana

In related news, COO Benjamin E. Huston sold 50,000 shares of the firm’s stock in a transaction on Friday, March 14th. The shares were sold at an average price of $178.49, for a total transaction of $8,924,500.00. Following the completion of the sale, the chief operating officer now directly owns 196,278 shares of the company’s stock, valued at approximately $35,033,660.22. This trade represents a 20.30% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Daniel J. Gill sold 70,166 shares of the firm’s stock in a transaction on Thursday, May 8th. The shares were sold at an average price of $281.43, for a total transaction of $19,746,817.38. Following the sale, the insider now directly owns 201,087 shares of the company’s stock, valued at approximately $56,591,914.41. The trade was a 25.87% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 441,353 shares of company stock valued at $99,768,424 over the last 90 days. Corporate insiders own 16.36% of the company’s stock.

Institutional Investors Weigh In On Carvana

A number of large investors have recently added to or reduced their stakes in CVNA. Oak Thistle LLC grew its holdings in Carvana by 115.9% during the 4th quarter. Oak Thistle LLC now owns 3,238 shares of the company’s stock valued at $658,000 after purchasing an additional 1,738 shares in the last quarter. Assenagon Asset Management S.A. grew its holdings in Carvana by 33.3% during the 4th quarter. Assenagon Asset Management S.A. now owns 382,607 shares of the company’s stock worth $77,807,000 after acquiring an additional 95,497 shares in the last quarter. Avanza Fonder AB acquired a new position in Carvana during the 4th quarter worth $2,373,000. Atomi Financial Group Inc. grew its holdings in Carvana by 9.1% during the 4th quarter. Atomi Financial Group Inc. now owns 1,805 shares of the company’s stock worth $367,000 after acquiring an additional 151 shares in the last quarter. Finally, Nisa Investment Advisors LLC grew its holdings in Carvana by 0.3% during the 4th quarter. Nisa Investment Advisors LLC now owns 27,817 shares of the company’s stock worth $5,657,000 after acquiring an additional 86 shares in the last quarter. 56.71% of the stock is owned by institutional investors and hedge funds.

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.