Barclays Issues Pessimistic Forecast for Carvana (NYSE:CVNA) Stock Price

Carvana (NYSE:CVNA) had its price target cut by investment analysts at Barclays from $94.00 to $93.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm presently has an “overweight” rating on the stock. Barclays‘s price target points to a potential upside of 51.64% from the company’s current price.

Other research analysts have also recently issued research reports about the stock. Robert W. Baird set a $72.00 target price on shares of Carvana in a research report on Thursday. Bank of America boosted 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. Stephens lifted their target price on shares of Carvana from $86.00 to $97.00 in a report on Thursday, April 30th. Citigroup reissued a “market outperform” rating on shares of Carvana in a research report on Thursday. Finally, JPMorgan Chase & Co. lifted their price objective on Carvana from $91.00 to $93.00 and gave the company an “overweight” rating in a research note on Thursday, April 30th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and seven have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $88.30.

Carvana Stock Performance

NYSE:CVNA opened at $61.33 on Friday. The company’s 50-day moving average is $66.97 and its two-hundred day moving average is $70.85. Carvana has a 1-year low of $54.46 and a 1-year high of $97.38. The company has a debt-to-equity ratio of 1.05, a current ratio of 4.09 and a quick ratio of 2.57. The firm has a market capitalization of $67.27 billion, a price-to-earnings ratio of 33.92, a PEG ratio of 14.89 and a beta of 3.46.

Carvana (NYSE:CVNA) last posted its earnings results on Wednesday, July 29th. The company reported $0.42 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.39 by $0.03. Carvana had a return on equity of 39.91% and a net margin of 6.26%.The company had revenue of $7.38 billion during the quarter, compared to analysts’ expectations of $6.90 billion. During the same quarter last year, the firm earned $1.51 earnings per share. The firm’s quarterly revenue was up 52.4% compared to the same quarter last year. Analysts forecast that Carvana will post 1.63 EPS for the current year.

Insider Buying and Selling at Carvana

In related news, VP Stephen R. Palmer sold 5,000 shares of Carvana stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $68.53, for a total value of $342,650.00. Following the completion of the transaction, the vice president directly owned 144,934 shares in the company, valued at approximately $9,932,327.02. This trade represents a 3.33% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Mark W. Jenkins sold 63,750 shares of the stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $68.34, for a total value of $4,356,675.00. Following the completion of the sale, the chief financial officer directly owned 1,029,580 shares in the company, valued at $70,361,497.20. This represents a 5.83% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 278,212 shares of company stock valued at $19,343,496. Insiders own 15.19% of the company’s stock.

Institutional Trading of Carvana

A number of hedge funds and other institutional investors have recently made changes to their positions in CVNA. Thurston Springer Miller Herd & Titak Inc. purchased a new stake in shares of Carvana in the fourth quarter valued at about $29,000. Farmers & Merchants Investments Inc. purchased a new position in Carvana in the fourth quarter worth $29,000. Motiv8 Investments LLC purchased a new position in shares of Carvana in the 4th quarter valued at about $33,000. Ascentis Independent Advisors acquired a new stake in shares of Carvana during the 1st quarter valued at approximately $26,000. Finally, Salomon & Ludwin LLC boosted its position in Carvana by 112.5% during the fourth quarter. Salomon & Ludwin LLC now owns 85 shares of the company’s stock worth $37,000 after purchasing an additional 45 shares in the last quarter. Institutional investors and hedge funds own 56.71% of the company’s stock.

More Carvana News

Here are the key news stories impacting Carvana this week:

• Positive Sentiment: Carvana reported record Q2 revenue of approximately $7.38 billion, net income of $513 million and adjusted EBITDA of $769 million. Retail units sold increased 38%, while revenue rose 52.4% year over year. Carvana Announces Record Second Quarter 2026 Results
• Positive Sentiment: Management highlighted ongoing investments in inventory, operational execution and software, including an AI customer-service agent intended to reduce support costs and improve scalability. Carvana Slashes Customer Service Costs Through AI Agent
• Positive Sentiment: Some analysts remain constructive despite reducing targets. Needham reaffirmed its buy rating with a $120 target, while BTIG maintained a buy rating at $87 and Citizens JMP kept an outperform rating at $83. Needham said the selloff may offer an attractive buying opportunity. Needham says Carvana stock could double as management lowers guidance
• Neutral Sentiment: BNP Paribas Exane lowered its price target from $86 to $69 and changed its rating to neutral, reflecting a more cautious view while still implying potential upside from recent trading levels. BNP Paribas Exane price target update
• Negative Sentiment: Carvana’s full-year adjusted EBITDA forecast of $2.7 billion to $3.0 billion had a midpoint below analyst expectations. Investors viewed the outlook as insufficient after the company’s strong growth, particularly because it implies adjusted EBITDA of $1.3 billion to $1.6 billion in the second half. Carvana posts record quarterly profits
• Negative Sentiment: Analysts also cited declining gross profit per unit and adjusted EBITDA margins, with the projected full-year margin falling to about 10.2%. At roughly 26.4 times projected FY26 adjusted EBITDA, the stock’s premium valuation is harder to justify if profitability continues to compress. Carvana profit compression downgrade

About Carvana

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.