Carvana Co. (NYSE:CVNA) COO Sells 40,000 Shares

Key Points

• Benjamin E. Huston, COO of Carvana Co., sold 40,000 shares of the company at an average price of $397.95, totaling about $15.9 million, which reduced his stake by nearly 24%.
• Carvana reported $4.84 billion in revenue for the last quarter, exceeding expectations and showing a significant 41.9% year-over-year growth, while earnings per share came in at $1.28, surpassing estimates.
• Institutional investors, including Price T Rowe Associates and Vanguard Group, have recently increased their holdings in Carvana, with hedge funds now owning over 56% of the company's stock.

Carvana Co. (NYSE:CVNA - Get Free Report) COO Benjamin E. Huston sold 40,000 shares of the stock in a transaction that occurred on Thursday, July 31st. The stock was sold at an average price of $397.95, for a total value of $15,918,000.00. Following the completion of the transaction, the chief operating officer owned 126,855 shares in the company, valued at approximately $50,481,947.25. The trade was a 23.97% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link.

Carvana Stock Performance

Shares of NYSE:CVNA traded down $6.99 during trading on Monday, hitting $360.79. 3,782,462 shares of the company were exchanged, compared to its average volume of 4,271,004. The company has a market cap of $77.26 billion, a PE ratio of 90.42, a P/E/G ratio of 1.25 and a beta of 3.57. Carvana Co. has a 52-week low of $118.50 and a 52-week high of $413.33. The company has a debt-to-equity ratio of 2.51, a current ratio of 4.00 and a quick ratio of 2.58. The stock has a 50 day moving average of $333.58 and a 200 day moving average of $268.06.

Carvana (NYSE:CVNA - Get Free Report) last issued its earnings results on Wednesday, July 30th. The company reported $1.28 EPS for the quarter, topping the consensus estimate of $1.09 by $0.19. Carvana had a return on equity of 40.57% and a net margin of 3.46%. The business had revenue of $4.84 billion during the quarter, compared to the consensus estimate of $4.54 billion. During the same quarter last year, the company earned ($0.05) EPS. The firm's revenue was up 41.9% compared to the same quarter last year. As a group, equities research analysts predict that Carvana Co. will post 2.85 EPS for the current year.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Price T Rowe Associates Inc. MD raised its position in shares of Carvana by 13.9% in the first quarter. Price T Rowe Associates Inc. MD now owns 14,950,011 shares of the company's stock worth $3,125,749,000 after buying an additional 1,823,218 shares in the last quarter. Vanguard Group Inc. increased its stake in Carvana by 9.7% in the 1st quarter. Vanguard Group Inc. now owns 12,534,843 shares of the company's stock worth $2,620,785,000 after acquiring an additional 1,109,476 shares during the last quarter. Durable Capital Partners LP raised its holdings in shares of Carvana by 6.3% in the 4th quarter. Durable Capital Partners LP now owns 2,168,232 shares of the company's stock valued at $440,932,000 after acquiring an additional 129,246 shares in the last quarter. Whale Rock Capital Management LLC boosted its position in shares of Carvana by 29.8% during the 4th quarter. Whale Rock Capital Management LLC now owns 1,214,679 shares of the company's stock valued at $247,017,000 after acquiring an additional 278,760 shares during the last quarter. Finally, BNP Paribas Financial Markets boosted its position in shares of Carvana by 89.8% during the 4th quarter. BNP Paribas Financial Markets now owns 1,018,321 shares of the company's stock valued at $207,086,000 after acquiring an additional 481,912 shares during the last quarter. 56.71% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of equities analysts have recently weighed in on CVNA shares. Gordon Haskett began coverage on Carvana in a research report on Monday, July 14th. They set a "hold" rating and a $329.00 target price on the stock. Royal Bank Of Canada upped their price objective on shares of Carvana from $400.00 to $460.00 and gave the stock an "outperform" rating in a report on Thursday. Bank of America lifted their price objective on shares of Carvana from $375.00 to $425.00 and gave the company a "buy" rating in a report on Thursday. Stephens upped their price target on Carvana from $300.00 to $375.00 and gave the stock an "overweight" rating in a report on Monday, July 7th. Finally, Evercore ISI lifted their target price on shares of Carvana from $295.00 to $305.00 and gave the stock an "in-line" rating in a research report on Tuesday, June 24th. Six equities research analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company. Based on data from MarketBeat, Carvana has an average rating of "Moderate Buy" and an average target price of $379.65.

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.

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