Insider Selling: Carvana Co. (NYSE:CVNA) Major Shareholder Sells 100,000 Shares of Stock

Key Points

• Major shareholder Ernest C. Garcia II sold 100,000 shares of Carvana Co. for approximately $35.96 million, reducing his ownership by 0.29% to 34.74 million shares.
• Carvana recently reported earnings of $1.28 per share, exceeding analyst expectations, with a revenue increase of 41.9% year-over-year, totaling $4.84 billion for the quarter.
• Following Garcia's sale, several analysts have upgraded Carvana's stock ratings, with Bank of America raising the target price from $375 to $425 and maintaining a "buy" rating.

Carvana Co. (NYSE:CVNA - Get Free Report) major shareholder Ernest C. Garcia II sold 100,000 shares of the firm's stock in a transaction dated Thursday, August 7th. The shares were sold at an average price of $359.63, for a total transaction of $35,963,000.00. Following the sale, the insider directly owned 34,742,792 shares in the company, valued at approximately $12,494,550,286.96. The trade was a 0.29% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Large shareholders that own 10% or more of a company's stock are required to disclose their transactions with the SEC.

Ernest C. Garcia II also recently made the following trade(s):

• On Monday, August 11th, Ernest C. Garcia II sold 50,000 shares of Carvana stock. The stock was sold at an average price of $344.68, for a total transaction of $17,234,000.00.
• On Friday, August 8th, Ernest C. Garcia II sold 72,500 shares of Carvana stock. The stock was sold at an average price of $348.07, for a total transaction of $25,235,075.00.
• On Tuesday, August 5th, Ernest C. Garcia II sold 100,000 shares of Carvana stock. The stock was sold at an average price of $360.20, for a total transaction of $36,020,000.00.
• On Friday, August 1st, Ernest C. Garcia II sold 100,000 shares of Carvana stock. The stock was sold at an average price of $371.30, for a total transaction of $37,130,000.00.
• On Thursday, July 31st, Ernest C. Garcia II sold 6,624 shares of Carvana stock. The shares were sold at an average price of $409.89, for a total transaction of $2,715,111.36.
• On Wednesday, July 30th, Ernest C. Garcia II sold 50,000 shares of Carvana stock. The shares were sold at an average price of $332.21, for a total transaction of $16,610,500.00.
• On Monday, July 28th, Ernest C. Garcia II sold 50,000 shares of Carvana stock. The shares were sold at an average price of $335.66, for a total transaction of $16,783,000.00.
• On Friday, July 25th, Ernest C. Garcia II sold 50,000 shares of Carvana stock. The shares were sold at an average price of $335.34, for a total transaction of $16,767,000.00.
• On Wednesday, July 23rd, Ernest C. Garcia II sold 50,000 shares of Carvana stock. The shares were sold at an average price of $337.22, for a total transaction of $16,861,000.00.
• On Monday, July 21st, Ernest C. Garcia II sold 50,000 shares of Carvana stock. The shares were sold at an average price of $342.96, for a total transaction of $17,148,000.00.

Carvana Trading Up 1.1%

CVNA stock traded up $3.78 during mid-day trading on Wednesday, reaching $348.89. 1,561,375 shares of the stock traded hands, compared to its average volume of 4,185,713. The company has a debt-to-equity ratio of 2.51, a quick ratio of 2.58 and a current ratio of 4.00. Carvana Co. has a one year low of $124.39 and a one year high of $413.33. The stock has a market capitalization of $75.08 billion, a PE ratio of 87.52, a PEG ratio of 1.14 and a beta of 3.57. The business has a 50-day moving average price of $337.74 and a two-hundred day moving average price of $273.50.

Carvana (NYSE:CVNA - Get Free Report) last posted its quarterly earnings data on Wednesday, July 30th. The company reported $1.28 earnings per share for the quarter, beating analysts' consensus estimates of $1.09 by $0.19. Carvana had a net margin of 3.46% and a return on equity of 40.57%. The business had revenue of $4.84 billion for the quarter, compared to analysts' expectations of $4.54 billion. During the same quarter in the previous year, the business posted ($0.05) earnings per share. The business's revenue was up 41.9% compared to the same quarter last year. Equities research analysts expect that Carvana Co. will post 2.85 EPS for the current year.

Institutional Trading of Carvana

A number of large investors have recently made changes to their positions in the stock. OMERS ADMINISTRATION Corp boosted its stake in shares of Carvana by 128.2% during the second quarter. OMERS ADMINISTRATION Corp now owns 9,255 shares of the company's stock valued at $3,119,000 after purchasing an additional 5,200 shares during the period. Edgestream Partners L.P. purchased a new stake in Carvana in the second quarter worth about $4,168,000. Okabena Investment Services Inc. purchased a new stake in Carvana in the second quarter worth about $568,000. Lido Advisors LLC lifted its stake in Carvana by 10.6% in the second quarter. Lido Advisors LLC now owns 1,977 shares of the company's stock worth $666,000 after acquiring an additional 189 shares during the period. Finally, Williamson Legacy Group LLC purchased a new stake in Carvana in the second quarter worth about $921,000. 56.71% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on the stock. DA Davidson lifted their price target on shares of Carvana from $260.00 to $380.00 and gave the company a "neutral" rating in a report on Thursday, July 31st. Needham & Company LLC lifted their price objective on shares of Carvana from $340.00 to $500.00 and gave the company a "buy" rating in a research report on Thursday, July 31st. Wall Street Zen upgraded shares of Carvana from a "hold" rating to a "buy" rating in a research report on Saturday, July 5th. Stephens lifted their price objective on shares of Carvana from $300.00 to $375.00 and gave the company an "overweight" rating in a research report on Monday, July 7th. Finally, Evercore ISI lifted their price objective on shares of Carvana from $365.00 to $370.00 and gave the company an "in-line" rating in a research report on Tuesday. Six analysts have rated the stock with a hold rating and thirteen have issued a buy rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $383.47.

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.