Carvana (NYSE:CVNA) Upgraded at Wall Street Zen

Key Points

• Carvana has been upgraded from a "hold" to a "buy" rating by Wall Street Zen, indicating positive sentiment towards the stock.
• Multiple analysts have raised their target prices for Carvana, with JMP Securities and Royal Bank of Canada increasing theirs to $460.00.
• Carvana reported $1.28 earnings per share for the last quarter, surpassing estimates and reflecting a year-over-year revenue increase of 41.9%.

Carvana (NYSE:CVNA - Get Free Report) was upgraded by Wall Street Zen from a "hold" rating to a "buy" rating in a research note issued to investors on Saturday.

A number of other research analysts have also recently issued reports on CVNA. JMP Securities lifted their target price on shares of Carvana from $440.00 to $460.00 and gave the company a "market outperform" rating in a research note on Thursday, July 31st. Jefferies Financial Group set a $475.00 target price on shares of Carvana and gave the company a "buy" rating in a research note on Wednesday, October 1st. Weiss Ratings reiterated a "hold (c)" rating on shares of Carvana in a research note on Saturday, September 27th. Royal Bank Of Canada lifted their target price on shares of Carvana from $400.00 to $460.00 and gave the company an "outperform" rating in a research note on Thursday, July 31st. Finally, Wells Fargo & Company lifted their target price on shares of Carvana from $390.00 to $425.00 and gave the company an "overweight" rating in a research note on Thursday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $407.44.

Carvana Stock Performance

NYSE:CVNA opened at $330.58 on Friday. Carvana has a 12-month low of $148.25 and a 12-month high of $413.33. The company has a quick ratio of 2.58, a current ratio of 4.00 and a debt-to-equity ratio of 2.51. The firm has a market capitalization of $71.14 billion, a PE ratio of 82.85, a price-to-earnings-growth ratio of 1.18 and a beta of 3.55. The firm has a 50-day moving average price of $365.17 and a 200 day moving average price of $314.56.

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, topping the consensus estimate of $1.09 by $0.19. Carvana had a net margin of 3.46% and a return on equity of 40.57%. The company had revenue of $4.84 billion during the quarter, compared to analyst estimates of $4.54 billion. During the same quarter last year, the business posted ($0.05) earnings per share. The company's revenue was up 41.9% on a year-over-year basis. Research analysts anticipate that Carvana will post 2.85 earnings per share for the current fiscal year.

Insider Activity

In other Carvana news, CFO Mark W. Jenkins sold 12,750 shares of Carvana stock in a transaction on Wednesday, October 1st. The shares were sold at an average price of $389.27, for a total transaction of $4,963,192.50. Following the completion of the sale, the chief financial officer owned 207,362 shares of the company's stock, valued at approximately $80,719,805.74. The trade was a 5.79% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Paul W. Breaux sold 15,000 shares of Carvana stock in a transaction on Wednesday, October 1st. The stock was sold at an average price of $398.00, for a total transaction of $5,970,000.00. Following the sale, the insider directly owned 81,716 shares of the company's stock, valued at $32,522,968. This represents a 15.51% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 1,996,820 shares of company stock worth $719,703,146. Corporate insiders own 17.12% of the company's stock.

Institutional Trading of Carvana

Institutional investors have recently bought and sold shares of the business. Hilltop National Bank acquired a new stake in Carvana during the 2nd quarter worth $25,000. Brooklyn Investment Group boosted its position in shares of Carvana by 961.5% during the first quarter. Brooklyn Investment Group now owns 138 shares of the company's stock worth $29,000 after purchasing an additional 125 shares in the last quarter. N.E.W. Advisory Services LLC bought a new position in shares of Carvana during the first quarter worth $33,000. SJS Investment Consulting Inc. boosted its position in shares of Carvana by 960.0% during the second quarter. SJS Investment Consulting Inc. now owns 106 shares of the company's stock worth $36,000 after purchasing an additional 96 shares in the last quarter. Finally, DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main bought a new position in shares of Carvana during the second quarter worth $38,000. Institutional investors and hedge funds own 56.71% of the company's stock.

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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