Invesco Ltd. Decreases Stock Position in Carvana Co. $CVNA

Key Points

• Invesco Ltd. has reduced its holdings in Carvana Co. by 30% during the first quarter, now owning about $46.3 million worth of shares.
• Several hedge funds, including Vanguard Group Inc., have increased their positions in Carvana, indicating strong institutional interest, with Vanguard growing its stake by 9.7%.
• Carvana's recent earnings report showed a 41.9% increase in revenue year-over-year, with an earnings per share of $1.28 that surpassed analyst expectations.

Invesco Ltd. reduced its position in shares of Carvana Co. (NYSE:CVNA - Free Report) by 30.0% during the first quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 221,344 shares of the company's stock after selling 94,854 shares during the quarter. Invesco Ltd. owned about 0.10% of Carvana worth $46,279,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently modified their holdings of the company. N.E.W. Advisory Services LLC purchased a new stake in shares of Carvana in the first quarter worth approximately $33,000. Transce3nd LLC purchased a new stake in shares of Carvana in the fourth quarter worth approximately $48,000. Versant Capital Management Inc raised its stake in shares of Carvana by 39.4% in the first quarter. Versant Capital Management Inc now owns 290 shares of the company's stock worth $61,000 after purchasing an additional 82 shares during the last quarter. Strategic Investment Solutions Inc. IL purchased a new stake in shares of Carvana in the first quarter worth approximately $90,000. Finally, Gordian Capital Singapore Pte Ltd purchased a new stake in shares of Carvana in the fourth quarter worth approximately $98,000. 56.71% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other Carvana news, CEO Ernest C. Garcia III sold 10,000 shares of the firm's stock in a transaction dated Tuesday, August 19th. The stock was sold at an average price of $347.99, for a total transaction of $3,479,900.00. Following the sale, the chief executive officer owned 531,440 shares in the company, valued at $184,935,805.60. This trade represents a 1.85% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, major shareholder Ernest C. Garcia II sold 95,087 shares of the firm's stock in a transaction dated Wednesday, August 13th. The shares were sold at an average price of $349.09, for a total value of $33,193,920.83. Following the sale, the insider owned 34,442,317 shares in the company, valued at $12,023,468,441.53. The trade was a 0.28% decrease in their position. The disclosure for this sale can be found here. Insiders sold 3,036,140 shares of company stock worth $1,057,170,571 in the last quarter. 17.12% of the stock is currently owned by company insiders.

Carvana Stock Performance

Shares of Carvana stock traded up $1.3890 during trading hours on Thursday, reaching $339.9990. The company had a trading volume of 1,071,529 shares, compared to its average volume of 4,134,490. Carvana Co. has a one year low of $124.39 and a one year high of $413.33. The business has a fifty day simple moving average of $338.48 and a 200 day simple moving average of $277.57. 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 firm has a market cap of $73.17 billion, a PE ratio of 85.09, a price-to-earnings-growth ratio of 1.14 and a beta of 3.57.

Carvana (NYSE:CVNA - Get Free Report) last posted its quarterly earnings results on Wednesday, July 30th. The company reported $1.28 EPS for the quarter, topping analysts' consensus estimates of $1.09 by $0.19. Carvana had a return on equity of 40.57% and a net margin of 3.46%.The firm had revenue of $4.84 billion during the quarter, compared to analyst estimates of $4.54 billion. During the same period last year, the company earned ($0.05) earnings per share. The business's revenue for the quarter was up 41.9% on a year-over-year basis. On average, analysts anticipate that Carvana Co. will post 2.85 earnings per share for the current fiscal year.

Analysts Set New Price Targets

Several analysts have recently commented on the company. William Blair reissued an "outperform" rating on shares of Carvana in a research note on Wednesday, July 23rd. Gordon Haskett assumed coverage on Carvana in a research note on Monday, July 14th. They issued a "hold" rating and a $329.00 price objective for the company. DA Davidson increased their price objective on Carvana from $260.00 to $380.00 and gave the stock a "neutral" rating in a research note on Thursday, July 31st. Oppenheimer raised Carvana from a "market perform" rating to an "outperform" rating and set a $450.00 target price for the company in a report on Friday, July 25th. Finally, Stephens upped their target price on Carvana from $300.00 to $375.00 and gave the company an "overweight" rating in a report on Monday, July 7th. Twelve equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $383.47.

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.