Dimensional Fund Advisors LP Increases Holdings in Carvana Co. $CVNA

Key Points

• Dimensional Fund Advisors LP increased its stake in Carvana Co. by 3.7%, owning approximately $112.23 million worth of stock as of the end of the most recent quarter.
• Major shareholder Ernest C. Garcia II sold 100,000 shares of Carvana stock for approximately $34.7 million, reducing his position by 0.27% but still retaining over 37 million shares.
• Carvana reported a quarterly earnings per share of $1.28, exceeding analysts' estimates, with a year-over-year revenue increase of 41.9%.

Dimensional Fund Advisors LP lifted its holdings in shares of Carvana Co. (NYSE:CVNA - Free Report) by 3.7% during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 537,028 shares of the company's stock after purchasing an additional 19,279 shares during the period. Dimensional Fund Advisors LP owned 0.25% of Carvana worth $112,226,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently made changes to their positions in CVNA. NewEdge Advisors LLC boosted its holdings in Carvana by 3.6% in the fourth quarter. NewEdge Advisors LLC now owns 5,261 shares of the company's stock worth $1,070,000 after acquiring an additional 181 shares in the last quarter. Tower Research Capital LLC TRC lifted its holdings in shares of Carvana by 2,669.6% in the fourth quarter. Tower Research Capital LLC TRC now owns 1,274 shares of the company's stock valued at $259,000 after purchasing an additional 1,228 shares in the last quarter. Hsbc Holdings PLC lifted its holdings in shares of Carvana by 573.3% in the fourth quarter. Hsbc Holdings PLC now owns 42,974 shares of the company's stock valued at $8,715,000 after purchasing an additional 36,591 shares in the last quarter. Kovitz Investment Group Partners LLC lifted its holdings in shares of Carvana by 3.5% in the fourth quarter. Kovitz Investment Group Partners LLC now owns 21,593 shares of the company's stock valued at $4,391,000 after purchasing an additional 729 shares in the last quarter. Finally, Lord Abbett & CO. LLC lifted its holdings in shares of Carvana by 3.1% in the fourth quarter. Lord Abbett & CO. LLC now owns 554,928 shares of the company's stock valued at $112,850,000 after purchasing an additional 16,455 shares in the last quarter. Institutional investors own 56.71% of the company's stock.

Carvana Stock Performance

NYSE:CVNA traded down $1.44 during trading hours on Wednesday, reaching $370.77. The stock had a trading volume of 768,362 shares, compared to its average volume of 4,098,359. The company has a debt-to-equity ratio of 2.51, a quick ratio of 2.58 and a current ratio of 4.00. The stock has a 50 day simple moving average of $343.09 and a 200 day simple moving average of $280.45. Carvana Co. has a 12-month low of $124.39 and a 12-month high of $413.33. The stock has a market cap of $79.79 billion, a P/E ratio of 92.85, a price-to-earnings-growth ratio of 1.20 and a beta of 3.57.

Carvana (NYSE:CVNA - Get Free Report) last released its earnings results on Wednesday, July 30th. The company reported $1.28 earnings per share (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 business had revenue of $4.84 billion during the quarter, compared to the consensus estimate of $4.54 billion. During the same period last year, the business posted ($0.05) earnings per share. The business's revenue for the quarter was up 41.9% on a year-over-year basis. On average, research analysts forecast that Carvana Co. will post 2.85 EPS for the current fiscal year.

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 on Monday, August 25th. The stock was sold at an average price of $361.45, for a total value of $3,614,500.00. Following the completion of the sale, the chief executive officer directly owned 506,440 shares of the company's stock, valued at $183,052,738. This trade represents a 1.94% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, major shareholder Ernest C. Garcia II sold 95,087 shares of the firm's stock in a transaction on Wednesday, August 13th. The stock was sold at an average price of $349.09, for a total value of $33,193,920.83. Following the completion of the sale, the insider directly owned 34,442,317 shares of the company's stock, valued at $12,023,468,441.53. This represents a 0.28% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 3,013,640 shares of company stock valued at $1,051,063,322 over the last three months. Company insiders own 16.36% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research analysts have recently weighed in on the company. Bank of America raised their target price on Carvana from $375.00 to $425.00 and gave the company a "buy" rating in a report on Thursday, July 31st. Wells Fargo & Company raised their target price on Carvana from $390.00 to $425.00 and gave the company an "overweight" rating in a report on Thursday, July 31st. William Blair restated an "outperform" rating on shares of Carvana in a report on Wednesday, July 23rd. Piper Sandler raised their target price on Carvana from $340.00 to $440.00 and gave the company an "overweight" rating in a report on Thursday, July 31st. Finally, Morgan Stanley raised their target price on Carvana from $280.00 to $290.00 and gave the company an "overweight" rating in a report on Thursday, May 15th. Twelve investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price 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.