Jefferies Financial Group Inc. Has $1.12 Million Holdings in Carvana Co. $CVNA

Key Points

• Jefferies Financial Group cut its Carvana stake by 82.1%, selling 13,584 shares and ending the quarter with 2,961 shares valued at about $1.12 million.
• Carvana reported a blowout quarter — EPS $4.22 vs. $1.10 expected and revenue of $5.60B (up 58% YoY) — yet the stock traded lower and analysts trimmed targets, leaving an average price target of $440.59 and a "Moderate Buy" consensus.
• Ownership activity is mixed: institutions own 56.71% of the stock with large additions from firms like MFS and Federated Hermes, while insiders sold 53,574 shares (~$21.46M) last quarter and now hold 17.12%.

Jefferies Financial Group Inc. decreased its holdings in shares of Carvana Co. (NYSE:CVNA - Free Report) by 82.1% in the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 2,961 shares of the company's stock after selling 13,584 shares during the quarter. Jefferies Financial Group Inc.'s holdings in Carvana were worth $1,117,000 as of its most recent SEC filing.

A number of other hedge funds have also added to or reduced their stakes in CVNA. Federated Hermes Inc. boosted its position in Carvana by 124.9% during the third quarter. Federated Hermes Inc. now owns 265,921 shares of the company's stock valued at $100,316,000 after purchasing an additional 147,683 shares during the last quarter. Hudson Bay Capital Management LP increased its position in shares of Carvana by 158.0% during the 2nd quarter. Hudson Bay Capital Management LP now owns 16,478 shares of the company's stock worth $5,552,000 after purchasing an additional 10,090 shares during the last quarter. Massachusetts Financial Services Co. MA increased its position in shares of Carvana by 11.2% during the 3rd quarter. Massachusetts Financial Services Co. MA now owns 637,462 shares of the company's stock worth $240,476,000 after purchasing an additional 64,424 shares during the last quarter. Strs Ohio raised its stake in shares of Carvana by 89.9% during the 3rd quarter. Strs Ohio now owns 37,756 shares of the company's stock worth $14,243,000 after purchasing an additional 17,878 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC boosted its holdings in shares of Carvana by 14.2% in the 3rd quarter. Allspring Global Investments Holdings LLC now owns 193,879 shares of the company's stock valued at $76,662,000 after buying an additional 24,129 shares during the last quarter. Institutional investors own 56.71% of the company's stock.

Wall Street Analyst Weigh In

Several research firms recently weighed in on CVNA. JPMorgan Chase & Co. decreased their target price on shares of Carvana from $510.00 to $490.00 and set an "overweight" rating for the company in a research note on Thursday, February 19th. Bank of America cut their price target on shares of Carvana from $460.00 to $400.00 and set a "buy" rating for the company in a research note on Thursday, February 19th. Gordon Haskett decreased their price objective on shares of Carvana from $435.00 to $350.00 and set a "hold" rating for the company in a research report on Friday, February 20th. Royal Bank Of Canada lowered their price objective on shares of Carvana from $500.00 to $440.00 and set an "outperform" rating on the stock in a research note on Thursday, February 19th. Finally, Needham & Company LLC reaffirmed a "buy" rating and issued a $500.00 target price on shares of Carvana in a report on Thursday, February 19th. One analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating and five have issued a Hold rating to the company's stock. According to data from MarketBeat, Carvana currently has an average rating of "Moderate Buy" and an average price target of $440.59.

Carvana Stock Down 5.4%

CVNA stock opened at $292.70 on Friday. Carvana Co. has a 1-year low of $148.25 and a 1-year high of $486.89. The business's 50 day simple moving average is $390.27 and its 200 day simple moving average is $379.11. The company has a current ratio of 4.31, a quick ratio of 2.73 and a debt-to-equity ratio of 1.15. The firm has a market capitalization of $64.06 billion, a PE ratio of 36.41 and a beta of 3.60.

Carvana (NYSE:CVNA - Get Free Report) last released its quarterly earnings data on Wednesday, February 18th. The company reported $4.22 EPS for the quarter, topping analysts' consensus estimates of $1.10 by $3.12. Carvana had a net margin of 6.92% and a return on equity of 50.96%. The firm had revenue of $5.60 billion during the quarter, compared to analysts' expectations of $5.24 billion. During the same period in the previous year, the business posted $0.56 earnings per share. The company's revenue for the quarter was up 58.0% compared to the same quarter last year. As a group, research analysts anticipate that Carvana Co. will post 2.85 EPS for the current year.

Insider Activity at Carvana

In related news, VP Stephen R. Palmer sold 1,000 shares of Carvana stock in a transaction dated Monday, February 2nd. The shares were sold at an average price of $393.04, for a total transaction of $393,040.00. Following the completion of the sale, the vice president owned 37,192 shares of the company's stock, valued at approximately $14,617,943.68. The trade was a 2.62% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director J Danforth Quayle sold 2,900 shares of the company's stock in a transaction dated Monday, March 9th. The shares were sold at an average price of $309.97, for a total transaction of $898,913.00. Following the completion of the transaction, the director owned 41,913 shares in the company, valued at approximately $12,991,772.61. This trade represents a 6.47% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 53,574 shares of company stock worth $21,463,735 in the last quarter. 17.12% of the stock is owned by corporate insiders.

Carvana Profile

Carvana Co is an online-only retailer of used vehicles that operates a consumer-facing e-commerce platform for buying and selling cars. The company markets and sells inspected, reconditioned pre-owned vehicles through its website, where shoppers can browse inventory, view detailed 360-degree photos and vehicle history reports, finance purchases, and arrange delivery or pickup. Carvana's model is built around a digital end-to-end car buying experience that aims to simplify vehicle transactions compared with traditional dealerships.

Its products and services include direct retail sales of used cars, trade-in and purchase offers for consumer vehicles, vehicle financing and related protection products, and a seven-day return policy that allows customers to test a vehicle in everyday use.

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