Lord Abbett & CO. LLC Cuts Position in Carvana Co. $CVNA

Key Points

• Lord Abbett & Co. cut its Carvana stake by 11.3% in the fourth quarter, selling 77,083 shares and ending with 603,583 shares valued at about $254.7 million.
• Institutional ownership remains heavy, with Vanguard, Capital Research, Geode, Viking, and Norges Bank all adding to or initiating positions; hedge funds and institutions now own 56.71% of Carvana.
• Analysts remain constructive on Carvana after its strong quarterly results, with price targets raised by several firms and a consensus rating of “Moderate Buy”; the stock was down 5.5% in Friday trading to $64.09.

Lord Abbett & CO. LLC lessened its holdings in Carvana Co. (NYSE:CVNA - Free Report) by 11.3% during the fourth quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 603,583 shares of the company's stock after selling 77,083 shares during the period. Lord Abbett & CO. LLC owned approximately 0.28% of Carvana worth $254,724,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also recently modified their holdings of CVNA. Vanguard Group Inc. boosted its stake in shares of Carvana by 24.7% in the 4th quarter. Vanguard Group Inc. now owns 16,783,101 shares of the company's stock worth $7,082,804,000 after buying an additional 3,328,115 shares during the last quarter. Capital Research Global Investors boosted its stake in shares of Carvana by 42.9% in the 4th quarter. Capital Research Global Investors now owns 5,700,953 shares of the company's stock worth $2,405,959,000 after buying an additional 1,711,144 shares during the last quarter. Geode Capital Management LLC boosted its stake in shares of Carvana by 55.4% in the 4th quarter. Geode Capital Management LLC now owns 3,880,711 shares of the company's stock worth $1,632,763,000 after buying an additional 1,382,852 shares during the last quarter. Viking Global Investors LP raised its holdings in shares of Carvana by 94.9% in the 3rd quarter. Viking Global Investors LP now owns 2,101,241 shares of the company's stock worth $792,672,000 after purchasing an additional 1,023,265 shares during the period. Finally, Norges Bank bought a new stake in shares of Carvana in the 4th quarter worth approximately $412,338,000. Hedge funds and other institutional investors own 56.71% of the company's stock.

Insider Activity

In other news, insider Thomas Taira sold 18,850 shares of the business's stock in a transaction on Wednesday, April 8th. The shares were sold at an average price of $68.20, for a total transaction of $1,285,570.00. Following the completion of the transaction, the insider directly owned 292,820 shares in the company, valued at $19,970,324. The trade was a 6.05% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director J Danforth Quayle sold 14,525 shares of the business's stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $70.00, for a total transaction of $1,016,750.00. Following the transaction, the director owned 214,960 shares of the company's stock, valued at $15,047,200. This trade represents a 6.33% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 400,812 shares of company stock valued at $28,039,446 over the last 90 days. Company insiders own 15.19% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on CVNA shares. Citizens Jmp lifted their price target on shares of Carvana from $92.00 to $103.00 and gave the stock a "market outperform" rating in a report on Friday, May 1st. Evercore boosted their target price on shares of Carvana from $78.00 to $80.00 in a report on Tuesday, April 28th. Morgan Stanley boosted their target price on shares of Carvana from $90.00 to $102.00 and gave the company an "overweight" rating in a report on Thursday, April 30th. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and set a $107.40 target price on shares of Carvana in a report on Thursday, April 30th. Finally, JPMorgan Chase & Co. boosted their target price on shares of Carvana from $91.00 to $93.00 and gave the company an "overweight" rating in a report on Thursday, April 30th. Two analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat, Carvana currently has a consensus rating of "Moderate Buy" and an average target price of $93.14.

Carvana Trading Down 5.5%

Shares of CVNA stock opened at $64.09 on Friday. The company's fifty day simple moving average is $71.20 and its two-hundred day simple moving average is $75.23. The company has a debt-to-equity ratio of 1.05, a current ratio of 4.09 and a quick ratio of 2.57. Carvana Co. has a 1 year low of $54.46 and a 1 year high of $97.38. The stock has a market capitalization of $70.30 billion, a price-to-earnings ratio of 38.98, a PEG ratio of 11.45 and a beta of 3.45.

Carvana (NYSE:CVNA - Get Free Report) last issued its earnings results on Wednesday, April 29th. The company reported $1.69 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.32 by $1.37. The business had revenue of $6.43 billion for the quarter, compared to analysts' expectations of $6.12 billion. Carvana had a net margin of 6.40% and a return on equity of 41.46%. As a group, analysts anticipate that Carvana Co. will post 1.58 earnings per share for the current year.

Carvana Company 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.