Park Avenue Securities LLC Acquires New Shares in Carvana Co. $CVNA

Key Points

• Park Avenue Securities LLC acquired a new stake in Carvana Co. of 2,362 shares valued at approximately $796,000 during the second quarter.
• Major shareholder Ernest C. Garcia II sold 193,376 shares of Carvana stock in July, totaling over $72 million, significantly reducing his ownership.
• Analysts have increased target prices for Carvana, with ratings ranging from "Overweight" to "Buy", indicating strong investor confidence in the company's future performance.

Park Avenue Securities LLC acquired a new stake in shares of Carvana Co. (NYSE:CVNA - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm acquired 2,362 shares of the company's stock, valued at approximately $796,000.

Other institutional investors have also recently bought and sold shares of the company. Price T Rowe Associates Inc. MD raised its holdings in Carvana by 13.9% during the first quarter. Price T Rowe Associates Inc. MD now owns 14,950,011 shares of the company's stock valued at $3,125,749,000 after buying an additional 1,823,218 shares in the last quarter. Vanguard Group Inc. increased its stake in shares of Carvana by 9.7% in the first quarter. Vanguard Group Inc. now owns 12,534,843 shares of the company's stock worth $2,620,785,000 after purchasing an additional 1,109,476 shares during the period. Alyeska Investment Group L.P. bought a new position in shares of Carvana in the first quarter worth about $71,856,000. Contour Asset Management LLC increased its stake in shares of Carvana by 71.4% in the first quarter. Contour Asset Management LLC now owns 643,114 shares of the company's stock worth $134,462,000 after purchasing an additional 267,994 shares during the period. Finally, GAMMA Investing LLC increased its stake in shares of Carvana by 27,368.4% in the first quarter. GAMMA Investing LLC now owns 215,352 shares of the company's stock worth $45,026,000 after purchasing an additional 214,568 shares during the period. Institutional investors and hedge funds own 56.71% of the company's stock.

Insiders Place Their Bets

In other news, major shareholder Ernest C. Garcia II sold 100,000 shares of the stock in a transaction dated Tuesday, July 8th. The shares were sold at an average price of $353.76, for a total transaction of $35,376,000.00. Following the completion of the transaction, the insider directly owned 36,437,346 shares in the company, valued at $12,890,075,520.96. This represents a 0.27% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, major shareholder Ernest C. Garcia II sold 93,376 shares of the company's stock in a transaction dated Thursday, July 31st. The shares were sold at an average price of $394.16, for a total transaction of $36,805,084.16. Following the completion of the sale, the insider directly owned 6,624 shares in the company, valued at approximately $2,610,915.84. The trade was a 93.38% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 2,381,066 shares of company stock valued at $848,256,074. Company insiders own 17.12% of the company's stock.

Analyst Ratings Changes

A number of research firms recently weighed in on CVNA. Piper Sandler lifted their target price on Carvana from $340.00 to $440.00 and gave the stock an "overweight" rating in a research report on Thursday, July 31st. JPMorgan Chase & Co. lifted their target price on Carvana from $415.00 to $425.00 and gave the stock an "overweight" rating in a research report on Wednesday, September 17th. Needham & Company LLC lifted their target price on Carvana from $340.00 to $500.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. Stephens reissued an "overweight" rating and set a $440.00 target price on shares of Carvana in a research report on Tuesday, September 23rd. Finally, Bank of America lifted their target price on Carvana from $375.00 to $425.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. Twelve equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $387.88.

Carvana Stock Performance

Shares of Carvana stock opened at $369.45 on Friday. The firm has a fifty day moving average of $359.61 and a two-hundred day moving average of $302.58. The stock has a market capitalization of $79.51 billion, a price-to-earnings ratio of 92.59, a PEG ratio of 1.21 and a beta of 3.51. Carvana Co. has a 52 week low of $148.25 and a 52 week high of $413.33. The company has a debt-to-equity ratio of 2.51, a quick ratio of 2.58 and a current ratio of 4.00.

Carvana (NYSE:CVNA - Get Free Report) last issued its earnings results on Wednesday, July 30th. The company reported $1.28 EPS for the quarter, beating 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 analysts' expectations of $4.54 billion. During the same quarter in the previous year, the company posted ($0.05) EPS. The business's revenue for the quarter was up 41.9% compared to the same quarter last year. As a group, equities research analysts predict that Carvana Co. will post 2.85 EPS for the current year.

Carvana 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.

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