UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC Has $218.87 Million Stock Position in Carvana Co. $CVNA

Key Points

• UBS Asset Management increased its Carvana stake by 345.8% in the second quarter, purchasing 2.58 million additional shares and bringing its position to 3.33 million shares valued at approximately $218.9 million.
• Analysts maintain a generally positive view, with Carvana receiving a consensus “Moderate Buy” rating and an average price target of $84.14, above its reported trading price of $73.48.
• Carvana exceeded quarterly expectations, reporting $0.42 in EPS versus $0.39 expected and $7.38 billion in revenue, up 52.4% year over year; however, insiders sold roughly $20.4 million of stock during the quarter.

UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in shares of Carvana Co. (NYSE:CVNA - Free Report) by 345.8% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 3,325,237 shares of the company's stock after purchasing an additional 2,579,295 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC owned approximately 0.30% of Carvana worth $218,867,000 at the end of the most recent reporting period.

Several other hedge funds have also modified their holdings of the stock. Farmers & Merchants Investments Inc. bought a new position in Carvana in the fourth quarter valued at approximately $29,000. Motiv8 Investments LLC bought a new stake in shares of Carvana during the 4th quarter valued at $33,000. Ascentis Independent Advisors bought a new stake in shares of Carvana during the 1st quarter valued at $26,000. Annis Gardner Whiting Capital Advisors LLC lifted its stake in shares of Carvana by 152.6% in the 1st quarter. Annis Gardner Whiting Capital Advisors LLC now owns 96 shares of the company's stock valued at $30,000 after purchasing an additional 58 shares during the period. Finally, DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main acquired a new position in shares of Carvana in the 2nd quarter valued at $38,000. 56.71% of the stock is owned by institutional investors.

Analysts Set New Price Targets

CVNA has been the subject of a number of research analyst reports. Weiss Ratings raised Carvana from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Wednesday, August 5th. UBS Group reissued a "buy" rating and set a $83.00 price target on shares of Carvana in a research report on Friday, July 31st. Barclays dropped their price target on shares of Carvana from $94.00 to $93.00 and set an "overweight" rating on the stock in a research report on Friday, July 31st. Morgan Stanley set a $90.00 price objective on Carvana and gave the company an "overweight" rating in a research report on Thursday, July 30th. Finally, Jefferies Financial Group cut their target price on shares of Carvana from $95.00 to $90.00 and set a "buy" rating for the company in a research note on Tuesday, July 14th. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and seven have issued a Hold rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $84.14.

Carvana Trading Down 0.8%

Shares of Carvana stock opened at $73.48 on Tuesday. The firm has a market capitalization of $80.86 billion, a PE ratio of 40.64, a price-to-earnings-growth ratio of 2.69 and a beta of 3.46. The company has a current ratio of 3.93, a quick ratio of 2.33 and a debt-to-equity ratio of 0.94. The firm's 50 day moving average is $68.24 and its 200 day moving average is $68.27. Carvana Co. has a 1 year low of $54.46 and a 1 year high of $97.38.

Carvana (NYSE:CVNA - Get Free Report) last announced its quarterly earnings results on Wednesday, July 29th. The company reported $0.42 EPS for the quarter, beating analysts' consensus estimates of $0.39 by $0.03. Carvana had a return on equity of 37.06% and a net margin of 6.26%.The company had revenue of $7.38 billion during the quarter, compared to analysts' expectations of $6.90 billion. During the same period in the prior year, the company earned $1.51 EPS. Carvana's revenue was up 52.4% compared to the same quarter last year. Equities research analysts forecast that Carvana Co. will post 1.68 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Carvana news, Director J Danforth Quayle sold 14,525 shares of the company'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 sale, the director owned 214,960 shares of the company's stock, valued at approximately $15,047,200. This represents a 6.33% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Benjamin E. Huston sold 50,000 shares of the business's stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $68.55, for a total value of $3,427,500.00. Following the completion of the transaction, the chief operating officer directly owned 458,755 shares in the company, valued at approximately $31,447,655.25. This trade represents a 9.83% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 302,147 shares of company stock valued at $20,418,064 over the last quarter. Company insiders own 15.19% of the company's stock.

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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