Insider Selling: Carvana Co. (NYSE:CVNA) CEO Sells 10,000 Shares of Stock

Key Points

• Carvana CEO, Ernest C. Garcia III, sold 10,000 shares of the company's stock for approximately $3.46 million, reducing his holdings by 1.83%.
• Carvana's stock price recently surged, reaching $359.78, up from a one-year low of $124.39, amidst a strong quarterly earnings report with a revenue increase of 41.9% compared to the previous year.
• Analysts have mixed sentiments on Carvana’s stock, with price targets ranging from $275 to $440, and a consensus rating of "Moderate Buy."

Carvana Co. (NYSE:CVNA - Get Free Report) CEO Ernest C. Garcia III sold 10,000 shares of the business's stock in a transaction dated Friday, August 15th. The stock was sold at an average price of $346.34, for a total value of $3,463,400.00. Following the sale, the chief executive officer owned 536,440 shares in the company, valued at approximately $185,790,629.60. The trade was a 1.83% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website.

Carvana Stock Performance

Shares of CVNA traded up $9.79 during mid-day trading on Monday, hitting $359.78. The company's stock had a trading volume of 3,245,760 shares, compared to its average volume of 3,235,159. Carvana Co. has a one year low of $124.39 and a one year 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. The firm has a market capitalization of $77.42 billion, a PE ratio of 90.17, a price-to-earnings-growth ratio of 1.16 and a beta of 3.57. The stock's 50-day moving average is $338.38 and its two-hundred day moving average is $276.67.

Carvana (NYSE:CVNA - Get Free Report) last posted its quarterly earnings data on Wednesday, July 30th. The company reported $1.28 earnings per share for the quarter, beating the consensus estimate of $1.09 by $0.19. Carvana had a return on equity of 40.57% and a net margin of 3.46%. The company had revenue of $4.84 billion during the quarter, compared to analysts' expectations of $4.54 billion. During the same period in the prior year, the business earned ($0.05) earnings per share. Carvana's revenue for the quarter was up 41.9% compared to the same quarter last year. As a group, sell-side analysts anticipate that Carvana Co. will post 2.85 EPS for the current year.

Wall Street Analyst Weigh In

Several analysts have issued reports on CVNA shares. Robert W. Baird boosted their price objective on Carvana from $200.00 to $275.00 and gave the stock a "neutral" rating in a report on Thursday, May 8th. Wells Fargo & Company upped 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. Piper Sandler upped 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. Wall Street Zen downgraded Carvana from a "buy" rating to a "hold" rating in a report on Saturday. Finally, Stephens upped their target price on Carvana from $300.00 to $375.00 and gave the company an "overweight" rating in a report on Monday, July 7th. Seven investment analysts have rated the stock with a hold rating and twelve have given a buy rating to the company. Based on data from MarketBeat, Carvana has a consensus rating of "Moderate Buy" and a consensus price target of $383.47.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of CVNA. Warren Street Wealth Advisors LLC boosted its holdings in Carvana by 2.8% in the second quarter. Warren Street Wealth Advisors LLC now owns 1,153 shares of the company's stock valued at $388,000 after acquiring an additional 31 shares during the last quarter. MAI Capital Management raised its position in shares of Carvana by 1.8% during the second quarter. MAI Capital Management now owns 1,757 shares of the company's stock worth $592,000 after purchasing an additional 31 shares during the period. Gilder Gagnon Howe & Co. LLC raised its position in shares of Carvana by 1.7% during the second quarter. Gilder Gagnon Howe & Co. LLC now owns 1,846 shares of the company's stock worth $622,000 after purchasing an additional 31 shares during the period. Yousif Capital Management LLC raised its position in shares of Carvana by 4.1% during the first quarter. Yousif Capital Management LLC now owns 1,266 shares of the company's stock worth $265,000 after purchasing an additional 50 shares during the period. Finally, Kingsview Wealth Management LLC raised its position in shares of Carvana by 1.2% during the second quarter. Kingsview Wealth Management LLC now owns 4,611 shares of the company's stock worth $1,554,000 after purchasing an additional 53 shares during the period. 56.71% of the stock is currently owned by institutional investors and hedge funds.

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.

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