Carvana (NYSE:CVNA) Price Target Raised to $425.00

Key Points

• JPMorgan Chase & Co. raised its price target for Carvana (NYSE: CVNA) from $415 to $425, reflecting a potential upside of 14.31% from its current price.
• Carvana's revenue for the last quarter increased by 41.9% year-over-year, amounting to $4.84 billion, exceeding analyst estimates.
• Despite recent positive ratings from several analysts, including JMP Securities and Royal Bank of Canada, Wall Street Zen downgraded Carvana from a "buy" to a "hold" rating just weeks ago.

Carvana (NYSE:CVNA - Free Report) had its price objective increased by JPMorgan Chase & Co. from $415.00 to $425.00 in a report released on Wednesday morning,Benzinga reports. They currently have an overweight rating on the stock.

Other equities analysts have also recently issued reports about the stock. Needham & Company LLC boosted their target price on shares of Carvana from $340.00 to $500.00 and gave the company a "buy" rating in a research note on Thursday, July 31st. JMP Securities boosted their target price on shares of Carvana from $440.00 to $460.00 and gave the company a "market outperform" rating in a research note on Thursday, July 31st. Stephens boosted their target price on shares of Carvana from $300.00 to $375.00 and gave the company an "overweight" rating in a research note on Monday, July 7th. Gordon Haskett initiated coverage on shares of Carvana in a research note on Monday, July 14th. They issued a "hold" rating and a $329.00 target price for the company. Finally, Evercore ISI boosted their target price on shares of Carvana from $365.00 to $370.00 and gave the company an "in-line" rating in a research note on Tuesday, August 12th. Twelve research analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $384.06.

Carvana Stock Performance

NYSE CVNA traded up $0.64 on Wednesday, hitting $378.70. 3,878,796 shares of the company's stock traded hands, compared to its average volume of 2,149,115. The company has a current ratio of 4.00, a quick ratio of 2.58 and a debt-to-equity ratio of 2.51. Carvana has a 1-year low of $148.25 and a 1-year high of $413.33. The firm's 50-day moving average price is $355.77 and its two-hundred day moving average price is $293.96. The firm has a market capitalization of $81.50 billion, a PE ratio of 94.91, a P/E/G ratio of 1.25 and a beta of 3.51.

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

Insider Buying and Selling

In related news, Director Ira J. Platt sold 14,000 shares of the business's stock in a transaction on Wednesday, September 10th. The shares were sold at an average price of $379.14, for a total value of $5,307,960.00. Following the completion of the sale, the director owned 7,231 shares of the company's stock, valued at approximately $2,741,561.34. The trade was a 65.94% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Paul W. Breaux sold 15,000 shares of the business's stock in a transaction on Tuesday, September 9th. The stock was sold at an average price of $375.00, for a total transaction of $5,625,000.00. Following the completion of the sale, the insider directly owned 83,018 shares of the company's stock, valued at approximately $31,131,750. The trade was a 15.30% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 2,426,037 shares of company stock worth $859,509,055 in the last 90 days. 17.12% of the stock is owned by insiders.

Institutional Investors Weigh In On Carvana

A number of large investors have recently modified their holdings of the business. Price T Rowe Associates Inc. MD grew its holdings in shares of 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 worth $3,125,749,000 after buying an additional 1,823,218 shares in the last quarter. Vanguard Group Inc. grew its holdings in shares of Carvana by 1.8% during the second quarter. Vanguard Group Inc. now owns 12,764,230 shares of the company's stock worth $4,301,035,000 after buying an additional 229,387 shares in the last quarter. State Street Corp grew its holdings in shares of Carvana by 15.0% during the second quarter. State Street Corp now owns 2,765,046 shares of the company's stock worth $931,710,000 after buying an additional 361,624 shares in the last quarter. Geode Capital Management LLC grew its holdings in shares of Carvana by 11.0% during the second quarter. Geode Capital Management LLC now owns 2,232,179 shares of the company's stock worth $750,301,000 after buying an additional 221,161 shares in the last quarter. Finally, Sands Capital Management LLC grew its holdings in shares of Carvana by 1,374.3% during the second quarter. Sands Capital Management LLC now owns 901,227 shares of the company's stock worth $303,677,000 after buying an additional 840,096 shares in the last quarter. Hedge funds and other institutional investors own 56.71% of the company's stock.

About Carvana

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.