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William Blair Comments on Carvana's Q3 Earnings (NYSE:CVNA)

Carvana logo with Retail/Wholesale background

Key Points

  • William Blair has raised its Q3 2025 earnings per share estimate for Carvana from $1.44 to $1.49, maintaining an "Outperform" rating for the stock.
  • Carvana reported a 41.9% revenue increase year-over-year, totaling $4.84 billion for its last quarter, and beat the expected earnings per share by $0.19.
  • Shares of Carvana are currently trading with an average target price of $419.94, supported by multiple "Buy" ratings from analysts.
  • Interested in Carvana? Here are five stocks we like better.

Carvana Co. (NYSE:CVNA - Free Report) - William Blair increased their Q3 2025 earnings per share (EPS) estimates for Carvana in a note issued to investors on Tuesday, October 21st. William Blair analyst S. Zackfia now forecasts that the company will post earnings per share of $1.49 for the quarter, up from their previous forecast of $1.44. William Blair has a "Outperform" rating on the stock. The consensus estimate for Carvana's current full-year earnings is $2.85 per share. William Blair also issued estimates for Carvana's Q4 2025 earnings at $1.26 EPS and FY2025 earnings at $5.80 EPS.

Carvana (NYSE:CVNA - Get Free Report) last announced its quarterly 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 return on equity of 40.57% and a net margin of 3.46%.The company had revenue of $4.84 billion for the quarter, compared to the consensus estimate of $4.54 billion. During the same quarter last year, the company posted ($0.05) earnings per share. The company's revenue for the quarter was up 41.9% compared to the same quarter last year.

Several other equities analysts also recently commented on CVNA. BTIG Research reiterated a "buy" rating and set a $450.00 price target on shares of Carvana in a report on Friday, October 17th. Needham & Company LLC raised their price objective on shares of Carvana from $340.00 to $500.00 and gave the stock a "buy" rating in a research note on Thursday, July 31st. DA Davidson raised their price objective on shares of Carvana from $260.00 to $380.00 and gave the stock a "neutral" rating in a research note on Thursday, July 31st. Wells Fargo & Company raised their price objective on shares of Carvana from $390.00 to $425.00 and gave the stock an "overweight" rating in a research note on Thursday, July 31st. Finally, Zacks Research upgraded shares of Carvana from a "hold" rating to a "strong-buy" rating in a research note on Monday, October 6th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and six have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $419.94.

Check Out Our Latest Stock Analysis on CVNA

Carvana Trading Down 8.0%

Shares of CVNA stock opened at $327.48 on Thursday. Carvana has a 12 month low of $148.25 and a 12 month high of $413.33. The company has a quick ratio of 2.58, a current ratio of 4.00 and a debt-to-equity ratio of 2.51. The business's 50 day moving average is $363.70 and its two-hundred day moving average is $322.39. The company has a market cap of $70.47 billion, a PE ratio of 82.08, a price-to-earnings-growth ratio of 1.16 and a beta of 3.55.

Insider Transactions at Carvana

In related news, major shareholder Ernest C. Garcia II sold 100,000 shares of the stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $371.30, for a total value of $37,130,000.00. Following the completion of the transaction, the insider owned 35,142,792 shares of the company's stock, valued at $13,048,518,669.60. This represents a 0.28% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Daniel J. Gill sold 80,000 shares of the stock in a transaction dated Thursday, July 31st. The stock was sold at an average price of $398.91, for a total transaction of $31,912,800.00. Following the completion of the transaction, the insider directly owned 197,832 shares of the company's stock, valued at $78,917,163.12. This trade represents a 28.79% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 1,558,292 shares of company stock valued at $567,999,107. Company insiders own 17.12% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. Price T Rowe Associates Inc. MD raised its position in Carvana by 13.9% in 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 purchasing an additional 1,823,218 shares in the last quarter. Vanguard Group Inc. raised its position in Carvana by 1.8% in the second quarter. Vanguard Group Inc. now owns 12,764,230 shares of the company's stock worth $4,301,035,000 after purchasing an additional 229,387 shares in the last quarter. State Street Corp raised its position in Carvana by 15.0% in the second quarter. State Street Corp now owns 2,765,046 shares of the company's stock worth $931,710,000 after purchasing an additional 361,624 shares in the last quarter. Geode Capital Management LLC boosted its stake in shares of Carvana by 11.0% in the 2nd quarter. Geode Capital Management LLC now owns 2,232,179 shares of the company's stock valued at $750,301,000 after purchasing an additional 221,161 shares in the last quarter. Finally, Sands Capital Management LLC boosted its stake in shares of Carvana by 1,374.3% in the 2nd quarter. Sands Capital Management LLC now owns 901,227 shares of the company's stock valued at $303,677,000 after purchasing an additional 840,096 shares in the last quarter. Institutional investors and hedge funds own 56.71% of the company's stock.

About Carvana

(Get Free Report)

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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Earnings History and Estimates for Carvana (NYSE:CVNA)

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