Zacks Research Forecasts Carvana's Q1 Earnings (NYSE:CVNA)

Key Points

• Zacks Research lowered its Q1 2027 EPS estimate for Carvana to $0.47 from $0.50, while keeping a Hold rating on the stock.
• Analyst sentiment remains generally positive overall, with MarketBeat citing an average rating of Moderate Buy and a consensus target price of $92.92 despite the Zacks downgrade.
• Carvana recently beat expectations in its last reported quarter, posting EPS of $1.69 versus $0.32 expected and revenue of $6.43 billion, while the stock was last trading around $67.50.

Carvana Co. (NYSE:CVNA - Free Report) - Stock analysts at Zacks Research cut their Q1 2027 earnings per share (EPS) estimates for shares of Carvana in a report released on Thursday, July 16th. Zacks Research analyst Team now expects that the company will post earnings per share of $0.47 for the quarter, down from their prior forecast of $0.50. Zacks Research currently has a "Hold" rating on the stock. The consensus estimate for Carvana's current full-year earnings is $1.58 per share. Zacks Research also issued estimates for Carvana's Q4 2027 earnings at $0.38 EPS, FY2027 earnings at $1.99 EPS, Q1 2028 earnings at $0.77 EPS, Q2 2028 earnings at $0.74 EPS and FY2028 earnings at $3.25 EPS.

Several other equities analysts also recently issued reports on the stock. BTIG Research restated a "buy" rating and set a $97.00 price objective on shares of Carvana in a report on Friday, June 5th. Barclays set a $93.00 target price on shares of Carvana and gave the stock an "overweight" rating in a research note on Thursday, May 14th. Gordon Haskett boosted their target price on shares of Carvana from $67.00 to $85.00 and gave the stock a "hold" rating in a research report on Thursday, April 30th. Needham & Company LLC restated a "buy" rating and set a $120.00 price target on shares of Carvana in a research note on Friday, June 5th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and issued a $107.40 price target on shares of Carvana in a report on Thursday, April 30th. One research analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $92.92.

Carvana Price Performance

Shares of NYSE CVNA opened at $67.50 on Monday. The company has a debt-to-equity ratio of 1.05, a quick ratio of 2.57 and a current ratio of 4.09. The company has a market cap of $74.04 billion, a PE ratio of 41.06, a P/E/G ratio of 11.34 and a beta of 3.46. The business has a 50-day simple moving average of $67.86 and a two-hundred day simple moving average of $72.29. Carvana has a fifty-two week low of $54.46 and a fifty-two week high of $97.38.

Carvana (NYSE:CVNA - Get Free Report) last announced its earnings results on Wednesday, April 29th. The company reported $1.69 earnings per share for the quarter, topping the consensus estimate of $0.32 by $1.37. Carvana had a return on equity of 41.46% and a net margin of 6.40%.The firm had revenue of $6.43 billion for the quarter, compared to the consensus estimate of $6.12 billion.

Insiders Place Their Bets

In related news, insider Thomas Taira sold 5,597 shares of the company's stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $67.15, for a total value of $375,838.55. Following the sale, the insider owned 315,075 shares in the company, valued at $21,157,286.25. This represents a 1.75% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director J Danforth Quayle sold 14,525 shares of the company's stock in a transaction that occurred on Wednesday, June 10th. The shares were sold at an average price of $70.00, for a total value of $1,016,750.00. Following the completion of the sale, the director owned 214,960 shares in the company, valued at approximately $15,047,200. This represents a 6.33% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 396,962 shares of company stock valued at $28,525,088. Insiders own 15.19% of the company's stock.

Hedge Funds Weigh In On Carvana

A number of institutional investors have recently bought and sold shares of the business. Ascentis Independent Advisors acquired a new stake in shares of Carvana in the first quarter worth $26,000. Thurston Springer Miller Herd & Titak Inc. purchased a new position in shares of Carvana during the fourth quarter worth $29,000. Farmers & Merchants Investments Inc. acquired a new position in Carvana during the fourth quarter valued at $29,000. Annis Gardner Whiting Capital Advisors LLC boosted its holdings in Carvana by 152.6% in the first 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 last quarter. Finally, Motiv8 Investments LLC purchased a new stake in Carvana in the fourth quarter valued at $33,000. 56.71% of the stock is owned by hedge funds and other institutional investors.

About Carvana

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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