Carvana (NYSE:CVNA) Upgraded to Outperform at Royal Bank of Canada

Carvana (NYSE:CVNA) was upgraded by equities researchers at Royal Bank of Canada from a “sector perform” rating to an “outperform” rating in a report released on Tuesday,Briefing.com Automated Import reports. The brokerage currently has a $280.00 target price on the stock, up from their previous target price of $270.00. Royal Bank of Canada’s target price would suggest a potential upside of 48.27% from the company’s current price.

Several other analysts also recently commented on CVNA. Citigroup increased their price objective on shares of Carvana from $125.00 to $195.00 and gave the company a “neutral” rating in a research report on Thursday, October 3rd. Wells Fargo & Company reduced their price target on shares of Carvana from $300.00 to $275.00 and set an “overweight” rating for the company in a research report on Monday. Piper Sandler upped their price objective on Carvana from $151.00 to $225.00 and gave the company a “neutral” rating in a research report on Thursday, October 31st. JMP Securities reissued a “market outperform” rating and issued a $320.00 target price on shares of Carvana in a report on Monday, December 16th. Finally, Needham & Company LLC reaffirmed a “buy” rating and set a $330.00 price target on shares of Carvana in a report on Tuesday. Ten investment analysts have rated the stock with a hold rating and nine have issued a buy rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $237.12.

Carvana Price Performance

CVNA stock opened at $188.84 on Tuesday. The company has a debt-to-equity ratio of 18.99, a quick ratio of 2.12 and a current ratio of 3.25. The firm has a 50 day moving average price of $236.34 and a 200-day moving average price of $181.99. Carvana has a 52-week low of $40.21 and a 52-week high of $268.34. The firm has a market capitalization of $39.21 billion, a price-to-earnings ratio of 18,902.90 and a beta of 3.38.

Carvana (NYSE:CVNA) last announced its quarterly earnings data on Wednesday, October 30th. The company reported $0.64 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.23 by $0.41. The company had revenue of $3.66 billion for the quarter, compared to analysts’ expectations of $3.47 billion. During the same quarter in the previous year, the firm posted $0.23 EPS. The firm’s quarterly revenue was up 31.8% compared to the same quarter last year. Equities research analysts forecast that Carvana will post 0.76 EPS for the current fiscal year.

Insider Buying and Selling at Carvana

In other Carvana news, major shareholder Ernest C. Garcia II sold 100,000 shares of the firm’s stock in a transaction dated Wednesday, October 9th. The stock was sold at an average price of $190.70, for a total transaction of $19,070,000.00. Following the sale, the insider now directly owns 38,458,131 shares of the company’s stock, valued at $7,333,965,581.70. This trade represents a 0.26 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Mark W. Jenkins sold 208,495 shares of the business’s stock in a transaction that occurred on Monday, November 4th. The stock was sold at an average price of $224.43, for a total value of $46,792,532.85. Following the completion of the transaction, the chief financial officer now directly owns 90,732 shares in the company, valued at approximately $20,362,982.76. This represents a 69.68 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 1,151,908 shares of company stock valued at $237,894,285 over the last 90 days. 17.12% of the stock is currently owned by corporate insiders.

Institutional Trading of Carvana

A number of large investors have recently added to or reduced their stakes in CVNA. Eagle Asset Management Inc. bought a new position in shares of Carvana during the 3rd quarter valued at approximately $50,531,000. Central Pacific Bank Trust Division purchased a new position in shares of Carvana in the 4th quarter worth $609,000. Driehaus Capital Management LLC grew its stake in shares of Carvana by 124.9% in the 2nd quarter. Driehaus Capital Management LLC now owns 581,787 shares of the company’s stock worth $74,888,000 after buying an additional 323,153 shares in the last quarter. Swiss National Bank grew its stake in shares of Carvana by 6.9% in the 3rd quarter. Swiss National Bank now owns 207,900 shares of the company’s stock worth $36,197,000 after buying an additional 13,400 shares in the last quarter. Finally, Integrated Advisors Network LLC lifted its holdings in shares of Carvana by 89.2% in the 3rd quarter. Integrated Advisors Network LLC now owns 53,004 shares of the company’s stock valued at $9,229,000 after acquiring an additional 24,996 shares during the last quarter. 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.