Barclays Issues Pessimistic Forecast for Carvana (NYSE:CVNA) Stock Price

Carvana (NYSE:CVNA) had its price target cut by investment analysts at Barclays from $450.00 to $430.00 in a research note issued on Monday,MarketScreener reports. The firm currently has an “overweight” rating on the stock. Barclays‘s price objective points to a potential upside of 37.16% from the stock’s current price.

CVNA has been the subject of a number of other research reports. BTIG Research decreased their target price on Carvana from $535.00 to $455.00 and set a “buy” rating for the company in a research report on Thursday, February 19th. Argus upgraded shares of Carvana to a “strong-buy” rating in a research report on Tuesday, March 3rd. Stephens reiterated an “overweight” rating and set a $519.00 target price on shares of Carvana in a research report on Thursday, February 19th. Jefferies Financial Group cut their price target on Carvana from $550.00 to $485.00 and set a “buy” rating for the company in a report on Monday, February 23rd. Finally, Bank of America reissued a “neutral” rating and issued a $360.00 price objective (down from $400.00) on shares of Carvana in a research note on Monday. One investment analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and seven have issued a Hold rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $437.86.

Carvana Price Performance

Carvana stock opened at $313.50 on Monday. The stock has a market cap of $68.61 billion, a price-to-earnings ratio of 38.99 and a beta of 3.61. The company has a quick ratio of 2.73, a current ratio of 4.31 and a debt-to-equity ratio of 1.15. The business has a 50-day simple moving average of $342.93 and a 200 day simple moving average of $371.92. Carvana has a 52 week low of $148.25 and a 52 week high of $486.89.

Carvana shares are set to split on the morning of Thursday, May 7th. The 5-1 split was announced on Friday, March 13th. The newly created shares will be issued to shareholders after the market closes on Wednesday, May 6th.

Carvana (NYSE:CVNA) last posted its earnings results on Wednesday, February 18th. The company reported $4.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.10 by $3.12. The company had revenue of $5.60 billion for the quarter, compared to analysts’ expectations of $5.24 billion. Carvana had a return on equity of 50.96% and a net margin of 6.92%.Carvana’s quarterly revenue was up 58.0% on a year-over-year basis. During the same period last year, the firm earned $0.56 earnings per share. On average, research analysts forecast that Carvana will post 2.85 earnings per share for the current fiscal year.

Insider Activity at Carvana

In other Carvana news, insider Thomas Taira sold 1,174 shares of the business’s stock in a transaction on Thursday, January 8th. The shares were sold at an average price of $447.00, for a total transaction of $524,778.00. Following the transaction, the insider owned 68,252 shares in the company, valued at $30,508,644. The trade was a 1.69% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, COO Benjamin E. Huston sold 10,000 shares of the stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $309.86, for a total transaction of $3,098,600.00. Following the completion of the sale, the chief operating officer directly owned 92,924 shares in the company, valued at $28,793,430.64. This trade represents a 9.72% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 53,574 shares of company stock valued at $19,259,412 over the last three months. Corporate insiders own 17.12% of the company’s stock.

Hedge Funds Weigh In On Carvana

Several hedge funds have recently bought and sold shares of CVNA. Royal Bank of Canada lifted its position in shares of Carvana by 40.8% during the first quarter. Royal Bank of Canada now owns 29,867 shares of the company’s stock worth $6,243,000 after purchasing an additional 8,654 shares during the last quarter. Geneos Wealth Management Inc. boosted its position in Carvana by 251.4% in the first quarter. Geneos Wealth Management Inc. now owns 253 shares of the company’s stock valued at $53,000 after buying an additional 181 shares during the last quarter. Northwestern Mutual Wealth Management Co. lifted its holdings in Carvana by 18.3% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 1,447 shares of the company’s stock valued at $488,000 after acquiring an additional 224 shares during the period. EverSource Wealth Advisors LLC boosted its position in Carvana by 19.2% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 800 shares of the company’s stock worth $270,000 after purchasing an additional 129 shares in the last quarter. Finally, Federated Hermes Inc. grew its stake in shares of Carvana by 37.9% during the 2nd quarter. Federated Hermes Inc. now owns 118,238 shares of the company’s stock worth $39,841,000 after purchasing an additional 32,504 shares during the period. Institutional investors own 56.71% of the company’s stock.

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.