Gavilan Investment Partners LLC Takes Position in Carvana Co. $CVNA

Gavilan Investment Partners LLC purchased a new position in shares of Carvana Co. (NYSE:CVNA) in the 3rd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 69,000 shares of the company’s stock, valued at approximately $26,030,000. Carvana accounts for approximately 5.8% of Gavilan Investment Partners LLC’s investment portfolio, making the stock its 11th biggest holding.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Vanguard Group Inc. lifted its position in Carvana by 5.4% in the 3rd quarter. Vanguard Group Inc. now owns 13,454,986 shares of the company’s stock worth $5,075,759,000 after buying an additional 690,756 shares in the last quarter. State Street Corp grew its holdings in shares of Carvana by 15.0% during the 2nd quarter. State Street Corp now owns 2,765,046 shares of the company’s stock valued at $931,710,000 after acquiring 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 2nd quarter. Geode Capital Management LLC now owns 2,232,179 shares of the company’s stock valued at $750,301,000 after acquiring an additional 221,161 shares in the last quarter. Sands Capital Management LLC increased its stake in shares of Carvana by 1,374.3% in the second quarter. Sands Capital Management LLC now owns 901,227 shares of the company’s stock worth $303,677,000 after acquiring an additional 840,096 shares during the last quarter. Finally, Norges Bank acquired a new position in shares of Carvana in the second quarter worth $259,468,000. 56.71% of the stock is owned by hedge funds and other institutional investors.

Key Carvana News

Here are the key news stories impacting Carvana this week:

• Positive Sentiment: Zacks says Carvana has a clear path to a 13.5% adjusted EBITDA margin over time as fixed‑cost leverage and operational efficiencies scale (Q4 dipped to 9.1%). Will Carvana’s Fixed Cost Leverage Drive Its EBITDA Margin?
• Positive Sentiment: Zacks highlights Carvana’s push toward vertical integration (in‑house reconditioning, logistics, financing) as a structural margin tailwind and notes strong customer referrals that could support market‑share gains. Will Vertical Integration Strengthen Carvana’s Prospects?
• Positive Sentiment: Wholesale used‑vehicle prices (Manheim index) rose year‑over‑year in February, which can support retail pricing and gross profit per unit as the spring selling season begins. Used vehicle prices jump ahead of spring selling season optimism
• Neutral Sentiment: Industry and analyst sentiment remains generally constructive: Carvana has a consensus rating around “Moderate Buy,” reflecting mixed analyst views on near‑term execution vs. long‑term opportunity. Carvana Receives Consensus Rating
• Negative Sentiment: Retail GPU fell in Q4 (roughly a $255 decline), and rising reconditioning and logistics costs pressured margins; management says automation/scale should help, but near‑term recovery is uncertain. Carvana’s GPU Declines in Q4: What Will Drive Improvement?
• Negative Sentiment: Several analysts have trimmed near‑term estimates and price targets (e.g., Citi cut its PT), and headlines flag a “rough start” to 2026—these revisions are weighing on sentiment and the stock. Carvana Stock Continues to Slide As Analysts Lower Price Targets
• Negative Sentiment: Zacks Research issued mixed estimate changes: small raises for some later periods but meaningful cuts to near‑term quarters (Q2 2026, Q3 2027), underscoring uncertainty over short‑term profitability.

Carvana Stock Down 4.1%

CVNA stock opened at $317.69 on Monday. The firm has a market cap of $69.53 billion, a PE ratio of 39.51 and a beta of 3.60. Carvana Co. has a 1 year low of $148.25 and a 1 year high of $486.89. The company has a fifty day simple moving average of $399.42 and a 200 day simple moving average of $380.56. The company has a current ratio of 4.31, a quick ratio of 2.73 and a debt-to-equity ratio of 1.15.

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

Insider Activity at Carvana

In related news, CFO Mark W. Jenkins sold 12,750 shares of the business’s stock in a transaction that occurred on Monday, February 2nd. The stock was sold at an average price of $410.19, for a total value of $5,229,922.50. Following the completion of the sale, the chief financial officer directly owned 202,817 shares in the company, valued at approximately $83,193,505.23. The trade was a 5.91% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP Stephen R. Palmer sold 1,000 shares of the company’s stock in a transaction that occurred on Monday, February 2nd. The stock was sold at an average price of $393.04, for a total value of $393,040.00. Following the sale, the vice president directly owned 37,192 shares of the company’s stock, valued at $14,617,943.68. The trade was a 2.62% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 129,721 shares of company stock worth $58,264,697 in the last 90 days. Insiders own 16.36% of the company’s stock.

Analyst Ratings Changes

A number of analysts recently issued reports on the company. Gordon Haskett reduced their price objective on Carvana from $435.00 to $350.00 and set a “hold” rating for the company in a research report on Friday, February 20th. Argus raised Carvana to a “strong-buy” rating in a research report on Tuesday, March 3rd. Needham & Company LLC reaffirmed a “buy” rating and set a $500.00 price target on shares of Carvana in a research note on Thursday, February 19th. DA Davidson reduced their price target on Carvana from $470.00 to $320.00 and set a “neutral” rating for the company in a report on Thursday, February 19th. Finally, Deutsche Bank Aktiengesellschaft lowered their price target on Carvana from $600.00 to $519.00 and set a “buy” rating for the company in a research note on Thursday, February 19th. One investment analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating and five have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, Carvana presently has a consensus rating of “Moderate Buy” and a consensus target price of $440.59.

Carvana Company Profile

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.