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

Royal Bank of Canada upgraded shares of Carvana (NYSE:CVNA) from a sector perform rating to an outperform rating in a report released on Tuesday morning, MarketBeat Ratings reports. Royal Bank of Canada currently has $280.00 price objective on the stock, up from their previous price objective of $270.00.

Other equities research analysts have also recently issued research reports about the company. Evercore ISI raised their price objective on Carvana from $240.00 to $245.00 and gave the stock an “in-line” rating in a report on Tuesday, December 3rd. JMP Securities reissued a “market outperform” rating and issued a $320.00 price target on shares of Carvana in a research note on Monday, December 16th. Needham & Company LLC reaffirmed a “buy” rating and set a $330.00 price objective on shares of Carvana in a research note on Tuesday. Wells Fargo & Company cut their price objective on shares of Carvana from $300.00 to $275.00 and set an “overweight” rating on the stock in a report on Monday. Finally, JPMorgan Chase & Co. boosted their target price on shares of Carvana from $230.00 to $300.00 and gave the company an “overweight” rating in a report on Thursday, October 31st. Ten analysts have rated the stock with a hold rating and nine have given a buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $237.12.

Carvana Price Performance

NYSE:CVNA opened at $198.67 on Tuesday. Carvana has a 12-month low of $40.21 and a 12-month high of $268.34. The firm has a market cap of $41.25 billion, a price-to-earnings ratio of 19,886.89 and a beta of 3.38. The company’s 50-day moving average is $236.14 and its two-hundred day moving average is $182.59. The company has a current ratio of 3.25, a quick ratio of 2.12 and a debt-to-equity ratio of 18.99.

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 the consensus estimate of $0.23 by $0.41. The firm had revenue of $3.66 billion for the quarter, compared to analysts’ expectations of $3.47 billion. During the same period in the previous year, the company posted $0.23 EPS. The business’s quarterly revenue was up 31.8% on a year-over-year basis. Research analysts expect that Carvana will post 0.76 EPS for the current year.

Insider Activity

In other Carvana news, insider Ryan S. Keeton sold 24,845 shares of Carvana stock in a transaction that occurred on Thursday, December 12th. The stock was sold at an average price of $247.90, for a total transaction of $6,159,075.50. Following the sale, the insider now directly owns 151,029 shares in the company, valued at $37,440,089.10. The trade was a 14.13 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Mark W. Jenkins sold 208,495 shares of the stock in a transaction that occurred on Monday, November 4th. The shares were sold at an average price of $224.43, for a total value of $46,792,532.85. Following the transaction, the chief financial officer now owns 90,732 shares of the company’s stock, valued at approximately $20,362,982.76. This trade represents a 69.68 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 1,051,908 shares of company stock worth $218,824,285 over the last 90 days. Company insiders own 17.12% of the company’s stock.

Institutional Trading of Carvana

Institutional investors have recently added to or reduced their stakes in the stock. Sugarloaf Wealth Management LLC acquired a new stake in shares of Carvana in the 3rd quarter valued at about $32,000. Capital Performance Advisors LLP bought a new stake in Carvana in the third quarter valued at about $40,000. Versant Capital Management Inc acquired a new stake in Carvana during the fourth quarter valued at approximately $42,000. First Horizon Advisors Inc. lifted its holdings in Carvana by 363.0% during the 3rd quarter. First Horizon Advisors Inc. now owns 250 shares of the company’s stock worth $44,000 after buying an additional 196 shares during the last quarter. Finally, Benjamin F. Edwards & Company Inc. acquired a new position in shares of Carvana in the 2nd quarter worth approximately $51,000. 56.71% of the stock is owned by institutional investors and hedge funds.

Carvana Company Profile

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.