Carvana (NYSE:CVNA) Upgraded to Buy at Citigroup

Citigroup upgraded shares of Carvana (NYSE:CVNA) from a neutral rating to a buy rating in a report published on Wednesday, MarketBeat reports. Citigroup currently has $277.00 price target on the stock, up from their previous price target of $195.00.

Other equities research analysts have also recently issued reports about the stock. Wells Fargo & Company decreased their price objective on shares of Carvana from $300.00 to $275.00 and set an “overweight” rating for the company in a research report on Monday. Stephens reiterated an “overweight” rating and issued a $300.00 price objective on shares of Carvana in a report on Thursday, January 2nd. Piper Sandler raised their target price on Carvana from $151.00 to $225.00 and gave the stock a “neutral” rating in a research report on Thursday, October 31st. JPMorgan Chase & Co. increased their price target on shares of Carvana from $230.00 to $300.00 and gave the company an “overweight” rating in a research note on Thursday, October 31st. Finally, Royal Bank of Canada raised shares of Carvana from a “sector perform” rating to an “outperform” rating and raised their price objective for the stock from $270.00 to $280.00 in a report on Tuesday. Nine analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. Based on data from MarketBeat.com, Carvana has a consensus rating of “Moderate Buy” and a consensus price target of $241.94.

Carvana Price Performance

Shares of NYSE CVNA opened at $197.00 on Wednesday. The company has a debt-to-equity ratio of 18.99, a current ratio of 3.25 and a quick ratio of 2.12. The company has a market cap of $40.90 billion, a price-to-earnings ratio of 19,719.72 and a beta of 3.38. The stock’s 50-day moving average is $235.93 and its two-hundred day moving average is $182.69. Carvana has a 1-year low of $40.21 and a 1-year high of $268.34.

Carvana (NYSE:CVNA) last released its earnings results on Wednesday, October 30th. The company reported $0.64 earnings per share for the quarter, topping analysts’ consensus estimates 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 quarter in the previous year, the company posted $0.23 earnings per share. The firm’s quarterly revenue was up 31.8% on a year-over-year basis. Analysts forecast that Carvana will post 0.76 EPS for the current fiscal year.

Insiders Place Their Bets

In other Carvana news, insider Paul W. Breaux sold 14,548 shares of the company’s stock in a transaction dated Tuesday, October 22nd. The shares were sold at an average price of $198.00, for a total value of $2,880,504.00. Following the sale, the insider now owns 119,494 shares of the company’s stock, valued at $23,659,812. This represents a 10.85 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, major shareholder Ernest C. Garcia II sold 100,000 shares of the firm’s stock in a transaction that occurred on Friday, October 11th. The stock was sold at an average price of $192.55, for a total transaction of $19,255,000.00. Following the transaction, the insider now directly owns 38,258,131 shares of the company’s stock, valued at approximately $7,366,603,124.05. This trade represents a 0.26 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 1,051,908 shares of company stock worth $218,824,285. Corporate insiders own 17.12% of the company’s stock.

Institutional Investors Weigh In On Carvana

Large investors have recently bought and sold shares of the stock. Diversified Trust Co lifted its stake in shares of Carvana by 123.4% during the fourth quarter. Diversified Trust Co now owns 4,848 shares of the company’s stock valued at $986,000 after buying an additional 2,678 shares during the period. Nordea Investment Management AB acquired a new position in Carvana in the 4th quarter valued at $1,743,000. Central Pacific Bank Trust Division purchased a new position in shares of Carvana during the 4th quarter worth $609,000. Everence Capital Management Inc. acquired a new stake in shares of Carvana during the fourth quarter worth $573,000. Finally, GAMMA Investing LLC grew its position in shares of Carvana by 28.9% in the fourth quarter. GAMMA Investing LLC now owns 784 shares of the company’s stock valued at $159,000 after purchasing an additional 176 shares during the period. Institutional investors and hedge funds own 56.71% of the company’s stock.

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.