Bank of America Forecasts Strong Price Appreciation for Carvana (NYSE:CVNA) Stock

Carvana (NYSE:CVNA) had its price target upped by investment analysts at Bank of America from $252.00 to $270.00 in a report issued on Friday,Benzinga reports. The firm currently has a “buy” rating on the stock. Bank of America‘s target price would suggest a potential upside of 8.86% from the company’s previous close.

Several other equities analysts have also weighed in on the stock. Citigroup upgraded shares of Carvana from a “neutral” rating to a “buy” rating and raised their price objective for the company from $195.00 to $277.00 in a research report on Wednesday, January 8th. Wells Fargo & Company reduced their target price on shares of Carvana from $300.00 to $275.00 and set an “overweight” rating for the company in a report on Monday, January 6th. DA Davidson raised their price objective on Carvana from $220.00 to $260.00 and gave the stock a “neutral” rating in a research note on Thursday. Wedbush reaffirmed a “neutral” rating and set a $250.00 target price on shares of Carvana in a report on Thursday, February 6th. Finally, Piper Sandler boosted their price objective on Carvana from $151.00 to $225.00 and gave the stock a “neutral” rating in a report on Thursday, October 31st. Nine research analysts have rated the stock with a hold rating and ten have issued a buy rating to the company’s stock. According to data from MarketBeat.com, Carvana has an average rating of “Moderate Buy” and a consensus target price of $262.53.

Carvana Stock Down 12.0 %

CVNA stock opened at $248.03 on Friday. The firm’s 50-day moving average is $234.85 and its two-hundred day moving average is $207.18. The company has a current ratio of 3.25, a quick ratio of 2.12 and a debt-to-equity ratio of 18.99. The company has a market capitalization of $51.50 billion, a price-to-earnings ratio of 157.98 and a beta of 3.37. Carvana has a 52 week low of $48.15 and a 52 week high of $292.84.

Carvana (NYSE:CVNA) last released its earnings results on Wednesday, February 19th. The company reported $0.56 earnings per share for the quarter, topping analysts’ consensus estimates of $0.29 by $0.27. Carvana had a return on equity of 446.67% and a net margin of 1.54%. The firm had revenue of $3.55 billion during the quarter, compared to the consensus estimate of $3.32 billion. On average, analysts forecast that Carvana will post 2.85 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Mark W. Jenkins sold 28,422 shares of the stock in a transaction dated Tuesday, February 18th. The stock was sold at an average price of $288.85, for a total transaction of $8,209,694.70. Following the transaction, the chief financial officer now owns 219,962 shares of the company’s stock, valued at approximately $63,536,023.70. This represents a 11.44 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Daniel J. Gill sold 44,000 shares of the business’s stock in a transaction that occurred on Monday, December 2nd. The stock was sold at an average price of $259.47, for a total value of $11,416,680.00. Following the completion of the sale, the insider now owns 191,225 shares of the company’s stock, valued at approximately $49,617,150.75. This trade represents a 18.71 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 173,629 shares of company stock worth $44,833,799. 17.12% of the stock is owned by corporate insiders.

Institutional Trading of Carvana

Several large investors have recently modified their holdings of the company. FMR LLC lifted its position in Carvana by 90.8% during the 3rd quarter. FMR LLC now owns 12,361,790 shares of the company’s stock worth $2,152,311,000 after acquiring an additional 5,882,656 shares during the last quarter. Whale Rock Capital Management LLC bought a new position in shares of Carvana in the third quarter worth about $162,953,000. Norges Bank acquired a new position in shares of Carvana during the 4th quarter worth about $179,364,000. Vanguard Group Inc. boosted its stake in Carvana by 5.6% during the 4th quarter. Vanguard Group Inc. now owns 11,425,367 shares of the company’s stock valued at $2,323,463,000 after purchasing an additional 610,234 shares during the period. Finally, Castle Hook Partners LP acquired a new stake in Carvana in the 4th quarter valued at approximately $116,020,000. 56.71% of the stock is owned by institutional investors.

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.