Carvana (NYSE:CVNA) Shares Gap Down – Time to Sell?

Carvana Co. (NYSE:CVNA) shares gapped down before the market opened on Thursday . The stock had previously closed at $281.82, but opened at $264.89. Carvana shares last traded at $244.07, with a volume of 3,544,265 shares traded.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on CVNA. JMP Securities restated a “market outperform” rating and issued a $320.00 target price on shares of Carvana in a report on Monday, December 16th. Royal Bank of Canada boosted their price objective on Carvana from $280.00 to $320.00 and gave the stock an “outperform” rating in a report on Thursday. Piper Sandler upped their price objective on shares of Carvana from $151.00 to $225.00 and gave the company a “neutral” rating in a research note on Thursday, October 31st. Evercore ISI lifted their target price on shares of Carvana from $240.00 to $245.00 and gave the stock an “in-line” rating in a research report on Tuesday, December 3rd. Finally, Robert W. Baird upped their price target on shares of Carvana from $200.00 to $250.00 and gave the company a “neutral” rating in a research report on Thursday. Nine equities research analysts have rated the stock with a hold rating and ten have issued a buy rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $252.82.

Carvana Stock Performance

The company has a market capitalization of $49.27 billion, a price-to-earnings ratio of 23,902.10 and a beta of 3.37. 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 firm has a 50-day simple moving average of $234.84 and a two-hundred day simple moving average of $206.90.

Carvana (NYSE:CVNA) last released its quarterly earnings data on Wednesday, February 19th. The company reported $0.56 EPS for the quarter, topping analysts’ consensus estimates of $0.29 by $0.27. The firm had revenue of $3.55 billion during the quarter, compared to analyst estimates of $3.32 billion. As a group, sell-side analysts forecast that Carvana Co. will post 0.87 earnings per share for the current fiscal year.

Insider Activity

In other Carvana news, CFO Mark W. Jenkins sold 28,422 shares of the business’s stock in a transaction dated Tuesday, February 18th. The stock was sold at an average price of $288.85, for a total value of $8,209,694.70. Following the completion of the sale, the chief financial officer now owns 219,962 shares of the company’s stock, valued at $63,536,023.70. The trade was a 11.44 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Daniel J. Gill sold 44,000 shares of the stock in a transaction dated Monday, December 2nd. The shares were sold at an average price of $259.47, for a total value of $11,416,680.00. Following the transaction, the insider now directly owns 191,225 shares in the company, valued at approximately $49,617,150.75. This represents a 18.71 % decrease in their position. 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 Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of CVNA. Fidelis Capital Partners LLC grew its position in shares of Carvana by 3.4% in the fourth quarter. Fidelis Capital Partners LLC now owns 1,541 shares of the company’s stock valued at $313,000 after purchasing an additional 51 shares during the last quarter. Bleakley Financial Group LLC grew its holdings in Carvana by 2.8% in the 4th quarter. Bleakley Financial Group LLC now owns 2,373 shares of the company’s stock valued at $483,000 after buying an additional 65 shares during the last quarter. EverSource Wealth Advisors LLC increased its position in Carvana by 21.0% in the 4th quarter. EverSource Wealth Advisors LLC now owns 426 shares of the company’s stock worth $87,000 after buying an additional 74 shares during the period. Forum Financial Management LP lifted its holdings in shares of Carvana by 3.8% during the third quarter. Forum Financial Management LP now owns 2,071 shares of the company’s stock worth $361,000 after buying an additional 76 shares during the last quarter. Finally, Great Lakes Advisors LLC boosted its position in shares of Carvana by 2.1% in the fourth quarter. Great Lakes Advisors LLC now owns 3,698 shares of the company’s stock valued at $752,000 after acquiring an additional 77 shares during the period. 56.71% of the stock is currently 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.