Carvana (NYSE:CVNA) Trading Down 9.5% - Time to Sell?

Carvana Co. (NYSE:CVNA - Get Free Report) traded down 9.5% on Monday . The stock traded as low as $170.11 and last traded at $170.50. 1,037,508 shares traded hands during mid-day trading, a decline of 73% from the average session volume of 3,812,941 shares. The stock had previously closed at $188.47.

Analyst Upgrades and Downgrades

CVNA has been the subject of a number of recent research reports. William Blair reiterated an "outperform" rating on shares of Carvana in a research note on Thursday, February 20th. Evercore ISI lowered their price objective on shares of Carvana from $250.00 to $240.00 and set an "in-line" rating for the company in a research report on Tuesday. Wedbush set a $250.00 target price on shares of Carvana and gave the stock a "neutral" rating in a research report on Wednesday, February 19th. JMP Securities restated a "market outperform" rating and issued a $320.00 target price on shares of Carvana in a research note on Monday, December 16th. Finally, DA Davidson lifted their price target on shares of Carvana from $220.00 to $260.00 and gave the stock a "neutral" rating in a research note on Thursday, February 20th. Eight investment analysts have rated the stock with a hold rating and ten have given a buy rating to the company. Based on data from MarketBeat, Carvana has a consensus rating of "Moderate Buy" and an average target price of $265.65.

Carvana Price Performance

The company has a quick ratio of 2.12, a current ratio of 3.64 and a debt-to-equity ratio of 3.82. The company has a 50 day simple moving average of $229.54 and a 200-day simple moving average of $213.65. The stock has a market cap of $38.29 billion, a price-to-earnings ratio of 114.41 and a beta of 3.56.

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Carvana (NYSE:CVNA - Get Free Report) last posted its quarterly earnings results on Wednesday, February 19th. The company reported $0.56 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.29 by $0.27. The business had revenue of $3.55 billion for the quarter, compared to analyst estimates of $3.32 billion. Carvana had a return on equity of 36.59% and a net margin of 1.54%. As a group, research analysts anticipate that Carvana Co. will post 2.85 EPS for the current fiscal year.

Insider Transactions at Carvana

In other news, insider Ryan S. Keeton sold 24,845 shares of the company's 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 completion of the transaction, the insider now directly owns 151,029 shares of the company's stock, valued at approximately $37,440,089.10. This represents a 14.13 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Mark W. Jenkins sold 28,422 shares of the firm's stock in a transaction that occurred on 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 directly owns 219,962 shares in the company, valued at approximately $63,536,023.70. This trade represents a 11.44 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 94,629 shares of company stock worth $24,758,919. 17.12% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Carvana

Large investors have recently added to or reduced their stakes in the stock. Eagle Asset Management Inc. acquired a new stake in shares of Carvana in the 3rd quarter worth about $50,531,000. Charles Schwab Investment Management Inc. boosted its holdings in shares of Carvana by 9.2% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 462,962 shares of the company's stock valued at $94,148,000 after acquiring an additional 39,089 shares in the last quarter. Plato Investment Management Ltd increased its position in shares of Carvana by 135.5% during the 4th quarter. Plato Investment Management Ltd now owns 5,204 shares of the company's stock valued at $1,062,000 after purchasing an additional 2,994 shares during the period. Bank of New York Mellon Corp raised its stake in shares of Carvana by 37.7% in the 4th quarter. Bank of New York Mellon Corp now owns 478,488 shares of the company's stock worth $97,305,000 after buying an additional 130,942 shares in the last quarter. Finally, Oak Thistle LLC lifted its holdings in shares of Carvana by 115.9% in the fourth quarter. Oak Thistle LLC now owns 3,238 shares of the company's stock valued at $658,000 after buying an additional 1,738 shares during the period. 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.