#4 - Carvana (NYSE:CVNA)
The automotive sector will be one of the most heavily affected by tariffs. In this report, we give you two stocks to consider. The first is Carvana Co. (NYSE: CVNA). The stock is up 367% in 2024, making it one of the best-performing stocks.
The company is benefiting from two trends. First, new car prices remain out of range for many consumers. As a result, used cars have become a more attractive option, offering a rare area of financial relief for buyers. Then you consider that the company’s e-commerce model allows consumers to buy and sell without having to engage in the typical car-buying process, which investors find inefficient and outdated.
This is a $40 billion market and Carvana has only about 1% of it. It’s also important to note that the strong stock price growth correlates with year-over-year growth in revenue and earnings. This growth is happening before rate cuts start. With the Federal Reserve likely to continue lowering rates, Carvana is well positioned for further upside.
About Carvana
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.
Read More - Current Price
- $247.68
- Consensus Rating
- Hold
- Ratings Breakdown
- 8 Buy Ratings, 11 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $217.71 (12.1% Downside)
