Carvana Co. (NYSE:CVNA) Sees Significant Decline in Short Interest

Carvana Co. (NYSE:CVNA) was the target of a large decline in short interest in the month of February. As of February 27th, there was short interest totaling 13,255,405 shares, a decline of 12.6% from the February 12th total of 15,165,730 shares. Based on an average trading volume of 6,288,697 shares, the days-to-cover ratio is presently 2.1 days. Currently, 7.2% of the shares of the company are sold short. Currently, 7.2% of the shares of the company are sold short. Based on an average trading volume of 6,288,697 shares, the days-to-cover ratio is presently 2.1 days.

Insider Activity

In other Carvana news, VP Stephen R. Palmer sold 1,000 shares of the stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $393.04, for a total transaction of $393,040.00. Following the sale, the vice president owned 37,192 shares in the company, valued at $14,617,943.68. This represents a 2.62% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Thomas Taira sold 953 shares of the firm’s stock in a transaction on Monday, March 9th. The stock was sold at an average price of $325.00, for a total value of $309,725.00. Following the completion of the transaction, the insider directly owned 64,997 shares of the company’s stock, valued at $21,124,025. The trade was a 1.45% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 53,574 shares of company stock valued at $21,463,735. 16.36% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Carvana

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. First Horizon Corp increased its holdings in shares of Carvana by 6.4% in the 4th quarter. First Horizon Corp now owns 418 shares of the company’s stock worth $176,000 after buying an additional 25 shares during the last quarter. SJS Investment Consulting Inc. lifted its holdings in shares of Carvana by 28.3% during the 3rd quarter. SJS Investment Consulting Inc. now owns 136 shares of the company’s stock worth $51,000 after acquiring an additional 30 shares during the last quarter. MAI Capital Management lifted its holdings in shares of Carvana by 1.8% during the 2nd quarter. MAI Capital Management now owns 1,757 shares of the company’s stock worth $592,000 after acquiring an additional 31 shares during the last quarter. MassMutual Private Wealth & Trust FSB grew its position in Carvana by 23.1% in the third quarter. MassMutual Private Wealth & Trust FSB now owns 165 shares of the company’s stock worth $62,000 after acquiring an additional 31 shares in the last quarter. Finally, Finivi Inc. grew its position in Carvana by 4.6% in the fourth quarter. Finivi Inc. now owns 698 shares of the company’s stock worth $295,000 after acquiring an additional 31 shares in the last quarter. Hedge funds and other institutional investors own 56.71% of the company’s stock.

Carvana Price Performance

Shares of NYSE CVNA opened at $305.71 on Tuesday. The stock’s 50-day simple moving average is $385.81 and its two-hundred day simple moving average is $378.31. Carvana has a twelve month low of $148.25 and a twelve month high of $486.89. The firm has a market capitalization of $66.90 billion, a P/E ratio of 38.02 and a beta of 3.60. The company has a quick ratio of 2.73, a current ratio of 4.31 and a debt-to-equity ratio of 1.15.

Carvana shares are set to split on the morning of Thursday, May 7th. The 5-1 split was announced on Friday, March 13th. The newly minted shares will be distributed to shareholders after the market closes on Wednesday, May 6th.

Carvana (NYSE:CVNA) last issued its quarterly earnings results on Wednesday, February 18th. The company reported $4.22 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.10 by $3.12. The firm had revenue of $5.60 billion during the quarter, compared to the consensus estimate of $5.24 billion. Carvana had a return on equity of 50.96% and a net margin of 6.92%.The company’s revenue for the quarter was up 58.0% on a year-over-year basis. During the same quarter last year, the company posted $0.56 EPS. As a group, equities analysts anticipate that Carvana will post 2.85 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

CVNA has been the subject of a number of recent analyst reports. Gordon Haskett reduced their target price on Carvana from $435.00 to $350.00 and set a “hold” rating for the company in a report on Friday, February 20th. Jefferies Financial Group lowered their price target on shares of Carvana from $550.00 to $485.00 and set a “buy” rating on the stock in a report on Monday, February 23rd. Stephens restated an “overweight” rating and issued a $519.00 price objective on shares of Carvana in a research report on Thursday, February 19th. Wedbush reduced their price objective on shares of Carvana from $500.00 to $425.00 and set an “outperform” rating for the company in a research note on Thursday, February 19th. Finally, Wells Fargo & Company decreased their target price on shares of Carvana from $525.00 to $425.00 and set an “overweight” rating on the stock in a report on Thursday, February 19th. One analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating and five have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $440.59.

Carvana Company Profile

Carvana Co is an online-only retailer of used vehicles that operates a consumer-facing e-commerce platform for buying and selling cars. The company markets and sells inspected, reconditioned pre-owned vehicles through its website, where shoppers can browse inventory, view detailed 360-degree photos and vehicle history reports, finance purchases, and arrange delivery or pickup. Carvana’s model is built around a digital end-to-end car buying experience that aims to simplify vehicle transactions compared with traditional dealerships.

Its products and services include direct retail sales of used cars, trade-in and purchase offers for consumer vehicles, vehicle financing and related protection products, and a seven-day return policy that allows customers to test a vehicle in everyday use.