Carvana (NYSE:CVNA) Shares Down 6.4% Following Insider Selling

Carvana Co. (NYSE:CVNA) traded down 6.4% on Friday following insider selling activity. The stock traded as low as $124.11 and last traded at $124.38. 3,523,063 shares changed hands during trading, a decline of 37% from the average session volume of 5,574,333 shares. The stock had previously closed at $132.88.

Specifically, major shareholder Ernest C. Garcia II sold 75,000 shares of the company’s stock in a transaction that occurred on Wednesday, June 26th. The shares were sold at an average price of $126.97, for a total transaction of $9,522,750.00. Following the completion of the transaction, the insider now directly owns 787,500 shares in the company, valued at approximately $99,988,875. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. In other news, major shareholder Ernest C. Garcia II sold 75,000 shares of Carvana stock in a transaction dated Wednesday, June 26th. The stock was sold at an average price of $126.97, for a total transaction of $9,522,750.00. Following the sale, the insider now directly owns 787,500 shares of the company’s stock, valued at $99,988,875. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, major shareholder Ernest C. Garcia II sold 60,000 shares of the company’s stock in a transaction that occurred on Monday, June 24th. The shares were sold at an average price of $115.77, for a total value of $6,946,200.00. Following the completion of the transaction, the insider now directly owns 937,500 shares of the company’s stock, valued at approximately $108,534,375. The disclosure for this sale can be found here. In the last quarter, insiders sold 1,801,829 shares of company stock valued at $193,562,233. Corporate insiders own 17.12% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on CVNA shares. Royal Bank of Canada increased their price target on Carvana from $90.00 to $130.00 and gave the company a “sector perform” rating in a research note on Thursday, May 2nd. JMP Securities upped their price objective on shares of Carvana from $135.00 to $150.00 and gave the company a “market outperform” rating in a research note on Friday, June 7th. Wedbush reiterated a “neutral” rating and set a $120.00 price objective on shares of Carvana in a research report on Wednesday. William Blair reaffirmed an “outperform” rating on shares of Carvana in a research report on Thursday, May 2nd. Finally, Wells Fargo & Company lifted their price objective on Carvana from $60.00 to $77.00 and gave the stock an “equal weight” rating in a research report on Thursday, May 2nd. One analyst has rated the stock with a sell rating, thirteen have issued a hold rating and three have assigned a buy rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $87.29.

Carvana Price Performance

The firm has a market cap of $26.05 billion, a P/E ratio of 56.40 and a beta of 3.29. The company has a fifty day moving average of $107.74 and a 200-day moving average of $78.19.

Carvana (NYSE:CVNA) last announced its earnings results on Wednesday, May 1st. The company reported ($0.41) EPS for the quarter, beating the consensus estimate of ($0.76) by $0.35. The firm had revenue of $3.06 billion during the quarter, compared to analysts’ expectations of $2.72 billion. On average, sell-side analysts expect that Carvana Co. will post -0.75 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of CVNA. Blue Trust Inc. purchased a new position in shares of Carvana in the 4th quarter worth about $29,000. Parallel Advisors LLC grew its position in shares of Carvana by 39.0% during the 4th quarter. Parallel Advisors LLC now owns 692 shares of the company’s stock valued at $37,000 after acquiring an additional 194 shares during the period. Tidemark LLC bought a new stake in shares of Carvana in the 4th quarter worth approximately $50,000. Plato Investment Management Ltd purchased a new position in Carvana in the first quarter valued at approximately $55,000. Finally, Headlands Technologies LLC bought a new position in Carvana during the fourth quarter valued at $87,000. Hedge funds and other institutional investors own 56.71% of the company’s stock.

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.