William Blair Analysts Lift Earnings Estimates for Carvana

Carvana Co. (NYSE:CVNA) – Investment analysts at William Blair raised their Q1 2025 earnings estimates for Carvana in a research note issued on Tuesday, March 25th. William Blair analyst S. Zackfia now anticipates that the company will post earnings of $0.74 per share for the quarter, up from their previous estimate of $0.69. William Blair has a “Outperform” rating on the stock. The consensus estimate for Carvana’s current full-year earnings is $2.85 per share. William Blair also issued estimates for Carvana’s Q2 2025 earnings at $0.99 EPS, Q3 2025 earnings at $1.00 EPS, Q4 2025 earnings at $0.91 EPS, FY2025 earnings at $3.64 EPS and FY2026 earnings at $5.34 EPS.

Carvana (NYSE:CVNA) last released its quarterly earnings results on Wednesday, February 19th. The company reported $0.56 earnings per share for the quarter, topping the consensus estimate of $0.29 by $0.27. The firm had revenue of $3.55 billion for the quarter, compared to analysts’ expectations of $3.32 billion. Carvana had a net margin of 1.54% and a return on equity of 36.59%.

Several other research firms have also recently weighed in on CVNA. Wells Fargo & Company decreased their price objective on shares of Carvana from $300.00 to $275.00 and set an “overweight” rating on the stock in a research report on Monday, January 6th. Bank of America lowered their price objective on shares of Carvana from $270.00 to $220.00 and set a “buy” rating on the stock in a research report on Friday, March 14th. Citigroup upped their target price on shares of Carvana from $277.00 to $320.00 and gave the stock a “buy” rating in a research report on Friday, February 21st. Robert W. Baird raised their price target on Carvana from $200.00 to $250.00 and gave the company a “neutral” rating in a research report on Thursday, February 20th. Finally, Stephens reaffirmed an “overweight” rating and set a $300.00 price target on shares of Carvana in a research note on Monday, March 3rd. Six analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $261.53.

Carvana Price Performance

Shares of NYSE CVNA opened at $204.45 on Thursday. The firm has a market capitalization of $43.58 billion, a P/E ratio of 130.22 and a beta of 3.56. 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 stock’s 50-day simple moving average is $227.77 and its two-hundred day simple moving average is $216.41. Carvana has a twelve month low of $67.61 and a twelve month high of $292.84.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of CVNA. FMR LLC lifted its holdings in shares of Carvana by 90.8% during the third quarter. FMR LLC now owns 12,361,790 shares of the company’s stock valued at $2,152,311,000 after purchasing an additional 5,882,656 shares during the last quarter. Whale Rock Capital Management LLC purchased a new position in Carvana during the third quarter valued at $162,953,000. Norges Bank purchased a new stake in shares of Carvana in the fourth quarter worth $179,364,000. Vanguard Group Inc. increased its holdings in shares of Carvana by 5.6% during the fourth quarter. Vanguard Group Inc. now owns 11,425,367 shares of the company’s stock valued at $2,323,463,000 after acquiring an additional 610,234 shares in the last quarter. Finally, Castle Hook Partners LP purchased a new position in shares of Carvana in the 4th quarter worth about $116,020,000. 56.71% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In related news, CFO Mark W. Jenkins sold 10,000 shares of Carvana stock in a transaction that occurred on Thursday, January 2nd. The stock was sold at an average price of $200.75, for a total transaction of $2,007,500.00. Following the sale, the chief financial officer now directly owns 189,097 shares in the company, valued at $37,961,222.75. The trade was a 5.02 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, COO Benjamin E. Huston sold 50,000 shares of the stock in a transaction on Friday, March 14th. The stock was sold at an average price of $178.49, for a total value of $8,924,500.00. Following the completion of the transaction, the chief operating officer now owns 196,278 shares of the company’s stock, valued at approximately $35,033,660.22. This trade represents a 20.30 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 197,377 shares of company stock valued at $44,251,096. Corporate insiders own 17.12% of the company’s stock.

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.