Expert Outlook: Carvana Through The Eyes Of 18 Analysts

Ratings for Carvana (NYSE:CVNA) were provided by 18 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 5 10 3 0 0
Last 30D 1 0 0 0 0
1M Ago 1 2 0 0 0
2M Ago 0 0 1 0 0
3M Ago 3 8 2 0 0

Insights from analysts' 12-month price targets are revealed, presenting an average target of $426.33, a high estimate of $500.00, and a low estimate of $329.00. This upward trend is evident, with the current average reflecting a 13.69% increase from the previous average price target of $375.00.

Breaking Down Analyst Ratings: A Detailed Examination

The standing of Carvana among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Marvin Fong BTIG Maintains Buy $450.00 $450.00
John Colantuoni Jefferies Raises Buy $475.00 $385.00
Jeff Lick Stephens & Co. Maintains Overweight $440.00 $440.00
Rajat Gupta JP Morgan Raises Overweight $425.00 $415.00
Michael Montani Evercore ISI Group Raises In-Line $370.00 $365.00
Ronald Josey Citigroup Raises Buy $490.00 $415.00
Rajat Gupta JP Morgan Raises Overweight $415.00 $350.00
Michael Baker DA Davidson Raises Neutral $380.00 $260.00
Brad Erickson RBC Capital Raises Outperform $460.00 $400.00
David Lantz Wells Fargo Raises Overweight $425.00 $390.00
Andrew Boone JMP Securities Raises Market Outperform $460.00 $440.00
Alexander Potter Piper Sandler Raises Overweight $440.00 $340.00
Michael McGovern B of A Securities Raises Buy $425.00 $375.00
Chris Pierce Needham Raises Buy $500.00 $340.00
Brian Nagel Oppenheimer Announces Outperform $450.00 -
Rajat Gupta JP Morgan Raises Overweight $350.00 $325.00
David Lantz Wells Fargo Raises Overweight $390.00 $310.00
Robert Mollins Gordon Haskett Announces Hold $329.00 -

Key Insights:

  • Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Carvana. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Carvana compared to the broader market.
  • Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Carvana's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Carvana's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Carvana analyst ratings.

About Carvana

Carvana Co is an e-commerce platform for buying and selling used cars. The company derives revenue from used vehicle sales, wholesale vehicle sales and other sales and revenues. The other sales and revenues include sales of loans originated and sold in securitization transactions or to financing partners, commissions received on VSCs and sales of GAP waiver coverage. The foundation of the business is retail vehicle unit sales. This drives the majority of the revenue and allows the company to capture additional revenue streams associated with financing, VSCs, auto insurance and GAP waiver coverage, as well as trade-in vehicles.

Key Indicators: Carvana's Financial Health

Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.

Revenue Growth: Carvana displayed positive results in 3M. As of 30 June, 2025, the company achieved a solid revenue growth rate of approximately 41.94%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Carvana's net margin excels beyond industry benchmarks, reaching 3.78%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 11.32%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Carvana's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.01% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Carvana's debt-to-equity ratio is below the industry average. With a ratio of 3.53, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

The Basics of Analyst Ratings

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

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