Carvana (NYSE:CVNA) Shares Down 1.5% After Insider Selling

Carvana Co. (NYSE:CVNA) shares were down 1.5% during trading on Wednesday following insider selling activity. The company traded as low as $155.09 and last traded at $156.37. Approximately 380,577 shares traded hands during trading, a decline of 93% from the average daily volume of 5,268,786 shares. The stock had previously closed at $158.74.

Specifically, major shareholder Ernest C. Garcia II sold 9,186 shares of the stock in a transaction on Monday, August 26th. The stock was sold at an average price of $156.95, for a total value of $1,441,742.70. Following the transaction, the insider now directly owns 41,433,131 shares in the company, valued at approximately $6,502,929,910.45. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, major shareholder Ernest C. Garcia II sold 100,000 shares of the company’s stock in a transaction on Friday, August 23rd. The stock was sold at an average price of $155.94, for a total transaction of $15,594,000.00. Following the transaction, the insider now owns 90,814 shares in the company, valued at approximately $14,161,535.16. The disclosure for this sale can be found here. In other news, major shareholder Ernest C. Garcia II sold 100,000 shares of Carvana stock in a transaction dated Wednesday, August 21st. The shares were sold at an average price of $155.51, for a total transaction of $15,551,000.00. Following the completion of the transaction, the insider now directly owns 290,814 shares in the company, valued at $45,224,485.14. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on the company. Evercore ISI cut their target price on Carvana from $150.00 to $142.00 and set an “in-line” rating on the stock in a research report on Wednesday, August 7th. William Blair reiterated an “outperform” rating on shares of Carvana in a research note on Thursday, May 2nd. BTIG Research raised their price target on shares of Carvana from $155.00 to $188.00 and gave the company a “buy” rating in a research report on Thursday, August 1st. Needham & Company LLC boosted their price target on shares of Carvana from $160.00 to $200.00 and gave the stock a “buy” rating in a report on Thursday, August 1st. Finally, Wells Fargo & Company upgraded shares of Carvana from an “equal weight” rating to an “overweight” rating and increased their price objective for the company from $77.00 to $175.00 in a research note on Thursday, August 1st. One research analyst has rated the stock with a sell rating, ten have issued a hold rating and six have issued a buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $148.40.

Carvana Stock Performance

The stock has a market capitalization of $31.26 billion, a P/E ratio of 67.68 and a beta of 3.37. The company’s fifty day simple moving average is $135.64 and its 200 day simple moving average is $105.39. The company has a current ratio of 3.11, a quick ratio of 1.62 and a debt-to-equity ratio of 47.20.

Institutional Investors Weigh In On Carvana

Several hedge funds have recently bought and sold shares of CVNA. International Assets Investment Management LLC bought a new stake in Carvana during the fourth quarter worth about $5,610,000. Federated Hermes Inc. bought a new stake in Carvana in the 4th quarter worth approximately $864,000. Truist Financial Corp boosted its stake in Carvana by 62.0% in the fourth quarter. Truist Financial Corp now owns 8,495 shares of the company’s stock worth $450,000 after buying an additional 3,251 shares in the last quarter. Headlands Technologies LLC bought a new position in Carvana during the fourth quarter valued at approximately $87,000. Finally, Russell Investments Group Ltd. raised its stake in shares of Carvana by 112.9% during the fourth quarter. Russell Investments Group Ltd. now owns 1,699 shares of the company’s stock worth $90,000 after acquiring an additional 901 shares in the last quarter. 56.71% of the stock is currently owned by institutional investors.

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.