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

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

Specifically, major shareholder Ernest C. Garcia II sold 50,000 shares of the firm’s stock in a transaction on Friday, April 26th. The stock was sold at an average price of $80.09, for a total value of $4,004,500.00. Following the completion of the transaction, the insider now directly owns 3,262,500 shares of the company’s stock, valued at $261,293,625. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In other Carvana news, major shareholder Ernest C. Garcia II sold 50,000 shares of Carvana stock in a transaction on Friday, April 26th. The stock was sold at an average price of $80.09, for a total transaction of $4,004,500.00. Following the completion of the transaction, the insider now directly owns 3,262,500 shares of the company’s stock, valued at $261,293,625. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Ernest C. Garcia III sold 9,390 shares of the firm’s stock in a transaction on Tuesday, April 2nd. The shares were sold at an average price of $82.83, for a total value of $777,773.70. Following the completion of the sale, the chief executive officer now owns 861,458 shares of the company’s stock, valued at $71,354,566.14. The disclosure for this sale can be found here. Insiders sold a total of 1,801,829 shares of company stock valued at $193,562,233 over the last ninety days. 17.12% of the stock is owned by company insiders.

Analyst Ratings Changes

Several research firms have recently weighed in on CVNA. Robert W. Baird lifted their price objective on Carvana from $65.00 to $110.00 and gave the company a “neutral” rating in a report on Thursday, May 2nd. Wells Fargo & Company lifted their price objective on Carvana from $60.00 to $77.00 and gave the company an “equal weight” rating in a report on Thursday, May 2nd. JMP Securities lifted their price objective on Carvana from $135.00 to $150.00 and gave the company a “market outperform” rating in a report on Friday, June 7th. Needham & Company LLC restated a “hold” rating on shares of Carvana in a research note on Wednesday. Finally, Royal Bank of Canada upped their price objective on Carvana from $90.00 to $130.00 and gave the stock a “sector perform” rating in a research note on Thursday, May 2nd. One equities research analyst has rated the stock with a sell rating, thirteen have given a hold rating and three have given a buy rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average target price of $87.29.

Carvana Stock Down 3.1 %

The company has a 50-day simple moving average of $107.74 and a two-hundred day simple moving average of $78.46. The firm has a market cap of $26.07 billion, a PE ratio of 56.46 and a beta of 3.29.

Carvana (NYSE:CVNA) last released its quarterly earnings data on Wednesday, May 1st. The company reported ($0.41) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.76) by $0.35. The company had revenue of $3.06 billion for the quarter, compared to the consensus estimate of $2.72 billion. As a group, equities analysts predict that Carvana Co. will post -0.75 earnings per share for the current year.

Hedge Funds Weigh In On Carvana

Institutional investors have recently added to or reduced their stakes in the business. Blue Trust Inc. purchased a new stake in Carvana during the 4th quarter valued at about $29,000. Parallel Advisors LLC boosted its stake in shares of Carvana by 39.0% in the 4th quarter. Parallel Advisors LLC now owns 692 shares of the company’s stock worth $37,000 after buying an additional 194 shares during the last quarter. Tidemark LLC purchased a new position in shares of Carvana in the 4th quarter worth $50,000. Plato Investment Management Ltd purchased a new position in shares of Carvana in the 1st quarter worth $55,000. Finally, Headlands Technologies LLC purchased a new position in Carvana during the fourth quarter valued at $87,000. 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.