Carvana (NYSE:CVNA) Shares Down 6.6% After Insider Selling

Carvana Co. (NYSE:CVNA) dropped 6.6% on Tuesday after an insider sold shares in the company. The company traded as low as $126.39 and last traded at $126.60. Approximately 1,816,871 shares traded hands during mid-day trading, a decline of 65% from the average daily volume of 5,139,057 shares. The stock had previously closed at $135.48.

Specifically, major shareholder Ernest C. Garcia II sold 75,000 shares of Carvana stock in a transaction dated Thursday, September 5th. The stock was sold at an average price of $141.72, for a total transaction of $10,629,000.00. Following the transaction, the insider now owns 40,733,131 shares of the company’s stock, valued at approximately $5,772,699,325.32. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink.

Wall Street Analyst Weigh In

Several research firms recently commented on CVNA. Piper Sandler raised their price target on shares of Carvana from $105.00 to $151.00 and gave the stock a “neutral” rating in a report on Thursday, August 1st. Evercore ISI lowered their price target on shares of Carvana from $150.00 to $142.00 and set an “in-line” rating on the stock in a report on Wednesday, August 7th. Robert W. Baird started coverage on Carvana in a report on Thursday, August 1st. They set a “neutral” rating and a $160.00 price objective for the company. Morgan Stanley lifted their price objective on Carvana from $75.00 to $110.00 and gave the company an “underweight” rating in a research report on Thursday, August 1st. Finally, Needham & Company LLC upped their target price on Carvana from $160.00 to $200.00 and gave the stock a “buy” rating in a research report on Thursday, August 1st. One investment analyst has rated the stock with a sell rating, ten have issued a hold rating and six have assigned a buy rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $148.40.

Carvana Stock Performance

The company has a quick ratio of 2.02, a current ratio of 3.11 and a debt-to-equity ratio of 47.20. The stock’s 50-day moving average price is $139.17 and its 200 day moving average price is $111.46. The company has a market cap of $27.66 billion, a P/E ratio of 58.63 and a beta of 3.43.

Hedge Funds Weigh In On Carvana

A number of institutional investors have recently made changes to their positions in CVNA. Ridgewood Investments LLC acquired a new position in Carvana during the 2nd quarter valued at $32,000. Parallel Advisors LLC increased its holdings in shares of Carvana by 39.0% during the 4th quarter. Parallel Advisors LLC now owns 692 shares of the company’s stock worth $37,000 after purchasing an additional 194 shares during the period. Summit Securities Group LLC raised its position in shares of Carvana by 110.0% during the second quarter. Summit Securities Group LLC now owns 300 shares of the company’s stock valued at $39,000 after buying an additional 3,300 shares during the last quarter. Fifth Third Bancorp lifted its stake in shares of Carvana by 450.8% in the second quarter. Fifth Third Bancorp now owns 336 shares of the company’s stock valued at $43,000 after buying an additional 275 shares during the period. Finally, Tidemark LLC acquired a new stake in Carvana during the fourth quarter worth about $50,000. 56.71% of the stock is currently owned by institutional investors.

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.