Carvana (NYSE:CVNA) Shares Down 2.2% on Insider Selling

Carvana Co. (NYSE:CVNA) shares were down 2.2% during trading on Tuesday after an insider sold shares in the company. The stock traded as low as $170.69 and last traded at $171.29. Approximately 285,652 shares traded hands during mid-day trading, a decline of 94% from the average daily volume of 5,084,950 shares. The stock had previously closed at $175.15.

Specifically, major shareholder Ernest C. Garcia II sold 100,000 shares of the firm’s stock in a transaction that occurred on Thursday, September 19th. The shares were sold at an average price of $168.46, for a total transaction of $16,846,000.00. Following the completion of the sale, the insider now directly owns 39,858,131 shares in the company, valued at $6,714,500,748.26. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, insider Daniel J. Gill sold 30,000 shares of the stock in a transaction on Friday, September 20th. The shares were sold at an average price of $175.00, for a total value of $5,250,000.00. Following the sale, the insider now owns 328,329 shares of the company’s stock, valued at approximately $57,457,575. The disclosure for this sale can be found here. In related news, major shareholder Ernest C. Garcia II sold 100,000 shares of Carvana stock in a transaction on Tuesday, September 17th. The stock was sold at an average price of $155.00, for a total value of $15,500,000.00. Following the transaction, the insider now directly owns 40,058,131 shares in the company, valued at approximately $6,209,010,305. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on the company. Morgan Stanley increased their target price on Carvana from $75.00 to $110.00 and gave the company an “underweight” rating in a report on Thursday, August 1st. Needham & Company LLC lifted their price objective on shares of Carvana from $160.00 to $200.00 and gave the company a “buy” rating in a research note on Thursday, August 1st. Royal Bank of Canada raised shares of Carvana to a “sector perform” rating and increased their target price for the stock from $166.00 to $170.00 in a research report on Monday, August 19th. Evercore ISI raised their price objective on Carvana from $142.00 to $157.00 and gave the company an “in-line” rating in a research note on Monday, September 16th. Finally, Bank of America reiterated a “buy” rating and issued a $185.00 target price on shares of Carvana in a research note on Tuesday, September 17th. One equities research analyst has rated the stock with a sell rating, ten have given a hold rating and eight have given a buy rating to the company. According to data from MarketBeat.com, Carvana presently has an average rating of “Hold” and a consensus price target of $153.88.

Carvana Stock Down 2.1 %

The firm has a market cap of $34.73 billion, a P/E ratio of 76.86 and a beta of 3.43. The company has a debt-to-equity ratio of 47.20, a quick ratio of 2.02 and a current ratio of 3.11. The firm’s fifty day moving average is $143.77 and its 200 day moving average is $116.28.

Carvana (NYSE:CVNA) last posted its earnings results on Wednesday, July 31st. The company reported $0.14 EPS for the quarter. The firm had revenue of $3.41 billion during the quarter, compared to analyst estimates of $3.23 billion. As a group, equities research analysts anticipate that Carvana Co. will post 0.18 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CVNA. Healthcare of Ontario Pension Plan Trust Fund acquired a new stake in shares of Carvana during the 2nd quarter valued at $37,728,000. Maven Securities LTD acquired a new position in shares of Carvana in the second quarter valued at approximately $270,000. Senator Investment Group LP bought a new position in Carvana in the 2nd quarter valued at approximately $63,767,000. Sylebra Capital LLC acquired a new position in shares of Carvana during the second quarter worth $67,686,000. Finally, Creative Planning raised its position in Carvana by 34.4% during the 2nd quarter. Creative Planning now owns 15,296 shares of the company’s stock worth $1,969,000 after purchasing an additional 3,913 shares during the last quarter. 56.71% of the stock is owned by institutional investors and hedge funds.

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.