Wells Fargo & Company Cuts Carvana (NYSE:CVNA) Price Target to $425.00

Carvana (NYSE:CVNA) had its price objective lowered by Wells Fargo & Company from $525.00 to $425.00 in a report published on Thursday morning,Benzinga reports. The brokerage currently has an overweight rating on the stock.

A number of other research analysts have also issued reports on CVNA. Argus started coverage on shares of Carvana in a research note on Monday, December 15th. They set a “buy” rating and a $500.00 price target on the stock. Stephens reissued an “overweight” rating and issued a $519.00 target price on shares of Carvana in a research report on Thursday. JPMorgan Chase & Co. raised their target price on Carvana from $490.00 to $510.00 and gave the stock an “overweight” rating in a research note on Wednesday, January 28th. Barclays boosted their price target on Carvana from $465.00 to $530.00 and gave the company an “overweight” rating in a research note on Wednesday, January 21st. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Carvana in a research note on Monday, December 29th. Twenty investment analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, Carvana currently has an average rating of “Moderate Buy” and a consensus target price of $443.55.

Carvana Stock Up 1.1%

Carvana stock opened at $336.34 on Thursday. Carvana has a 1-year low of $148.25 and a 1-year high of $486.89. The business has a fifty day moving average price of $423.03 and a 200-day moving average price of $381.80. The company has a debt-to-equity ratio of 1.15, a current ratio of 4.31 and a quick ratio of 2.55. The stock has a market capitalization of $73.17 billion, a price-to-earnings ratio of 41.83 and a beta of 3.57.

Carvana (NYSE:CVNA) last released its quarterly earnings results on Wednesday, February 18th. The company reported $4.22 EPS for the quarter, beating analysts’ consensus estimates of $1.10 by $3.12. Carvana had a return on equity of 50.96% and a net margin of 6.92%.The company had revenue of $5.60 billion during the quarter, compared to analysts’ expectations of $5.24 billion. During the same period last year, the business posted $0.56 earnings per share. The firm’s revenue was up 58.0% compared to the same quarter last year. Equities research analysts forecast that Carvana will post 2.85 EPS for the current fiscal year.

Insiders Place Their Bets

In other Carvana news, insider Thomas Taira sold 30,952 shares of the business’s stock in a transaction that occurred on Monday, December 8th. The stock was sold at an average price of $435.96, for a total value of $13,493,833.92. Following the completion of the transaction, the insider directly owned 69,880 shares of the company’s stock, valued at approximately $30,464,884.80. The trade was a 30.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Michael E. Maroone sold 30,928 shares of the company’s stock in a transaction that occurred on Wednesday, December 3rd. The stock was sold at an average price of $400.34, for a total value of $12,381,715.52. Following the completion of the sale, the director owned 143,573 shares in the company, valued at approximately $57,478,014.82. This represents a 17.72% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 420,351 shares of company stock worth $179,589,049. 17.12% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Carvana

Institutional investors have recently made changes to their positions in the company. Thurston Springer Miller Herd & Titak Inc. acquired a new position in shares of Carvana in the 4th quarter valued at $29,000. Farmers & Merchants Investments Inc. purchased a new position in Carvana in the fourth quarter valued at $29,000. ORG Partners LLC raised its position in shares of Carvana by 8,700.0% in the third quarter. ORG Partners LLC now owns 88 shares of the company’s stock worth $33,000 after acquiring an additional 87 shares during the period. Motiv8 Investments LLC acquired a new stake in shares of Carvana during the 4th quarter valued at about $33,000. Finally, Salomon & Ludwin LLC increased its stake in shares of Carvana by 112.5% in the 4th quarter. Salomon & Ludwin LLC now owns 85 shares of the company’s stock valued at $37,000 after purchasing an additional 45 shares in the last quarter. 56.71% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Carvana

Here are the key news stories impacting Carvana this week:

• Positive Sentiment: Q4 results were materially stronger than feared — revenue rose ~58% YoY and EPS crushed estimates, and management highlighted record retail/wholesale volume and a path to EBITDA growth. This beat is the main bullish driver behind buying interest today. Carvana Q4 2025 Earnings Call Highlights
• Positive Sentiment: Wedbush and several other firms continue to rate CVNA favorably (Wedbush kept an outperform/buy stance even after trimming its target), supporting conviction among growth‑oriented analysts despite lower targets. Wedbush Remains a Buy on Carvana Co (CVNA)
• Neutral Sentiment: Analysts and models point to restored profitability but warn earnings are sensitive to gross profit per unit (GPU) swings — that caps upside until margin durability is proven. Carvana: Profitability Restored, But GPU Sensitivity Caps The Upside
• Negative Sentiment: Multiple firms trimmed price targets and one major shop (DA Davidson) cut to $320 and flagged a neutral view, which triggered early‑session selling and widened intraday swings. Analyst downgrades/target cuts are pressuring sentiment. Carvana Shares Gap Down After Analyst Downgrade
• Negative Sentiment: Investors pressed management on accounting and disclosure during the call; the CFO’s defense and subsequent media scrutiny (and reports of an investigator outreach) have raised governance concerns that could weigh on the stock until clarity is provided. Carvana fails to impress investors; CFO defends accounting practices

About Carvana

Carvana Co is an online-only retailer of used vehicles that operates a consumer-facing e-commerce platform for buying and selling cars. The company markets and sells inspected, reconditioned pre-owned vehicles through its website, where shoppers can browse inventory, view detailed 360-degree photos and vehicle history reports, finance purchases, and arrange delivery or pickup. Carvana’s model is built around a digital end-to-end car buying experience that aims to simplify vehicle transactions compared with traditional dealerships.

Its products and services include direct retail sales of used cars, trade-in and purchase offers for consumer vehicles, vehicle financing and related protection products, and a seven-day return policy that allows customers to test a vehicle in everyday use.