Zacks Research Has Bearish Forecast for Carvana Q2 Earnings

Carvana Co. (NYSE:CVNA) – Equities researchers at Zacks Research decreased their Q2 2027 earnings per share (EPS) estimates for shares of Carvana in a report released on Thursday, July 16th. Zacks Research analyst Team now anticipates that the company will post earnings per share of $0.54 for the quarter, down from their previous estimate of $0.57. Zacks Research has a “Hold” rating on the stock. The consensus estimate for Carvana’s current full-year earnings is $1.58 per share. Zacks Research also issued estimates for Carvana’s Q3 2027 earnings at $0.61 EPS.

Carvana (NYSE:CVNA) last released its quarterly earnings data on Wednesday, April 29th. The company reported $1.69 EPS for the quarter, beating the consensus estimate of $0.32 by $1.37. The business had revenue of $6.43 billion for the quarter, compared to the consensus estimate of $6.12 billion. Carvana had a net margin of 6.40% and a return on equity of 41.46%.

A number of other analysts have also recently commented on the stock. Citigroup restated an “outperform” rating on shares of Carvana in a research note on Friday, May 1st. Gordon Haskett lifted their price objective on shares of Carvana from $67.00 to $85.00 and gave the company a “hold” rating in a research note on Thursday, April 30th. Royal Bank Of Canada reissued an “outperform” rating and set a $92.00 target price on shares of Carvana in a report on Friday, June 12th. Evercore increased their target price on Carvana from $78.00 to $80.00 in a research report on Tuesday, April 28th. Finally, DA Davidson raised their price target on Carvana from $64.00 to $67.00 and gave the stock a “neutral” rating in a report on Friday, May 1st. One analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and six have assigned a Hold rating to the company’s stock. According to MarketBeat, Carvana currently has an average rating of “Moderate Buy” and a consensus price target of $92.92.

Carvana Price Performance

CVNA opened at $67.50 on Friday. The company has a market capitalization of $74.04 billion, a price-to-earnings ratio of 41.06, a PEG ratio of 11.34 and a beta of 3.46. The company has a quick ratio of 2.57, a current ratio of 4.09 and a debt-to-equity ratio of 1.05. The firm has a 50-day moving average price of $67.86 and a 200-day moving average price of $72.29. Carvana has a twelve month low of $54.46 and a twelve month high of $97.38.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in CVNA. First Horizon Corp lifted its stake in shares of Carvana by 6.4% in the fourth quarter. First Horizon Corp now owns 418 shares of the company’s stock worth $176,000 after buying an additional 25 shares in the last quarter. Gilder Gagnon Howe & Co. LLC increased its position in shares of Carvana by 1.7% during the second quarter. Gilder Gagnon Howe & Co. LLC now owns 1,846 shares of the company’s stock valued at $622,000 after acquiring an additional 31 shares in the last quarter. Finivi Inc. raised its holdings in Carvana by 4.6% in the 4th quarter. Finivi Inc. now owns 698 shares of the company’s stock worth $295,000 after acquiring an additional 31 shares during the last quarter. HB Wealth Management LLC raised its holdings in Carvana by 1.0% in the 4th quarter. HB Wealth Management LLC now owns 3,190 shares of the company’s stock worth $1,346,000 after acquiring an additional 31 shares during the last quarter. Finally, Insigneo Advisory Services LLC lifted its position in Carvana by 4.8% in the 4th quarter. Insigneo Advisory Services LLC now owns 696 shares of the company’s stock valued at $294,000 after acquiring an additional 32 shares in the last quarter. 56.71% of the stock is currently owned by hedge funds and other institutional investors.

Insider Transactions at Carvana

In related news, Director Ira J. Platt sold 15,000 shares of the company’s stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $67.83, for a total transaction of $1,017,450.00. Following the sale, the director owned 186,470 shares of the company’s stock, valued at approximately $12,648,260.10. This represents a 7.45% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CFO Mark W. Jenkins sold 63,750 shares of the stock in a transaction that occurred on Wednesday, July 1st. The stock was sold at an average price of $68.34, for a total transaction of $4,356,675.00. Following the completion of the sale, the chief financial officer owned 1,029,580 shares in the company, valued at $70,361,497.20. This represents a 5.83% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 396,962 shares of company stock valued at $28,525,088. Company insiders own 15.19% of the company’s stock.

Carvana News Summary

Here are the key news stories impacting Carvana this week:

• Negative Sentiment: Zacks Research downgraded Carvana (CVNA) from strong-buy to hold, a step that can dampen investor confidence. Article Title
• Negative Sentiment: Analysts lowered earnings estimates for several upcoming periods, including FY2027 and FY2028, suggesting expectations for slower profit growth than previously projected. Article Title
• Neutral Sentiment: Despite the cuts, Zacks still expects Carvana to remain profitable, with consensus full-year earnings estimated at $1.58 per share and longer-term EPS forecasts still pointing higher. Article Title

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.