GAMMA Investing LLC Increases Position in Carvana Co. $CVNA

GAMMA Investing LLC grew its holdings in shares of Carvana Co. (NYSE:CVNA) by 579.4% in the 2nd quarter, according to its most recent disclosure with the SEC. The fund owned 13,431 shares of the company’s stock after purchasing an additional 11,454 shares during the period. GAMMA Investing LLC’s holdings in Carvana were worth $884,000 as of its most recent SEC filing.

Other hedge funds have also recently made changes to their positions in the company. Price T Rowe Associates Inc. MD increased its holdings in shares of Carvana by 8.6% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 17,726,838 shares of the company’s stock valued at $7,481,081,000 after acquiring an additional 1,407,762 shares in the last quarter. Vanguard Group Inc. grew its position in Carvana by 24.7% during the 4th quarter. Vanguard Group Inc. now owns 16,783,101 shares of the company’s stock valued at $7,082,804,000 after purchasing an additional 3,328,115 shares during the last quarter. State Street Corp increased its stake in Carvana by 93.7% during the 4th quarter. State Street Corp now owns 5,714,779 shares of the company’s stock valued at $2,411,751,000 after purchasing an additional 2,764,759 shares in the last quarter. Capital Research Global Investors increased its stake in Carvana by 42.9% during the 4th quarter. Capital Research Global Investors now owns 5,700,953 shares of the company’s stock valued at $2,405,959,000 after purchasing an additional 1,711,144 shares in the last quarter. Finally, Geode Capital Management LLC raised its holdings in Carvana by 55.4% in the fourth quarter. Geode Capital Management LLC now owns 3,880,711 shares of the company’s stock worth $1,632,763,000 after buying an additional 1,382,852 shares during the last quarter. 56.71% of the stock is owned by institutional investors.

Carvana Stock Up 3.6%

CVNA stock opened at $70.83 on Friday. The company has a market cap of $77.95 billion, a price-to-earnings ratio of 39.18, a P/E/G ratio of 2.52 and a beta of 3.46. The company has a debt-to-equity ratio of 0.94, a quick ratio of 2.33 and a current ratio of 3.93. The business’s 50-day moving average is $66.55 and its two-hundred day moving average is $69.82. Carvana Co. has a fifty-two week low of $54.46 and a fifty-two week high of $97.38.

Carvana (NYSE:CVNA) last released its quarterly earnings results on Wednesday, July 29th. The company reported $0.42 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.39 by $0.03. Carvana had a return on equity of 37.06% and a net margin of 6.26%.The business had revenue of $7.38 billion during the quarter, compared to the consensus estimate of $6.90 billion. During the same period in the previous year, the company posted $1.51 EPS. The business’s quarterly revenue was up 52.4% compared to the same quarter last year. As a group, analysts forecast that Carvana Co. will post 1.65 earnings per share for the current year.

Analyst Ratings Changes

Several research analysts have recently issued reports on CVNA shares. Weiss Ratings upgraded shares of Carvana from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Wednesday. Stephens raised their price target on shares of Carvana from $86.00 to $97.00 in a research report on Thursday, April 30th. Argus decreased their price objective on shares of Carvana from $500.00 to $100.00 in a report on Monday, May 11th. JPMorgan Chase & Co. upped their price objective on Carvana from $91.00 to $93.00 and gave the company an “overweight” rating in a research report on Thursday, April 30th. Finally, Bank of America upped their price objective on Carvana from $72.00 to $82.00 and gave the company a “neutral” rating in a research report on Tuesday, April 21st. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and seven have given a Hold rating to the company. Based on data from MarketBeat.com, Carvana presently has an average rating of “Moderate Buy” and a consensus target price of $84.14.

Insider Buying and Selling

In related news, COO Benjamin E. Huston sold 50,000 shares of the business’s stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $68.55, for a total transaction of $3,427,500.00. Following the completion of the sale, the chief operating officer directly owned 458,755 shares in the company, valued at approximately $31,447,655.25. The trade was a 9.83% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Michael E. Maroone bought 25,000 shares of Carvana stock in a transaction on Friday, July 31st. The shares were acquired at an average cost of $61.80 per share, with a total value of $1,545,000.00. Following the completion of the acquisition, the director owned 168,573 shares of the company’s stock, valued at $10,417,811.40. The trade was a 17.41% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders have sold a total of 391,372 shares of company stock valued at $26,555,789 in the last 90 days. 15.19% of the stock is owned by insiders.

Carvana Company Profile

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.