Zacks Research Issues Negative Outlook for Carvana Earnings

Carvana Co. (NYSE:CVNA) – Investment analysts at Zacks Research decreased their FY2026 earnings per share estimates for shares of Carvana in a research note issued to investors on Thursday, November 12th. Zacks Research analyst Team now anticipates that the company will earn $1.47 per share for the year, down from their previous estimate of $1.63. The consensus estimate for Carvana’s current full-year earnings is $1.59 per share. Zacks Research also issued estimates for Carvana’s Q4 2026 earnings at $0.32 EPS, Q2 2027 earnings at $0.60 EPS, Q3 2027 earnings at $0.69 EPS, FY2027 earnings at $2.04 EPS, Q1 2028 earnings at $0.83 EPS, Q2 2028 earnings at $0.73 EPS, Q3 2028 earnings at $0.91 EPS and FY2028 earnings at $2.94 EPS.

Several other equities analysts have also commented on the company. Citigroup reissued a “market outperform” rating on shares of Carvana in a research report on Wednesday, October 28th. Robert W. Baird set a $72.00 price target on Carvana in a report on Thursday, July 30th. BNP Paribas Exane lowered their price objective on shares of Carvana from $69.00 to $67.00 and set a “neutral” rating for the company in a research report on Thursday, October 29th. Argus set a $100.00 price objective on shares of Carvana in a research note on Tuesday. Finally, Barclays lifted their price objective on shares of Carvana from $80.00 to $82.00 and gave the company an “overweight” rating in a research note on Friday, October 30th. One analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating and eight have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Carvana presently has an average rating of “Moderate Buy” and an average target price of $82.09.

Carvana Price Performance

CVNA stock opened at $70.86 on Friday. The company has a debt-to-equity ratio of 0.86, a quick ratio of 2.43 and a current ratio of 4.05. Carvana has a 1 year low of $54.46 and a 1 year high of $97.38. The firm has a market cap of $78.18 billion, a P/E ratio of 37.08, a price-to-earnings-growth ratio of 2.51 and a beta of 3.66. The stock has a 50-day simple moving average of $65.81 and a 200-day simple moving average of $68.58.

Carvana (NYSE:CVNA) last issued its quarterly earnings data on Wednesday, October 28th. The company reported $0.39 EPS for the quarter, missing analysts’ consensus estimates of $0.44 by ($0.05). Carvana had a return on equity of 34.77% and a net margin of 6.21%. The company had revenue of $8.04 billion for the quarter, compared to analyst estimates of $7.71 billion. During the same quarter in the prior year, the firm earned $1.03 EPS. The company’s revenue for the quarter was up 42.4% compared to the same quarter last year.

Insider Activity at Carvana

In other news, insider Daniel Gill sold 253,639 shares of Carvana stock in a transaction dated Tuesday, November 3rd. The stock was sold at an average price of $71.46, for a total transaction of $18,125,042.94. Following the sale, the insider directly owned 773,548 shares of the company’s stock, valued at approximately $55,277,740.08. The trade was a 24.69% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Ira Platt sold 29,640 shares of the business’s stock in a transaction dated Wednesday, November 4th. The stock was sold at an average price of $75.75, for a total value of $2,245,230.00. Following the completion of the transaction, the director owned 186,470 shares in the company, valued at approximately $14,125,102.50. This trade represents a 13.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 639,686 shares of company stock valued at $45,182,047. 15.19% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Carvana

Hedge funds and other institutional investors have recently bought and sold shares of the business. State Street Corp raised its position in shares of Carvana by 417.1% in the 2nd quarter. State Street Corp now owns 29,435,364 shares of the company’s stock valued at $1,937,436,000 after purchasing an additional 23,742,422 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in shares of Carvana by 345.8% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,325,237 shares of the company’s stock valued at $218,867,000 after buying an additional 2,579,295 shares during the last quarter. Amundi grew its position in shares of Carvana by 379.7% during the second quarter. Amundi now owns 2,421,045 shares of the company’s stock worth $159,353,000 after buying an additional 1,916,349 shares in the last quarter. The Manufacturers Life Insurance Company grew its position in shares of Carvana by 384.3% during the second quarter. The Manufacturers Life Insurance Company now owns 1,898,095 shares of the company’s stock worth $124,933,000 after buying an additional 1,506,145 shares in the last quarter. Finally, Bank of America Corp DE grew its position in shares of Carvana by 372.0% during the second quarter. Bank of America Corp DE now owns 1,791,844 shares of the company’s stock worth $117,939,000 after buying an additional 1,412,188 shares in the last quarter. 56.71% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Carvana

Here are a few of the latest headlines about CVNA:

• Neutral Sentiment: Zacks’ estimate changes were mixed overall: it lowered forecasts for several other quarters even as it raised the estimates above. Carvana research
• Negative Sentiment: Zacks cut its full-year EPS forecasts for 2026 to $1.47 from $1.63, 2027 to $2.04 from $2.25, and 2028 to $2.94 from $3.24. It also lowered Q4 2026 EPS to $0.32 from $0.38 and Q2 2028 to $0.73 from $0.81. The broad annual downgrades may raise concerns about Carvana’s earnings trajectory. Carvana research
• Negative Sentiment: Director J. Quayle sold 27,655 shares, reducing his direct stake by 12.87%. Insider Thomas Taira also sold 5,596 shares, though that transaction was under a pre-arranged Rule 10b5-1 plan and represented a 1.58% reduction in his holdings. Insider sales can weigh on sentiment, but the planned nature of Taira’s sale may make it less informative. Insider trading report

Carvana Company Profile

Carvana Co. operates an online platform for buying and selling used cars. Customers can browse vehicle listings, arrange financing, value a trade-in, and complete much of the purchase process online. The company also offers vehicle delivery or pickup, including at some locations with its distinctive car vending machines. Founded in 2012, Carvana has expanded its operations across the United States. Its services and vehicle availability vary by market, and the company supports its online marketplace with inspection, reconditioning, and logistics operations.