Carvana (NYSE:CVNA) Stock Gets Price Target Reduction from Needham & Company LLC

Carvana (NYSE:CVNA) had its price target cut by Needham & Company LLC from $120.00 to $100.00 in a research note issued to investors on Thursday, Marketbeat.com reports. They currently have a buy rating on the stock.

Other equities analysts have also recently issued reports about the company. Bank of America restated a “neutral” rating on shares of Carvana in a report on Thursday. Citigroup reaffirmed a “market outperform” rating on shares of Carvana in a research report on Wednesday. Evercore set a $75.00 price target on shares of Carvana in a research note on Thursday, July 30th. UBS Group reissued a “buy” rating and set a $83.00 price target on shares of Carvana in a research report on Friday, July 31st. Finally, Wells Fargo & Company reissued an “overweight” rating and set a $75.00 price target (down from $80.00) on shares of Carvana in a research report on Friday, October 23rd. One analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating and eight have given a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $82.09.

Carvana Trading Down 0.2%

CVNA opened at $68.15 on Thursday. Carvana has a 52 week low of $54.46 and a 52 week high of $97.38. The business has a fifty day simple moving average of $65.78 and a 200-day simple moving average of $69.42. The firm has a market cap of $75.00 billion, a P/E ratio of 34.21, a P/E/G ratio of 2.08 and a beta of 3.55. The company has a quick ratio of 2.33, a current ratio of 4.05 and a debt-to-equity ratio of 0.86.

Carvana (NYSE:CVNA) last issued its quarterly earnings data on Wednesday, October 28th. The company reported $0.39 earnings per share for the quarter, missing analysts’ consensus estimates of $0.44 by ($0.05). The firm had revenue of $8.04 billion during the quarter, compared to analyst estimates of $7.71 billion. Carvana had a net margin of 6.21% and a return on equity of 34.77%. The company’s quarterly revenue was up 42.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.03 earnings per share. On average, equities analysts expect that Carvana will post 1.59 earnings per share for the current year.

Insider Buying and Selling at Carvana

In other news, VP Stephen R. Palmer sold 5,000 shares of the stock in a transaction on Thursday, October 1st. The stock was sold at an average price of $61.64, for a total value of $308,200.00. Following the sale, the vice president directly owned 120,865 shares in the company, valued at approximately $7,450,118.60. This trade represents a 3.97% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Thomas Taira sold 5,597 shares of Carvana stock in a transaction on Monday, October 12th. The shares were sold at an average price of $65.00, for a total value of $363,805.00. Following the completion of the transaction, the insider owned 357,442 shares of the company’s stock, valued at approximately $23,233,730. This trade represents a 1.54% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 358,161 shares of company stock valued at $24,164,285. Insiders own 15.19% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Chicago Partners Investment Group LLC acquired a new stake in Carvana in the third quarter valued at $224,000. Rakuten Investment Management Inc. boosted its position in shares of Carvana by 10.1% during the 3rd quarter. Rakuten Investment Management Inc. now owns 124,338 shares of the company’s stock worth $7,910,000 after acquiring an additional 11,371 shares in the last quarter. Provenance Wealth Advisors LLC acquired a new position in shares of Carvana during the 3rd quarter worth about $25,000. Oregon Public Employees Retirement Fund boosted its position in shares of Carvana by 0.5% during the 3rd quarter. Oregon Public Employees Retirement Fund now owns 88,480 shares of the company’s stock worth $5,534,000 after acquiring an additional 410 shares in the last quarter. Finally, Tucker Asset Management LLC increased its holdings in shares of Carvana by 28.1% in the 3rd quarter. Tucker Asset Management LLC now owns 7,729 shares of the company’s stock valued at $483,000 after acquiring an additional 1,697 shares during the last quarter. 56.71% of the stock is owned by institutional investors and hedge funds.

Key Carvana News

Here are the key news stories impacting Carvana this week:

• Positive Sentiment: Carvana reported record third-quarter revenue of approximately $8.04 billion, up 42.4% year over year, with retail unit sales rising nearly 40% to roughly 217,385 vehicles. The strong volume growth exceeded revenue expectations and overshadowed the earnings miss. Carvana Q3 2026 Earnings Call Highlights
• Positive Sentiment: Morgan Stanley named Carvana a top pick, while UBS maintained a Buy rating. Barclays raised its price target to $82 from $80, and Citizens JMP increased its target to $85 from $83, suggesting analysts see meaningful upside if growth continues. Morgan Stanley Names Carvana a Top Pick
• Positive Sentiment: Needham retained a Buy rating despite lowering its target to $100, arguing that the recent selloff went too far. Commentary also pointed to positive free cash flow and an improved net-debt position as signs of strengthening financial health. Needham’s $100 Target
• Neutral Sentiment: CEO comments that artificial intelligence could simplify used-car buying offer a potential long-term efficiency and customer-experience opportunity, but no specific financial benefit or implementation timeline was announced. Carvana CEO Says AI Could Simplify Used-Car Buying
• Negative Sentiment: Adjusted earnings of $0.39 per share missed estimates, as higher logistics expenses, interest costs and declining unit profitability pressured margins despite record sales. Analysts warn that rising costs, substantial debt and ambitious expansion plans could limit financial flexibility. CVNA Q3 Earnings Miss on Higher Costs
• Negative Sentiment: BNP Paribas Exane and DA Davidson maintained Neutral ratings with $67 targets, underscoring skepticism that the stock’s premium valuation is justified without further margin improvement.

About Carvana

Carvana Co (NYSE: CVNA) is an online automotive retailer that sells used vehicles through its digital platform. Customers can browse vehicles, review detailed descriptions and vehicle history information, arrange financing, complete transactions online and choose home delivery or pickup at a Carvana location.

The company also provides vehicle trade-in services and offers related products, including vehicle protection plans and other automotive services. Carvana is known for its automated, glass-enclosed vehicle vending machines, which provide an alternative pickup experience in select markets.

Founded in 2012 and headquartered in Tempe, Arizona, Carvana began operations as an online used-car retailer in 2013 and went public in 2017.