Rakuten Investment Management Inc. Raises Position in Carvana Co. $CVNA

Rakuten Investment Management Inc. boosted its holdings in Carvana Co. (NYSE:CVNA) by 447.0% in the 2nd quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 112,967 shares of the company’s stock after purchasing an additional 92,316 shares during the period. Rakuten Investment Management Inc.’s holdings in Carvana were worth $7,198,000 at the end of the most recent reporting period.

Other institutional investors have also added to or reduced their stakes in the company. State Street Corp grew its stake in shares of Carvana by 93.7% during the fourth quarter. State Street Corp now owns 5,714,779 shares of the company’s stock valued at $2,411,751,000 after buying an additional 2,764,759 shares during the last quarter. Capital Research Global Investors lifted its stake in shares of Carvana by 42.9% in 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 acquiring an additional 1,711,144 shares during the last quarter. Bank of America Corp DE lifted its stake in shares of Carvana by 372.0% in the 2nd quarter. Bank of America Corp DE now owns 1,791,844 shares of the company’s stock valued at $117,939,000 after acquiring an additional 1,412,188 shares during the last quarter. Price T Rowe Associates Inc. MD boosted its holdings in Carvana by 8.6% during the 4th 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 during the period. Finally, Geode Capital Management LLC boosted its holdings in Carvana by 55.4% during the 4th quarter. Geode Capital Management LLC now owns 3,880,711 shares of the company’s stock valued at $1,632,763,000 after acquiring an additional 1,382,852 shares during the period. 56.71% of the stock is currently owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other news, COO Benjamin E. Huston sold 50,000 shares of the firm’s stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $68.55, for a total value of $3,427,500.00. Following the completion of the sale, the chief operating officer directly owned 458,755 shares of the company’s stock, valued at approximately $31,447,655.25. This trade represents a 9.83% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Mark W. Jenkins sold 63,750 shares of Carvana stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $68.34, for a total transaction of $4,356,675.00. Following the sale, the chief financial officer directly owned 1,029,580 shares in the company, valued at $70,361,497.20. The trade was a 5.83% decrease in their position. 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 sold 420,897 shares of company stock worth $28,777,664. Company insiders own 15.19% of the company’s stock.

Carvana Price Performance

Shares of Carvana stock opened at $74.24 on Friday. The company has a quick ratio of 2.33, a current ratio of 3.93 and a debt-to-equity ratio of 0.94. The company has a market cap of $81.70 billion, a PE ratio of 41.06, a P/E/G ratio of 2.69 and a beta of 3.46. The business has a 50 day moving average of $68.10 and a 200 day moving average of $68.34. Carvana Co. has a 52 week low of $54.46 and a 52 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 for the quarter, beating the consensus estimate of $0.39 by $0.03. The business had revenue of $7.38 billion for the quarter, compared to analysts’ expectations of $6.90 billion. Carvana had a net margin of 6.26% and a return on equity of 37.06%. The firm’s revenue for the quarter was up 52.4% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.51 earnings per share. As a group, equities research analysts forecast that Carvana Co. will post 1.68 earnings per share for the current year.

Analysts Set New Price Targets

CVNA has been the subject of several recent research reports. DA Davidson set a $67.00 price objective on Carvana in a research report on Thursday, July 30th. Citigroup cut their target price on shares of Carvana from $93.00 to $90.00 and set a “buy” rating on the stock in a report on Friday, July 31st. UBS Group reaffirmed a “buy” rating and issued a $83.00 target price on shares of Carvana in a research note on Friday, July 31st. Zacks Research lowered shares of Carvana from a “strong-buy” rating to a “hold” rating in a report on Wednesday, July 15th. Finally, Evercore set a $75.00 price target on shares of Carvana in a research report on Thursday, July 30th. One investment analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and seven have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $84.14.

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.