Carvana
Market Cap
US$50.0b
Last Updated
2021/04/16 23:19 UTC
Data Sources
Company Financials +
Executive Summary
Carvana Co., together with its subsidiaries, operates an e-commerce platform for buying and selling used cars in the United States. More Details
Rewards
Risk Analysis
Snowflake Analysis
High growth potential with mediocre balance sheet.
Similar Companies
Share Price & News
How has Carvana's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CVNA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.
Volatility Over Time: CVNA's weekly volatility (9%) has been stable over the past year.
Market Performance
7 Day Return
1.4%
CVNA
0.6%
US Specialty Retail
1.3%
US Market
1 Year Return
252.4%
CVNA
108.7%
US Specialty Retail
53.9%
US Market
Return vs Industry: CVNA exceeded the US Specialty Retail industry which returned 108.7% over the past year.
Return vs Market: CVNA exceeded the US Market which returned 53.9% over the past year.
Shareholder returns
| CVNA | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.4% | 0.6% | 1.3% |
| 30 Day | -3.9% | 3.0% | 3.3% |
| 90 Day | -4.3% | 13.7% | 8.9% |
| 1 Year | 252.4%252.4% | 109.9%108.7% | 56.6%53.9% |
| 3 Year | 836.6%836.6% | 116.3%107.9% | 64.4%53.6% |
| 5 Year | n/a | 118.6%102.1% | 120.4%95.7% |
Long-Term Price Volatility Vs. Market
How volatile is Carvana's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall St
Carvana Co. (NYSE:CVNA): When Will It Breakeven?2 months ago | Simply Wall St
Did Carvana Co. (NYSE:CVNA) Insiders Sell Shares?Valuation
Is Carvana undervalued compared to its fair value and its price relative to the market?
54.3x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: CVNA ($275.09) is trading above our estimate of fair value ($167.21)
Significantly Below Fair Value: CVNA is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: CVNA is unprofitable, so we can't compare its PE Ratio to the US Specialty Retail industry average.
PE vs Market: CVNA is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate CVNA's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: CVNA is overvalued based on its PB Ratio (54.3x) compared to the US Specialty Retail industry average (3.1x).
Future Growth
How is Carvana forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?
51.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CVNA is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: CVNA is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: CVNA's is expected to become profitable in the next 3 years.
Revenue vs Market: CVNA's revenue (28% per year) is forecast to grow faster than the US market (9.3% per year).
High Growth Revenue: CVNA's revenue (28% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CVNA's Return on Equity is forecast to be low in 3 years time (15.1%).
Past Performance
How has Carvana performed over the past 5 years?
-22.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CVNA is currently unprofitable.
Growing Profit Margin: CVNA is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: CVNA is unprofitable, and losses have increased over the past 5 years at a rate of 22.9% per year.
Accelerating Growth: Unable to compare CVNA's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: CVNA is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (31.9%).
Return on Equity
High ROE: CVNA has a negative Return on Equity (-57.67%), as it is currently unprofitable.
Financial Health
How is Carvana's financial position?
Financial Position Analysis
Short Term Liabilities: CVNA's short term assets ($1.9B) exceed its short term liabilities ($467.1M).
Long Term Liabilities: CVNA's short term assets ($1.9B) exceed its long term liabilities ($1.8B).
Debt to Equity History and Analysis
Debt Level: CVNA's debt to equity ratio (153.2%) is considered high.
Reducing Debt: CVNA had negative shareholder equity 5 years ago, but is now positive and has therefore improved.
Balance Sheet
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: CVNA has less than a year of cash runway based on its current free cash flow.
Forecast Cash Runway: CVNA has less than a year of cash runway if free cash flow continues to reduce at historical rates of 36.8% each year
Dividend
What is Carvana current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate CVNA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate CVNA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if CVNA's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if CVNA's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of CVNA's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.1yrs
Average management tenure
CEO
Ernie Garcia (37 yo)
9.25yrs
Tenure
US$2,594,444
Compensation
Mr. Ernest C. Garcia, III, also known as Ernie, has been Chief Executive Officer and President at Carvana Group, LLC since 2012 and serves as its Chairman. Mr. Garcia Founded Carvana Co. and has been its C...
CEO Compensation Analysis
Compensation vs Market: Ernie's total compensation ($USD2.59M) is below average for companies of similar size in the US market ($USD11.14M).
Compensation vs Earnings: Ernie's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: CVNA's management team is seasoned and experienced (6.1 years average tenure).
Board Members
Experienced Board: CVNA's board of directors are considered experienced (3.9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.1%.
Top Shareholders
Company Information
Carvana Co.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Carvana Co.
- Ticker: CVNA
- Exchange: NYSE
- Founded: 2012
- Industry: Automotive Retail
- Sector: Retail
- Implied Market Cap: US$50.006b
- Market Cap: US$22.065b
- Shares outstanding: 177.52m
- Website: https://www.carvana.com
Number of Employees
Location
- Carvana Co.
- 1930 West Rio Salado Parkway
- Tempe
- Arizona
- 85281
- United States
Listings
Biography
Carvana Co., together with its subsidiaries, operates an e-commerce platform for buying and selling used cars in the United States. Its platform allows customers to research and identify a vehicle; inspect...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/04/16 23:19 |
| End of Day Share Price | 2021/04/16 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.