What's Going On With Carvana Stock?

Carvana, Co. CVNA shares are trading higher Tuesday, and the stock is up more than 50% following its earnings report last week. Here's a look at what to know. 

What To Know:

Carvana reported its fourth-quarter results and posted its first-ever annual profit last Thursday. 

"2023 was an exceptional year for Carvana, where our deliberate focus on efficiency and profitability drove fundamental business improvements that not only led to our best-ever financial results but also increased customer NPS throughout the year," said Ernie Garcia, CEO of Carvana.

A slew of analysts raised price targets on the stock following the print, and Morgan Stanley analyst Adam Jonas maintained Carvana with an Underweight rating and raised the price target from $32 to $45 on Monday.

Carvana's stock has grabbed the interest of short-sellers with 42.04% of available shares being sold short and a short report from Kerrisdale Capital was released Monday. Outsized short interest and heavy trading volume may be contributing to Carvana's large move following its earnings report. 

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CVNA Stock Prediction 2024:

Equity research can be a valuable source of information for learning about a company's fundamentals. Analysts create financial models based on the fundamentals and expected future earnings of a company to arrive at a price target and recommendation for the stock.

Shares of Carvana have an average 1-year price target of $49.33, representing an expected downside of 38.74%.

Because of differences in assumptions, analysts can arrive at very different price targets and recommendations. 3 analysts have bearish recommendations on Carvana, while 2 analysts have bullish ratings. The street high price target from JMP Securities is $80, while the street low from RBC Capital is $24.

CVNA Price Action: According to Benzinga Pro, Carvana shares are up 18% at $82.45 at the time of publication.

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