The most recent trading session ended with Carvana (CVNA) standing at $211.41, reflecting a +1.01% shift from the previouse trading day's closing. The stock outpaced the S&P 500's daily gain of 0.13%. On the other hand, the Dow registered a loss of 1.33%, and the technology-centric Nasdaq decreased by 0.13%.
The the stock of company has risen by 18.86% in the past month, leading the Retail-Wholesale sector's loss of 5.65% and the S&P 500's loss of 6.3%.
Investors will be eagerly watching for the performance of Carvana in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on May 7, 2025. The company is forecasted to report an EPS of $0.69, showcasing a 268.29% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $3.96 billion, up 29.52% from the prior-year quarter.
CVNA's full-year Zacks Consensus Estimates are calling for earnings of $3.48 per share and revenue of $16.9 billion. These results would represent year-over-year changes of +118.87% and +23.57%, respectively.
Investors should also note any recent changes to analyst estimates for Carvana. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 3.39% higher. Right now, Carvana possesses a Zacks Rank of #2 (Buy).
Digging into valuation, Carvana currently has a Forward P/E ratio of 60.07. This denotes a premium relative to the industry's average Forward P/E of 22.43.
One should further note that CVNA currently holds a PEG ratio of 1.26. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Commerce was holding an average PEG ratio of 1.26 at yesterday's closing price.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 56, finds itself in the top 23% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Carvana Co. (CVNA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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