Carvana (CVNA) closed at $411.61 in the latest trading session, marking a +1.97% move from the prior day. This change outpaced the S&P 500's 0.47% gain on the day. Meanwhile, the Dow experienced a rise of 0.04%, and the technology-dominated Nasdaq saw an increase of 0.9%.
Shares of the company have depreciated by 12.83% over the course of the past month, underperforming the Retail-Wholesale sector's loss of 1.03%, and the S&P 500's loss of 0.16%.
The investment community will be closely monitoring the performance of Carvana in its forthcoming earnings report. The company is scheduled to release its earnings on February 18, 2026. The company is forecasted to report an EPS of $1.09, showcasing a 94.64% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $5.19 billion, up 46.36% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates project earnings of $5.48 per share and a revenue of $19.91 billion, demonstrating changes of +244.65% and +45.6%, respectively, from the preceding year.
Investors should also pay attention to any latest changes in analyst estimates for Carvana. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.9% lower. Carvana is currently a Zacks Rank #3 (Hold).
With respect to valuation, Carvana is currently being traded at a Forward P/E ratio of 56.22. This signifies a premium in comparison to the average Forward P/E of 14.98 for its industry.
One should further note that CVNA currently holds a PEG ratio of 0.99. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CVNA's industry had an average PEG ratio of 0.98 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 158, positioning it in the bottom 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Carvana Co. (CVNA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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