BofA Boosts Carvana Price Target, Highlights S&P 500 Eligibility

Carvana Co. (NYSE:CVNA) is one of the best consumer cyclical stocks to buy. On June 10, analyst Michael McGovern of BofA Securities reiterated his Buy rating on Carvana Co. (NYSE:CVNA) while raising the price target for the company’s shares from $325 to $375. Despite potential challenges in the second half of the year due to tightening new car supply shipments noticed in May, McGovern listed a number of variables that could support the company’s continued growth.

McGovern also noted that Carvana Co. (NYSE:CVNA) could benefit from the trend of consumers switching from new to used cars, which the company might take advantage of to increase its market share. He added that even though the S&P Committee made no adjustments this quarter, Carvana Co. (NYSE:CVNA) is now qualified to be included in the S&P 500 index.

Carvana Co. (NYSE:CVNA) is an online retailer of used cars based in Tempe, Arizona. Renowned for its multi-story automobile vending machines, the firm is the fastest-growing online used car dealer in the United States.

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Disclosure: None.