On November 13, Carvana Co. fell 3.13% in Regular Trading, trading at $71.5/share, with turnover of $1.4 billion.
The move coincided with a pullback after the company’s earlier third-quarter release and infrastructure expansion update, as market attention shifted toward whether the stock’s valuation had become stretched following prior gains.
Previously disclosed third-quarter results showed revenue of $8.04 billion, up 42.4% year over year and above the $7.71 billion consensus, while retail unit sales rose 39.4% to 217,385. Diluted EPS was $0.39, below the $0.44 expectation but above $0.21 a year earlier. The company also outlined reconditioning expansion at ADESA sites to support growth toward 3 million annual retail unit sales, including added capacity for about 2 million units. Analysts had recently lifted a price target to $85 while maintaining a Buy rating, but the latest decline suggests valuation concerns are tempering the earnings-driven optimism.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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