Carvana Q3 Profit Jumps to $289M as Vehicle Sales Climb 39%
CVNA sits 17% above its 52-week low of $54.464 on elevated volume (2.0× avg).
Summary
Carvana earned $289 million, or 39 cents a share, in Q3 versus 21 cents a year earlier, while revenue rose 42% to $8.04 billion and retail units sold climbed 39% to 217,385. Revenue beat the $7.71 billion FactSet consensus, but the 39-cent EPS came in below the 44-cent estimate. Management guided Q4 to a sequential increase in vehicles sold and now expects full-year adjusted EBITDA at the high end of its $2.7 billion to $3 billion range. Shares rose 8.4% to $64 after hours, though the stock is still down 30% year to date. The company says its growth is market-share gains against a flat industry, which is the core of the bull case.
At the time of this announcement, CVNA was trading at $63.85 on NYSE in the Trade & Services sector, with a market capitalization of approximately $65B. The 52-week trading range was $54.46 to $97.38. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.