Carvana (CVNA) Stock Sinks As Market Gains: What You Should Know

Carvana (CVNA) closed the latest trading day at $98.96, indicating a -1.02% change from the previous session's end. The stock's performance was behind the S&P 500's daily gain of 0.11%. Meanwhile, the Dow lost 0.3%, and the Nasdaq, a tech-heavy index, added 0.56%.

Shares of the company have depreciated by 17.83% over the course of the past month, underperforming the Retail-Wholesale sector's gain of 3.26% and the S&P 500's gain of 5.06%.

Investors will be eagerly watching for the performance of Carvana in its upcoming earnings disclosure. The company is forecasted to report an EPS of -$0.05, showcasing a 90.91% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $3.2 billion, indicating a 7.83% increase compared to the same quarter of the previous year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of -$0.55 per share and revenue of $12.36 billion, indicating changes of -173.33% and +14.71%, respectively, compared to the previous year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Carvana. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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 67.53% higher. Carvana is currently sporting a Zacks Rank of #2 (Buy).

The Internet - Commerce industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 62, positioning it in the top 25% 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.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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