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Benjamin E. Huston, Chief Operating Officer of Carvana Co. (NYSE:CVNA), recently executed a series of stock transactions totaling approximately $10.5 million. The transactions, which took place on March 24, 2025, involved the sale of Class A common stock at prices ranging from $200.69 to $214.66 per share. The stock, currently trading at $204.87, has demonstrated remarkable strength with a 125.6% return over the past year. According to InvestingPro analysis, Carvana appears slightly undervalued based on its Fair Value metrics.
Huston sold a total of 47,546 shares in multiple trades, reducing his direct ownership to 146,278 shares following the transactions. These sales were conducted under a pre-established Rule 10b5-1 trading plan, which allows insiders to set up a predetermined schedule for buying or selling company stock. With a market capitalization of $44.31 billion and a P/E ratio of 117.48, Carvana maintains a "GOOD" financial health score according to InvestingPro’s comprehensive analysis, which offers 16 additional key insights about the company.
Additionally, on March 26, Huston converted 31,838 Class B units into Class A common stock. This conversion did not involve any monetary transaction, as the units were exchanged at a price of $0.00 per share. Following this conversion, Huston’s total direct ownership stands at 178,116 shares. The company is scheduled to report its next earnings on May 1, 2025, with analysts maintaining positive profit expectations for the year ahead.
In other recent news, Carvana Co. has seen significant developments that could interest investors. Carvana’s credit rating was upgraded by S&P Global Ratings from ’B-’ to ’B’ due to improved performance and stronger credit metrics. The company’s earnings have shown substantial growth, with sales reaching $13.7 billion in 2024, up from $10.8 billion in 2023, and an increase in EBITDA margins from 3.9% in 2023 to 10.6% in 2024. Piper Sandler also upgraded Carvana’s stock rating to Overweight, maintaining a price target of $225, citing the company’s potential for increased market share and revenue growth.
Additionally, BofA Securities adjusted its price target for Carvana to $220 from $270, while maintaining a Buy rating, following data indicating a slight deceleration in the used auto market’s growth. DA Davidson raised its price target for Carvana to $260, reflecting the company’s strong earnings report and accelerating growth trajectory, yet maintained a Neutral rating. Carvana’s operational advancements were highlighted by DA Davidson after a tour of one of its Inspection and Reconditioning Centers, emphasizing the company’s efforts to enhance scale and efficiency.
The company’s strategic growth plans include the opening of additional ADESA mega sites to expand inventory and reconditioning capacity, supporting its revenue growth forecast of about 14.9% in 2025. These developments underscore Carvana’s potential to capitalize on industry dynamics and expand its footprint within the competitive used car market.
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