Carvana Correlations
CVNA Stock | USD 87.91 2.40 2.66% |
The correlation of Carvana is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Carvana moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Carvana Co moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Weak diversification
The correlation between Carvana Co and NYA is 0.36 (i.e., Weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Carvana Co and NYA in the same portfolio, assuming nothing else is changed.
Carvana |
The ability to find closely correlated positions to Carvana could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Carvana when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Carvana - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Carvana Co to buy it.
Moving together with Carvana Stock
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0.77 | F | Ford Motor Aggressive Push | PairCorr |
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0.92 | VSTO | Vista Outdoor Financial Report 1st of May 2024 | PairCorr |
Moving against Carvana Stock
0.71 | PDD | Pinduoduo Financial Report 24th of May 2024 | PairCorr |
0.63 | GLBE | Global-E Online Financial Report 27th of May 2024 | PairCorr |
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0.6 | DOOO | BRP Inc Financial Report 6th of June 2024 | PairCorr |
0.47 | WEYS | Weyco Group | PairCorr |
0.92 | AIU | Meta Data | PairCorr |
Related Correlations Analysis
BJRI | PLYA | WING | INN | LOCO | PG | ||
BJRI | 0.49 | 0.45 | -0.08 | 0.29 | 0.46 | BJRI | |
PLYA | 0.49 | 0.87 | -0.49 | -0.09 | 0.7 | PLYA | |
WING | 0.45 | 0.87 | -0.6 | 0.1 | 0.85 | WING | |
INN | -0.08 | -0.49 | -0.6 | 0.27 | -0.59 | INN | |
LOCO | 0.29 | -0.09 | 0.1 | 0.27 | 0.22 | LOCO | |
PG | 0.46 | 0.7 | 0.85 | -0.59 | 0.22 | PG | |
BJRI | PLYA | WING | INN | LOCO | PG |
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Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.High positive correlations
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Risk-Adjusted Indicators
There is a big difference between Carvana Stock performing well and Carvana Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze Carvana's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.Mean Deviation | Jensen Alpha | Sortino Ratio | Treynor Ratio | Semi Deviation | Expected Shortfall | Potential Upside | Value @Risk | Maximum Drawdown | ||
---|---|---|---|---|---|---|---|---|---|---|
BJRI | 2.12 | (0.26) | 0.00 | 0.04 | 2.48 | 4.47 | 13.05 | |||
PLYA | 0.96 | (0.02) | 0.04 | 0.11 | 0.99 | 2.17 | 5.74 | |||
WING | 1.55 | 0.47 | 0.17 | 0.89 | 1.66 | 3.99 | 13.23 | |||
INN | 1.37 | (0.27) | 0.00 | (0.01) | 0.00 | 2.42 | 10.04 | |||
LOCO | 1.34 | (0.06) | 0.02 | 0.09 | 1.74 | 2.89 | 7.09 | |||
PG | 0.53 | 0.12 | 0.09 | 0.42 | 0.14 | 1.30 | 5.35 |
Be your own money manager
Our tools can tell you how much better you can do entering a position in Carvana without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.Did you try this?
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Carvana Corporate Directors
Carvana corporate directors refer to members of a Carvana board of directors. The board of directors generally takes responsibility for the Carvana's affairs and long-term direction of the entity. A corporate director does not make decisions for the corporation on his own. As a member of the board of directors, she or he must function as a part of a group that makes decisions on behalf of the business only by the board of directors' meetings. To pass a resolution, a majority of Carvana's board members must vote for the resolution. The Carvana board of directors' duties also include the election, removal, and supervision of officers, including the adoption, amendment, and repeal of bylaws.Ira Platt | Independent Director | Profile | |
Dan Quayle | Independent Director | Profile | |
Neha Parikh | Independent Director | Profile | |
Michael Maroone | Lead Independent Director | Profile |
Already Invested in Carvana Co?
The danger of trading Carvana Co is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Carvana is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Carvana. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Carvana is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether Carvana offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Carvana's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Carvana Co Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Carvana Co Stock: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Carvana Co. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors. You can also try the Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
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When running Carvana's price analysis, check to measure Carvana's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Carvana is operating at the current time. Most of Carvana's value examination focuses on studying past and present price action to predict the probability of Carvana's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Carvana's price. Additionally, you may evaluate how the addition of Carvana to your portfolios can decrease your overall portfolio volatility.
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Is Carvana's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Carvana. If investors know Carvana will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Carvana listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (4.18) | Revenue Per Share 98.525 | Quarterly Revenue Growth (0.15) | Return On Assets (0.01) | Return On Equity (12.69) |
The market value of Carvana is measured differently than its book value, which is the value of Carvana that is recorded on the company's balance sheet. Investors also form their own opinion of Carvana's value that differs from its market value or its book value, called intrinsic value, which is Carvana's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Carvana's market value can be influenced by many factors that don't directly affect Carvana's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Carvana's value and its price as these two are different measures arrived at by different means. Investors typically determine if Carvana is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Carvana's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.