Carvana Co Stock Current Valuation
| CVNA Stock | USD 75.35 0.27 0.36% |
Valuation analysis of Carvana helps investors to measure Carvana's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. At present, Carvana's Enterprise Value Over EBITDA is projected to decrease significantly based on the last few years of reporting. The current year's Enterprise Value Multiple is expected to grow to 44.70, whereas Enterprise Value is forecasted to decline to about 13.7 B. Fundamental drivers impacting Carvana's valuation include:
Price Book 35.9638 | Enterprise Value 14 B | Enterprise Value Ebitda 12.5532 | Price Sales 1.2365 | Enterprise Value Revenue 1.3508 |
Overvalued
Today
Please note that Carvana's price fluctuation is not too volatile at this time. Calculation of the real value of Carvana is based on 3 months time horizon. Increasing Carvana's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Carvana Co is useful when determining the fair value of the Carvana stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Carvana. Since Carvana is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Carvana Stock. However, Carvana's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 75.35 | Real 51.41 | Target 40.28 | Hype 75.17 | Naive 72.77 |
The real value of Carvana Stock, also known as its intrinsic value, is the underlying worth of Carvana Company, which is reflected in its stock price. It is based on Carvana's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Carvana's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Carvana's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Carvana Co helps investors to forecast how Carvana stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Carvana more accurately as focusing exclusively on Carvana's fundamentals will not take into account other important factors: Carvana Co Company Current Valuation Analysis
Carvana's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Current Carvana Current Valuation | 14.04 B |
Most of Carvana's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Carvana Co is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Carvana Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for Carvana is extremely important. It helps to project a fair market value of Carvana Stock properly, considering its historical fundamentals such as Current Valuation. Since Carvana's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Carvana's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Carvana's interrelated accounts and indicators.
Click cells to compare fundamentals
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
| Competition |
In accordance with the recently published financial statements, Carvana Co has a Current Valuation of 14.04 B. This is 22.45% lower than that of the Specialty Retail sector and significantly higher than that of the Consumer Discretionary industry. The current valuation for all United States stocks is 15.56% higher than that of the company.
Carvana Current Valuation Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Carvana's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Carvana could also be used in its relative valuation, which is a method of valuing Carvana by comparing valuation metrics of similar companies.Carvana is currently under evaluation in current valuation category among related companies.
Carvana Fundamentals
| Return On Equity | -12.69 | |||
| Return On Asset | -0.0052 | |||
| Profit Margin | 0.04 % | |||
| Operating Margin | (0.01) % | |||
| Current Valuation | 14.04 B | |||
| Shares Outstanding | 84.5 M | |||
| Shares Owned By Insiders | 8.83 % | |||
| Shares Owned By Institutions | 91.17 % | |||
| Number Of Shares Shorted | 29.16 M | |||
| Price To Earning | (11.05) X | |||
| Price To Book | 35.96 X | |||
| Price To Sales | 1.24 X | |||
| Revenue | 10.77 B | |||
| Gross Profit | 1.25 B | |||
| EBITDA | 281 M | |||
| Net Income | 150 M | |||
| Cash And Equivalents | 666 M | |||
| Cash Per Share | 6.29 X | |||
| Total Debt | 6.71 B | |||
| Current Ratio | 2.38 X | |||
| Book Value Per Share | 2.13 X | |||
| Cash Flow From Operations | 803 M | |||
| Short Ratio | 5.42 X | |||
| Earnings Per Share | (4.18) X | |||
| Price To Earnings To Growth | (0.13) X | |||
| Target Price | 62.88 | |||
| Number Of Employees | 13.7 K | |||
| Beta | 3.3 | |||
| Market Capitalization | 13.72 B | |||
| Total Asset | 7.07 B | |||
| Retained Earnings | (1.63 B) | |||
| Working Capital | 1.78 B | |||
| Current Asset | 511.72 M | |||
| Current Liabilities | 268.46 M | |||
| Net Asset | 7.07 B |
About Carvana Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Carvana Co's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Carvana using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Carvana Co based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Carvana Investors Sentiment
The influence of Carvana's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Carvana. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Carvana's public news can be used to forecast risks associated with an investment in Carvana. The trend in average sentiment can be used to explain how an investor holding Carvana can time the market purely based on public headlines and social activities around Carvana Co. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Carvana's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Carvana's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Carvana's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Carvana.
Carvana Implied Volatility | 121.16 |
Carvana's implied volatility exposes the market's sentiment of Carvana Co stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Carvana's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Carvana stock will not fluctuate a lot when Carvana's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Carvana in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Carvana's short interest history, or implied volatility extrapolated from Carvana options trading.
Pair Trading with Carvana
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Carvana position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Carvana will appreciate offsetting losses from the drop in the long position's value.Moving together with Carvana Stock
| 0.83 | DIBS | 1StdibsCom Financial Report 8th of May 2024 | PairCorr |
| 0.71 | JD | JD Inc Adr Aggressive Push | PairCorr |
Moving against Carvana Stock
| 0.9 | AAN | Aarons | PairCorr |
| 0.72 | BGI | Birks Group | PairCorr |
| 0.7 | EXPE | Expedia Group Earnings Call This Week | PairCorr |
| 0.59 | ETSY | Etsy Inc Earnings Call This Week | PairCorr |
| 0.57 | WEYS | Weyco Group | PairCorr |
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.
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 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.
Correlation analysis and pair trading evaluation for Carvana can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Carvana Piotroski F Score and Carvana Altman Z Score analysis. You can also try the Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Complementary Tools for Carvana Stock analysis
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.