This Carvana Analyst Believes There Is Near-Term Upside Amid Auto Workers Strike
Portfolio Pulse from Priya Nigam
Carvana Co (NYSE:CVNA) shares were trading higher last week amid the United Auto Workers strike. The debt exchange deal announced in August and improving profitability could lend upside to Carvana’s performance in the third and fourth quarters of 2023. Wedbush analyst Seth Basham upgraded the rating for Carvana from Underperform to Neutral, while raising the price target from $40 to $48. Near-term upside may be driven by more favorable industry pricing conditions and loan sales that are tracking to exceed originations.
September 18, 2023 | 3:22 pm
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Carvana's shares are expected to perform better in the near term due to favorable industry pricing conditions and loan sales exceeding originations. The company's rating has been upgraded from Underperform to Neutral by Wedbush analyst Seth Basham, who also raised the price target from $40 to $48.
The news directly pertains to Carvana and is highly relevant. The upgrade in rating and increase in price target by a Wedbush analyst indicates a positive outlook for the company's stock. This, combined with favorable industry conditions and loan sales exceeding originations, is likely to drive the stock price up in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100