Carvana Stock Cruises On Q3 Earnings: Nearly 81k Vehicles Sold, Gross Profit Per Vehicle Jumps Despite 'Challenging Industry Environment'
Portfolio Pulse from Adam Eckert
Carvana Co (NYSE:CVNA) reported Q3 earnings with revenue of $2.773 billion, slightly below the consensus estimate of $2.782 billion. The company reported net income of $741 million, assisted by a gain on debt reduction, and a record adjusted EBITDA of $148 million. Carvana sold 80,987 vehicles in Q3, with a gross profit per vehicle of $5,952, up 70% YoY. However, the company anticipates a sequential decline in retail units sold in Q4 due to industry and seasonal patterns.
November 02, 2023 | 8:41 pm
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Carvana's Q3 earnings report showed strong performance with record adjusted EBITDA and a significant YoY increase in gross profit per vehicle. However, the company expects a decline in retail units sold in Q4.
Carvana's Q3 earnings report showed strong performance, with record adjusted EBITDA and a significant YoY increase in gross profit per vehicle. This positive news could potentially drive the stock price up. However, the company's expectation of a decline in retail units sold in Q4 could offset this positive impact, leading to a neutral short-term price direction.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100