William Blair analyst Sharon Zackfia has reiterated their bullish stance on CVNA stock, giving a Buy rating on October 25.
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Sharon Zackfia’s rating is based on Carvana’s impressive performance in the third quarter, where the company set new records in retail units sold, revenue, and adjusted EBITDA, surpassing market expectations. The growth in retail units sold accelerated to 44%, marking the fourth consecutive quarter of over 40% growth, which was fueled by a significant increase in marketing efforts, a substantial expansion in inventory selection, and improved delivery times.
Zackfia believes that Carvana is beginning to leverage its industry-leading gross profit per unit to further boost sales. This strategy includes enhancing inventory selection, increasing marketing, and speeding up delivery times, alongside offering lower loan rates to consumers, which is expected to continue driving growth in the upcoming quarter.
According to TipRanks, Zackfia is a 4-star analyst with an average return of 6.8% and a 45.59% success rate. Zackfia covers the Consumer Cyclical sector, focusing on stocks such as Birkenstock Holding plc, Royal Caribbean, and Potbelly.
In another report released on October 25, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $393.00 price target.