Wedbush upgrades ‘new used car king’ Carvana to Outperform

As previously reported, Wedbush upgraded Carvana (CVNA) to Outperform from Neutral with a price target of $400, up from $380. The firm believes the recent pullback in shares is overdone, and investors should take advantage of this period of relative weakness. Further, Wedbush thinks the risk/reward is compelling, with its valuation and analysis implying limited downside from here. Management has delivered robust growth for several quarters, and in the near term, the firm sees upside to current estimates.