CARVANA CO (NYSE:CVNA) – A High-Growth Stock Meeting Minervini’s Trend Template

CARVANA CO (NYSE:CVNA) has emerged as a standout candidate for both momentum and high-growth investors. The stock meets Mark Minervini’s Trend Template criteria while also demonstrating strong fundamental growth, making it an interesting prospect for traders and investors alike.

Why CVNA Fits the Minervini Trend Template

Minervini’s strategy focuses on stocks with strong technical setups and upward momentum. CVNA checks several key boxes:

• Price Above Key Moving Averages: The stock is trading above its 50-day ($231.87), 150-day ($231.14), and 200-day ($213.36) moving averages, confirming a bullish trend.
• Upward-Sloping Moving Averages: The 50-day, 150-day, and 200-day MAs are all trending higher, indicating sustained momentum.
• Strong Relative Strength: With a ChartMill Relative Strength (CRS) score of 98.33, CVNA outperforms nearly all other stocks in its sector.
• Price Near 52-Week High: At $304.11, CVNA is within 2.5% of its 52-week high ($311.88), a sign of leadership.
• Significant Upside from Lows: The stock has surged over 200% from its 52-week low ($97.55), showing strong recovery momentum.

High-Growth Fundamentals

Beyond technical strength, CVNA exhibits robust growth metrics:

• Earnings Growth: EPS surged 556.5% year-over-year in the latest quarter, with an average EPS beat of 169.4% over the past four quarters.
• Revenue Expansion: Quarterly sales grew 38.3%, while full-year revenue increased 26.9%.
• Profit Margin Improvement: Margins expanded from 0.53% a year ago to 5.1% in the most recent quarter.
• Analyst Upgrades: EPS and revenue estimates for next year have been revised upward by 98% over the past three months.

Technical Outlook

The stock is currently consolidating near its highs, presenting a potential breakout opportunity. Key support levels are at $292.08 and $176.21, while resistance sits around $304.12-$305.53.

For a deeper technical breakdown, review the full ChartMill technical report.

Our High Growth Momentum + Trend Template screener lists more stocks with similar characteristics.

Disclaimer

This is not investment advice. Always conduct your own research and consider risk management before making trading decisions.