CARVANA CO (CVNA) Stock Fundamental Analysis
USA - NYSE:CVNA - US1468691027 - Common Stock
328.19 USD
+1.31 (+0.4%)
326.51 USD
-1.68 (-0.51%)
Overall CVNA gets a fundamental rating of 5 out of 10. We evaluated CVNA against 122 industry peers in the Specialty Retail industry. Both the profitability and the financial health of CVNA get a neutral evaluation. Nothing too spectacular is happening here. CVNA is valued quite expensively, but it does show have an excellent growth rating. These ratings would make CVNA suitable for growth investing!
1. Profitability
1.1 Basic Checks
CVNA had positive earnings in the past year.
CVNA had a positive operating cash flow in the past year.
In multiple years CVNA reported negative net income over the last 5 years.
In multiple years CVNA reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.38%, CVNA is in the better half of the industry, outperforming 76.23% of the companies in the same industry.
The Return On Equity of CVNA (27.60%) is better than 85.25% of its industry peers.
CVNA's Return On Invested Capital of 17.57% is amongst the best of the industry. CVNA outperforms 86.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 27.6% | ||
| ROIC | 17.57% |
ROA(3y)-3.14%
ROA(5y)-3.39%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 3.44%, CVNA is doing good in the industry, outperforming 71.31% of the companies in the same industry.
CVNA has a Operating Margin of 9.40%. This is amongst the best in the industry. CVNA outperforms 80.33% of its industry peers.
CVNA's Gross Margin of 21.37% is on the low side compared to the rest of the industry. CVNA is outperformed by 79.51% of its industry peers.
CVNA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.4% | ||
| PM (TTM) | 3.44% | ||
| GM | 21.37% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y11.8%
GM growth 5Y10.37%
2. Health
2.1 Basic Checks
CVNA has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for CVNA has been increased compared to 1 year ago.
The number of shares outstanding for CVNA has been increased compared to 5 years ago.
The debt/assets ratio for CVNA has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 8.48 indicates that CVNA is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 8.48, CVNA belongs to the best of the industry, outperforming 97.54% of the companies in the same industry.
CVNA has a debt to FCF ratio of 9.53. This is a negative value and a sign of low solvency as CVNA would need 9.53 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 9.53, CVNA is in line with its industry, outperforming 55.74% of the companies in the same industry.
A Debt/Equity ratio of 2.14 is on the high side and indicates that CVNA has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.14, CVNA is doing worse than 72.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | 9.53 | ||
| Altman-Z | 8.48 |
ROIC/WACC1.94
WACC9.04%
2.3 Liquidity
CVNA has a Current Ratio of 4.05. This indicates that CVNA is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 4.05, CVNA belongs to the top of the industry, outperforming 95.08% of the companies in the same industry.
A Quick Ratio of 2.55 indicates that CVNA has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.55, CVNA belongs to the top of the industry, outperforming 94.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.05 | ||
| Quick Ratio | 2.55 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 43700.00% over the past year.
The Revenue has grown by 45.55% in the past year. This is a very strong growth!
CVNA shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 28.25% yearly.
EPS 1Y (TTM)43700%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%60.94%
Revenue 1Y (TTM)45.55%
Revenue growth 3Y2.19%
Revenue growth 5Y28.25%
Sales Q2Q%54.5%
3.2 Future
CVNA is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 48.65% yearly.
CVNA is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 28.13% yearly.
EPS Next Y218.89%
EPS Next 2Y110.86%
EPS Next 3Y80.86%
EPS Next 5Y48.65%
Revenue Next Year46.23%
Revenue Next 2Y35.93%
Revenue Next 3Y32.06%
Revenue Next 5Y28.13%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 74.93, which means the current valuation is very expensive for CVNA.
CVNA's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.34, CVNA is valued quite expensively.
Based on the Price/Forward Earnings ratio of 47.02, the valuation of CVNA can be described as expensive.
Based on the Price/Forward Earnings ratio, CVNA is valued a bit more expensive than 60.66% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.43. CVNA is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 74.93 | ||
| Fwd PE | 47.02 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CVNA is valued a bit more expensive than the industry average as 66.39% of the companies are valued more cheaply.
CVNA's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 129.35 | ||
| EV/EBITDA | 36.86 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as CVNA's earnings are expected to grow with 80.86% in the coming years.
PEG (NY)0.34
PEG (5Y)N/A
EPS Next 2Y110.86%
EPS Next 3Y80.86%
5. Dividend
5.1 Amount
No dividends for CVNA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
328.19
+1.31 (+0.4%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners96.32%
Inst Owner Change3.03%
Ins Owners2.29%
Ins Owner Change-3.73%
Market Cap70.63B
Revenue(TTM)18.27B
Net Income(TTM)629.00M
Analysts79.31
Price Target425.78 (29.74%)
Short Float %7.49%
Short Ratio3.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.28%
Min EPS beat(2)-19.89%
Max EPS beat(2)13.33%
EPS beat(4)3
Avg EPS beat(4)53.73%
Min EPS beat(4)-19.89%
Max EPS beat(4)130.76%
EPS beat(8)6
Avg EPS beat(8)97.4%
EPS beat(12)10
Avg EPS beat(12)84.87%
EPS beat(16)10
Avg EPS beat(16)52.77%
Revenue beat(2)2
Avg Revenue beat(2)6.22%
Min Revenue beat(2)3.4%
Max Revenue beat(2)9.04%
Revenue beat(4)4
Avg Revenue beat(4)5.4%
Min Revenue beat(4)3.4%
Max Revenue beat(4)9.04%
Revenue beat(8)7
Avg Revenue beat(8)4.34%
Revenue beat(12)8
Avg Revenue beat(12)2.72%
Revenue beat(16)10
Avg Revenue beat(16)1.45%
PT rev (1m)2.84%
PT rev (3m)7.01%
EPS NQ rev (1m)9.4%
EPS NQ rev (3m)12.5%
EPS NY rev (1m)-0.64%
EPS NY rev (3m)7.44%
Revenue NQ rev (1m)7.68%
Revenue NQ rev (3m)12.24%
Revenue NY rev (1m)4.04%
Revenue NY rev (3m)9.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 74.93 | ||
| Fwd PE | 47.02 | ||
| P/S | 3.87 | ||
| P/FCF | 129.35 | ||
| P/OCF | 106.05 | ||
| P/B | 30.99 | ||
| P/tB | 31.52 | ||
| EV/EBITDA | 36.86 |
EPS(TTM)4.38
EY1.33%
EPS(NY)6.98
Fwd EY2.13%
FCF(TTM)2.54
FCFY0.77%
OCF(TTM)3.09
OCFY0.94%
SpS84.88
BVpS10.59
TBVpS10.41
PEG (NY)0.34
PEG (5Y)N/A
Graham Number32.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 27.6% | ||
| ROCE | 20.67% | ||
| ROIC | 17.57% | ||
| ROICexc | 23.6% | ||
| ROICexgc | 23.75% | ||
| OM | 9.4% | ||
| PM (TTM) | 3.44% | ||
| GM | 21.37% | ||
| FCFM | 2.99% |
ROA(3y)-3.14%
ROA(5y)-3.39%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y11.8%
GM growth 5Y10.37%
F-Score8
Asset Turnover1.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | 9.53 | ||
| Debt/EBITDA | 2.45 | ||
| Cap/Depr | 42.86% | ||
| Cap/Sales | 0.66% | ||
| Interest Coverage | 5.04 | ||
| Cash Conversion | 33.35% | ||
| Profit Quality | 86.8% | ||
| Current Ratio | 4.05 | ||
| Quick Ratio | 2.55 | ||
| Altman-Z | 8.48 |
F-Score8
WACC9.04%
ROIC/WACC1.94
Cap/Depr(3y)83.57%
Cap/Depr(5y)253.76%
Cap/Sales(3y)1.75%
Cap/Sales(5y)3.2%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)43700%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%60.94%
EPS Next Y218.89%
EPS Next 2Y110.86%
EPS Next 3Y80.86%
EPS Next 5Y48.65%
Revenue 1Y (TTM)45.55%
Revenue growth 3Y2.19%
Revenue growth 5Y28.25%
Sales Q2Q%54.5%
Revenue Next Year46.23%
Revenue Next 2Y35.93%
Revenue Next 3Y32.06%
Revenue Next 5Y28.13%
EBIT growth 1Y147.76%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year124.64%
EBIT Next 3Y52.89%
EBIT Next 5Y38.7%
FCF growth 1Y215.61%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y119.8%
OCF growth 3YN/A
OCF growth 5YN/A
CARVANA CO / CVNA FAQ
What is the ChartMill fundamental rating of CARVANA CO (CVNA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to CVNA.
What is the valuation status for CVNA stock?
ChartMill assigns a valuation rating of 3 / 10 to CARVANA CO (CVNA). This can be considered as Overvalued.
What is the profitability of CVNA stock?
CARVANA CO (CVNA) has a profitability rating of 5 / 10.
How financially healthy is CARVANA CO?
The financial health rating of CARVANA CO (CVNA) is 6 / 10.
Is the dividend of CARVANA CO sustainable?
The dividend rating of CARVANA CO (CVNA) is 0 / 10 and the dividend payout ratio is 0%.