CARVANA CO (CVNA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CVNA - US1468691027 - Common Stock
433.55 USD
-4.92 (-1.12%)
434.22 USD
+0.67 (+0.15%)
Overall CVNA gets a fundamental rating of 5 out of 10. We evaluated CVNA against 123 industry peers in the Specialty Retail industry. CVNA has an average financial health and profitability rating. CVNA is valued quite expensive, but it does show an excellent growth. These ratings could make CVNA a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year CVNA was profitable.
In the past year CVNA had a positive cash flow from operations.
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 75.61% of the companies in the same industry.
CVNA's Return On Equity of 27.60% is amongst the best of the industry. CVNA outperforms 86.99% of its industry peers.
CVNA has a better Return On Invested Capital (17.57%) than 86.18% 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
The Profit Margin of CVNA (3.44%) is better than 71.54% of its industry peers.
Looking at the Operating Margin, with a value of 9.40%, CVNA belongs to the top of the industry, outperforming 81.30% of the companies in the same industry.
The Gross Margin of CVNA (21.37%) is worse than 80.49% of its industry peers.
In the last couple of years the Gross Margin of CVNA has grown nicely.
| 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), CVNA is creating value.
CVNA has more shares outstanding than it did 1 year ago.
The number of shares outstanding for CVNA has been increased compared to 5 years ago.
Compared to 1 year ago, CVNA has an improved debt to assets ratio.
2.2 Solvency
CVNA has an Altman-Z score of 10.35. This indicates that CVNA is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 10.35, CVNA belongs to the best of the industry, outperforming 97.56% 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 56.91% 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.
CVNA has a worse Debt to Equity ratio (2.14) than 70.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | 9.53 | ||
| Altman-Z | 10.35 |
ROIC/WACC1.86
WACC9.42%
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.
CVNA has a better Current ratio (4.05) than 93.50% of its industry peers.
CVNA has a Quick Ratio of 2.55. This indicates that CVNA is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 2.55, CVNA belongs to the best of the industry, outperforming 91.87% 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!
The Revenue has been growing by 28.25% on average over the past years. This is a very strong growth!
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
The Earnings Per Share is expected to grow by 48.65% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 28.13% on average over the next years. This is a very strong growth
EPS Next Y233.13%
EPS Next 2Y114.01%
EPS Next 3Y84.98%
EPS Next 5Y48.65%
Revenue Next Year48.02%
Revenue Next 2Y37.25%
Revenue Next 3Y33.03%
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
CVNA is valuated quite expensively with a Price/Earnings ratio of 98.98.
CVNA's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of CVNA to the average of the S&P500 Index (26.84), we can say CVNA is valued expensively.
CVNA is valuated quite expensively with a Price/Forward Earnings ratio of 60.29.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CVNA is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.40, CVNA is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 98.98 | ||
| Fwd PE | 60.29 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CVNA is valued a bit more expensive than the industry average as 67.48% of the companies are valued more cheaply.
CVNA's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 172.74 | ||
| EV/EBITDA | 48.72 |
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.
CVNA's earnings are expected to grow with 84.98% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.42
PEG (5Y)N/A
EPS Next 2Y114.01%
EPS Next 3Y84.98%
5. Dividend
5.1 Amount
No dividends for CVNA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
433.55
-4.92 (-1.12%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners97.95%
Inst Owner Change19.2%
Ins Owners2.2%
Ins Owner Change-3.07%
Market Cap94.31B
Revenue(TTM)18.27B
Net Income(TTM)629.00M
Analysts80.65
Price Target448.25 (3.39%)
Short Float %10.34%
Short Ratio3.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)5.52%
PT rev (3m)8.27%
EPS NQ rev (1m)4.77%
EPS NQ rev (3m)7.54%
EPS NY rev (1m)4.46%
EPS NY rev (3m)3.8%
Revenue NQ rev (1m)0.91%
Revenue NQ rev (3m)9%
Revenue NY rev (1m)1.22%
Revenue NY rev (3m)5.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 98.98 | ||
| Fwd PE | 60.29 | ||
| P/S | 5.16 | ||
| P/FCF | 172.74 | ||
| P/OCF | 141.61 | ||
| P/B | 41.38 | ||
| P/tB | 42.09 | ||
| EV/EBITDA | 48.72 |
EPS(TTM)4.38
EY1.01%
EPS(NY)7.19
Fwd EY1.66%
FCF(TTM)2.51
FCFY0.58%
OCF(TTM)3.06
OCFY0.71%
SpS83.97
BVpS10.48
TBVpS10.3
PEG (NY)0.42
PEG (5Y)N/A
Graham Number32.13
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 | 10.35 |
F-Score8
WACC9.42%
ROIC/WACC1.86
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 Y233.13%
EPS Next 2Y114.01%
EPS Next 3Y84.98%
EPS Next 5Y48.65%
Revenue 1Y (TTM)45.55%
Revenue growth 3Y2.19%
Revenue growth 5Y28.25%
Sales Q2Q%54.5%
Revenue Next Year48.02%
Revenue Next 2Y37.25%
Revenue Next 3Y33.03%
Revenue Next 5Y28.13%
EBIT growth 1Y147.76%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year130.59%
EBIT Next 3Y56.75%
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%.