CARVANA CO (CVNA)
US1468691027 - Common Stock
CVNA gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 121 industry peers in the Specialty Retail industry. While CVNA seems to be doing ok healthwise, there are quite some concerns on its profitability. CVNA is valued quite expensively, but it does show have an excellent growth rating.
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 the past 5 years CVNA reported 4 times negative net income.
In the past 5 years CVNA reported 4 times negative operating cash flow.
1.2 Ratios
CVNA has a Return On Assets (0.23%) which is comparable to the rest of the industry.
With a Return On Equity value of 2.78%, CVNA perfoms like the industry average, outperforming 55.83% of the companies in the same industry.
CVNA's Return On Invested Capital of 9.45% is fine compared to the rest of the industry. CVNA outperforms 74.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.23% | ||
| ROE | 2.78% | ||
| ROIC | 9.45% |
ROA(3y)-4.6%
ROA(5y)-5.01%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CVNA's Profit Margin of 0.14% is in line compared to the rest of the industry. CVNA outperforms 50.00% of its industry peers.
CVNA's Operating Margin of 5.52% is fine compared to the rest of the industry. CVNA outperforms 70.83% of its industry peers.
CVNA's Gross Margin of 20.04% is on the low side compared to the rest of the industry. CVNA is outperformed by 80.83% of its industry peers.
In the last couple of years the Gross Margin of CVNA has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.52% | ||
| PM (TTM) | 0.14% | ||
| GM | 20.04% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.04%
GM growth 5Y9.7%
2. Health
2.1 Basic Checks
CVNA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
CVNA has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, CVNA has more shares outstanding
The debt/assets ratio for CVNA has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.28 indicates that CVNA is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 6.28, CVNA belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
The Debt to FCF ratio of CVNA is 10.70, which is on the high side as it means it would take CVNA, 10.70 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 10.70, CVNA perfoms like the industry average, outperforming 52.50% of the companies in the same industry.
CVNA has a Debt/Equity ratio of 9.01. This is a high value indicating a heavy dependency on external financing.
CVNA has a worse Debt to Equity ratio (9.01) than 81.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.01 | ||
| Debt/FCF | 10.7 | ||
| Altman-Z | 6.28 |
ROIC/WACC0.91
WACC10.34%
2.3 Liquidity
CVNA has a Current Ratio of 3.25. This indicates that CVNA is financially healthy and has no problem in meeting its short term obligations.
CVNA's Current ratio of 3.25 is amongst the best of the industry. CVNA outperforms 92.50% of its industry peers.
CVNA has a Quick Ratio of 2.12. This indicates that CVNA is financially healthy and has no problem in meeting its short term obligations.
CVNA's Quick ratio of 2.12 is amongst the best of the industry. CVNA outperforms 92.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.25 | ||
| Quick Ratio | 2.12 |
3. Growth
3.1 Past
CVNA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 100.47%, which is quite impressive.
The Revenue has grown by 12.21% in the past year. This is quite good.
CVNA shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 40.68% yearly.
EPS 1Y (TTM)100.47%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%239.13%
Revenue 1Y (TTM)12.21%
Revenue growth 3Y24.46%
Revenue growth 5Y40.68%
Sales Q2Q%31.81%
3.2 Future
Based on estimates for the next years, CVNA will show a very strong growth in Earnings Per Share. The EPS will grow by 33.44% on average per year.
Based on estimates for the next years, CVNA will show a quite strong growth in Revenue. The Revenue will grow by 17.65% on average per year.
EPS Next Y138.22%
EPS Next 2Y63.99%
EPS Next 3Y48.21%
EPS Next 5Y33.44%
Revenue Next Year22.99%
Revenue Next 2Y19.92%
Revenue Next 3Y19%
Revenue Next 5Y17.65%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22406.00 indicates a quite expensive valuation of CVNA.
60.00% of the companies in the same industry are cheaper than CVNA, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of CVNA to the average of the S&P500 Index (27.55), we can say CVNA is valued expensively.
Based on the Price/Forward Earnings ratio of 92.37, the valuation of CVNA can be described as expensive.
Based on the Price/Forward Earnings ratio, CVNA is valued a bit more expensive than the industry average as 65.00% of the companies are valued more cheaply.
CVNA is valuated expensively when we compare the Price/Forward Earnings ratio to 24.00, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22406 | ||
| Fwd PE | 92.37 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CVNA is valued a bit more expensive than the industry average as 65.00% of the companies are valued more cheaply.
The rest of the industry has a similar Price/Free Cash Flow ratio as CVNA.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 87.12 | ||
| EV/EBITDA | 50.95 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as CVNA's earnings are expected to grow with 48.21% in the coming years.
PEG (NY)162.1
PEG (5Y)N/A
EPS Next 2Y63.99%
EPS Next 3Y48.21%
5. Dividend
5.1 Amount
CVNA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
CARVANA CO
NYSE:CVNA (12/26/2024, 6:40:00 PM)
After market: 224.06 0 (0%)224.06
+0.17 (+0.08%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners94.57%
Inst Owner Change2.2%
Ins Owners5.08%
Ins Owner Change-5.81%
Market Cap46.52B
Analysts72.67
Price Target244.71 (9.22%)
Short Float %10.84%
Short Ratio4.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)232.86%
Min EPS beat(2)159.78%
Max EPS beat(2)305.93%
EPS beat(4)3
Avg EPS beat(4)146.46%
Min EPS beat(4)-10.39%
Max EPS beat(4)305.93%
EPS beat(8)7
Avg EPS beat(8)103.13%
EPS beat(12)7
Avg EPS beat(12)54.25%
EPS beat(16)9
Avg EPS beat(16)45.86%
Revenue beat(2)2
Avg Revenue beat(2)3.43%
Min Revenue beat(2)3.05%
Max Revenue beat(2)3.81%
Revenue beat(4)3
Avg Revenue beat(4)3.28%
Min Revenue beat(4)-5.97%
Max Revenue beat(4)12.25%
Revenue beat(8)4
Avg Revenue beat(8)1.38%
Revenue beat(12)6
Avg Revenue beat(12)0.13%
Revenue beat(16)10
Avg Revenue beat(16)3.97%
PT rev (1m)45.53%
PT rev (3m)60.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)125.02%
EPS NY rev (1m)1.63%
EPS NY rev (3m)204.04%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)18.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22406 | ||
| Fwd PE | 92.37 | ||
| P/S | 3.71 | ||
| P/FCF | 87.12 | ||
| P/OCF | 75.16 | ||
| P/B | 76.14 | ||
| P/tB | 81.33 | ||
| EV/EBITDA | 50.95 |
EPS(TTM)0.01
EY0%
EPS(NY)2.43
Fwd EY1.08%
FCF(TTM)2.57
FCFY1.15%
OCF(TTM)2.98
OCFY1.33%
SpS60.44
BVpS2.94
TBVpS2.75
PEG (NY)162.1
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.23% | ||
| ROE | 2.78% | ||
| ROCE | 11.16% | ||
| ROIC | 9.45% | ||
| ROICexc | 10.97% | ||
| ROICexgc | 11.05% | ||
| OM | 5.52% | ||
| PM (TTM) | 0.14% | ||
| GM | 20.04% | ||
| FCFM | 4.25% |
ROA(3y)-4.6%
ROA(5y)-5.01%
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
ROICexcg growth 3YN/A
ROICexcg 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 3Y4.04%
GM growth 5Y9.7%
F-Score8
Asset Turnover1.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.01 | ||
| Debt/FCF | 10.7 | ||
| Debt/EBITDA | 5.47 | ||
| Cap/Depr | 27.16% | ||
| Cap/Sales | 0.68% | ||
| Interest Coverage | 5.97 | ||
| Cash Conversion | 61.53% | ||
| Profit Quality | 3141.18% | ||
| Current Ratio | 3.25 | ||
| Quick Ratio | 2.12 | ||
| Altman-Z | 6.28 |
F-Score8
WACC10.34%
ROIC/WACC0.91
Cap/Depr(3y)250.45%
Cap/Depr(5y)359.52%
Cap/Sales(3y)2.97%
Cap/Sales(5y)4.24%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)100.47%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%239.13%
EPS Next Y138.22%
EPS Next 2Y63.99%
EPS Next 3Y48.21%
EPS Next 5Y33.44%
Revenue 1Y (TTM)12.21%
Revenue growth 3Y24.46%
Revenue growth 5Y40.68%
Sales Q2Q%31.81%
Revenue Next Year22.99%
Revenue Next 2Y19.92%
Revenue Next 3Y19%
Revenue Next 5Y17.65%
EBIT growth 1Y245.9%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year2170.56%
EBIT Next 3Y229.12%
EBIT Next 5Y121.47%
FCF growth 1Y122.48%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y135.23%
OCF growth 3YN/A
OCF growth 5YN/A