CARVANA CO (CVNA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CVNA - US1468691027 - Common Stock
438.47 USD
-3.1 (-0.7%)
438.47 USD
0 (0%)
CVNA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals 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. With these ratings, CVNA could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
CVNA had positive earnings in the past year.
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.
The reported operating cash flow has been mixed in the past 5 years: CVNA reported negative operating cash flow in multiple 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.
Looking at the Return On Equity, with a value of 27.60%, CVNA belongs to the top of the industry, outperforming 86.99% of the companies in the same industry.
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
Looking at the Profit Margin, with a value of 3.44%, CVNA is in the better half of the industry, outperforming 71.54% 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 81.30% of its industry peers.
Looking at the Gross Margin, with a value of 21.37%, CVNA is doing worse than 80.49% of the companies in the same industry.
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CVNA is creating value.
Compared to 1 year ago, CVNA has more shares outstanding
CVNA has more shares outstanding than it did 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 10.49. This indicates that CVNA is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 10.49, CVNA belongs to the top of the industry, outperforming 97.56% of the companies in the same industry.
The Debt to FCF ratio of CVNA is 9.53, which is on the high side as it means it would take CVNA, 9.53 years of fcf income to pay off all of its debts.
CVNA's Debt to FCF ratio of 9.53 is in line compared to the rest of the industry. CVNA outperforms 56.10% of its industry peers.
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 71.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | 9.53 | ||
| Altman-Z | 10.49 |
ROIC/WACC1.87
WACC9.38%
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 Current ratio of 4.05. This is amongst the best in the industry. CVNA outperforms 94.31% 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.
Looking at the Quick ratio, with a value of 2.55, CVNA belongs to the top 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
CVNA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 43700.00%, which is quite impressive.
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
Based on estimates for the next years, CVNA will show a very strong growth in Earnings Per Share. The EPS will grow by 48.65% on average per year.
Based on estimates for the next years, CVNA will show a very strong growth in Revenue. The Revenue will grow by 28.13% on average per year.
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
The Price/Earnings ratio is 100.11, which means the current valuation is very expensive for CVNA.
CVNA's Price/Earnings is on the same level as the industry average.
CVNA is valuated expensively when we compare the Price/Earnings ratio to 26.57, which is the current average of the S&P500 Index.
CVNA is valuated quite expensively with a Price/Forward Earnings ratio of 60.98.
CVNA's Price/Forward Earnings is on the same level as the industry average.
CVNA's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 24.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 100.11 | ||
| Fwd PE | 60.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CVNA is valued a bit more expensive than 68.29% of the companies in the same industry.
CVNA's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 174.7 | ||
| EV/EBITDA | 49.6 |
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 84.98% in the coming years.
PEG (NY)0.43
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% |
438.47
-3.1 (-0.7%)
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-3.13%
Market Cap95.38B
Revenue(TTM)18.27B
Net Income(TTM)629.00M
Analysts80.65
Price Target448.25 (2.23%)
Short Float %9.96%
Short Ratio3.71
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)5.28%
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)6.74%
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 | 100.11 | ||
| Fwd PE | 60.98 | ||
| P/S | 5.22 | ||
| P/FCF | 174.7 | ||
| P/OCF | 143.22 | ||
| P/B | 41.85 | ||
| P/tB | 42.56 | ||
| EV/EBITDA | 49.6 |
EPS(TTM)4.38
EY1%
EPS(NY)7.19
Fwd EY1.64%
FCF(TTM)2.51
FCFY0.57%
OCF(TTM)3.06
OCFY0.7%
SpS83.97
BVpS10.48
TBVpS10.3
PEG (NY)0.43
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 | 10.49 |
F-Score8
WACC9.38%
ROIC/WACC1.87
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 Year130.29%
EBIT Next 3Y55.7%
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%.