Carvana Co. (CVNA)
Carvana is an online-only used car retailer famous for its automated vehicle vending machines and home delivery.
Is Carvana Co. a good stock for a UK beginner?
The honest version: There's no rating here and nothing for sale. In its favour: Rapid revenue and earnings growth. Worth weighing: High share price volatility indicated by a high beta.
Is this normal for this company?
Each figure against the range this same company has produced recently. Neither end of a range is the good end.
Share price divided by the earnings actually reported over the four most recent quarters. The range is the same calculation at each of this company's last few results, so roughly the past year.
Profit as a share of sales, from the company's own quarterly statements. The range covers the 5 quarters we hold, and the figure shown is its most recent one.
How these ranges are built
Every number here is the company's own reported figure, not a comparison with other companies. The ranges come from this company's own results and its share price. Where it reports in a different currency from the one its shares trade in, the price-to-earnings range is left out rather than mixing the two.
What does Carvana Co. do?
Carvana lets customers browse, finance, and purchase second-hand cars entirely through their website or app, removing the traditional forecourt experience. The company makes its money by selling used vehicles alongside vehicle financing and warranty products. A key element to keep an eye on is how quickly they can grow their vehicle inventory and sales volumes while managing their debts.
On our factor screen it looks strongest on growth and quality, and weakest on income.
- !Pays no dividend - the whole return rides on the share price
- ✓Growing - revenue up about 52% over the year
- !High P/E of 38 - big growth is already priced in
- ✓Strong return on shareholder money (ROE 59%)
- Growth screens high
- Value screens low
- Income screens low
Does Carvana Co. pay a dividend?
No - Carvana Co. doesn't currently pay a dividend, so the whole return would rest on the share price. Plenty of growing companies reinvest their profits instead of paying them out - neither approach is better or worse, they're just different.
Does Carvana Co. have more cash or more debt?
It holds about $3.13B in cash against about $5.70B of debt - so it has net debt of about $2.56B. Debt is not automatically a problem - it funds growth - but it has to be serviced and repaid, which matters more when profits wobble.
From the latest reported balance sheet. Cash and debt levels change, and some borrowing is normal - this is context, not a judgment.
What do Carvana Co.'s numbers mean?
How has it performed?
Growth of £1,000, the worst fall, and year by year
Over about 2 years to 2026-09-11. This is the share price only; any dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
How much has Carvana Co. actually fallen?
Over the last 2 years of daily prices, Carvana Co. fell as much as −43% from a high to a later low. Falls like this are normal when you own a share.
Past falls are not a forecast - it can fall further, or recover.
How has it done year by year?
Calendar-year total return - the share price with dividends reinvested - from adjusted closing prices. The current year is only part-complete. Past returns are not a guide to the future.
A closer look at the numbers
Ownership, earnings history, where the money goes, and the outlook range
Does the share price tell you if it's cheap or expensive?
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
How much money does Carvana Co. make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Where does each £100 of Carvana Co.'s sales go?
A rough split of the latest full-year figures: of every £100 of sales, about £81 covers making the product or service, £13 goes on running costs, tax and interest, and about £6 is left as profit. Margins vary a lot by industry, and one-off items can distort a single year.
When does Carvana Co. report earnings, and how did recent quarters go?
Carvana Co. is next scheduled to report on about 2026-10-28 - dates can move, and we don't predict results; this just tells you when to look.
‘Beat’ and ‘missed’ are against what analysts expected, not whether the business is doing well.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-07-29 | $0.38 | $0.42 | Beat +10% |
| 2026-04-29 | $0.30 | $0.34 | Beat +12% |
| 2026-02-18 | $0.24 | $0.84 | Beat +259% |
| 2025-10-29 | $0.26 | $0.21 | Missed -22% |
| 2025-07-30 | $0.21 | $0.26 | Beat +22% |
| 2025-05-07 | $0.15 | $0.30 | Beat +102% |
Across the last 6 quarters here, Carvana Co. came in ahead of what analysts expected 5 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Where these figures come from
Each quarter a company reports its results against a consensus of analyst forecasts. The figures here are reported versus expected earnings per share from published results; the expectation is that analyst consensus, not our view. Report dates are estimates and can move.
What are the scenarios for Carvana Co.?
An illustrative range for the year ahead — not a prediction or a price target.
What are the pros, cons and common questions?
The case each way, and the questions people ask
Carvana becomes the dominant digital marketplace for used cars nationwide.
Competition from traditional dealers and supply chain limits hinder long-term progress.
What are the pros and cons of Carvana Co.?
A balance check, not a score or verdict.
- Rapid revenue and earnings growth
- High return on equity: How much profit the company makes for each £1 shareholders have put in. Higher usually means a more efficient business. pointing to efficient use of shareholder funds
- Recognisable consumer brand with innovative vending machine concept
- High share price volatility indicated by a high beta
- Zero dividend payments for income-focused participants
- High price-to-book: The share price versus the company's net assets per share (its book value). Under 1 can look cheap, though it varies a lot by industry. ratio means the shares trade at a large premium to net assets
- Vulnerability to shifts in consumer spending on big-ticket goods
- Fluctuations in the broader second-hand vehicle market
- Sensitivity to interest rates affecting car financing costs
The write-up's own warning lights — if these start happening, the case above changes.
- A sharp, sustained slowdown in year-on-year revenue growth
- Deterioration in profit margins despite higher sales volumes
Common questions about Carvana Co.
Does Carvana Co. pay a dividend?
No - Carvana Co. does not currently pay a dividend, so the return would rest on the share price. Many growing companies reinvest profits instead of paying them out.
When does Carvana Co. report earnings next?
Carvana Co. is next scheduled to report results on about 2026-10-28. Report dates are estimates and can move; this is a diary note for when to look, not a forecast of the outcome.
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Watches of Switzerland Group PLCBuilt from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →
This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.