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Stock Alert: Carvana Up 24% On Outlook

By RTTNews Staff Writer   ✉   | Published:   | Follow Us On Google News
rttnewslogo20mar2024

Shares of online used car retailer Carvana Co. (CVNA) are surging more than 24% Tuesday morning after the company today said it expects record revenue in the third quarter.

"The momentum that we saw in the second quarter accelerated into the third, leading to record performance for Carvana in metrics that demonstrate strong progress both in growth and towards profitability," said Ernie Garcia, Carvana founder and CEO.

The company also expects to be breakeven in EBITDA in the third quarter.

On average 19 analysts polled by Thomson Reuters expect the company to report revenue of $1.48 billion in the third quarter.

Separately, the company said it intends to offer $1 billion in senior notes, consisting of $500 million notes due 2025 and $500 million notes due 2028. The company plans to use the proceeds from the offering to pay off its $600 million in 8.875% senior notes due 2023.

CVNA is currently trading at $216.70. It has traded in the range of $22.16- $235 in the past one year.

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