Carvana stock has surged 187% in past 5 years, but concerns about high debt levels.

From Nasdaq: 2025-02-10 21:06:00

Carvana’s (NYSE: CVNA) stock has seen significant volatility, but has surged 187% in the past five years. The company has gained investors’ confidence with better financial performance lately. Carvana’s unique online car-buying model has led to a 134% increase in unit volume over the past five years. The company aims to increase market share and achieve better profitability in the future. Despite projected improvements in earnings per share, Carvana faces concerns about its high debt levels and expensive valuation.

Investors are advised to consider the risks before investing in Carvana. The company’s stock has soared but is currently trading at historically high valuations. The future outlook may be challenging due to the company’s debt levels and market sentiment. The Motley Fool Stock Advisor team has identified other stocks with potential for significant returns, suggesting caution with Carvana.



Read more at Nasdaq: Where Will Carvana Stock Be in 5 Years?