Carvana stock surged up to 10% after being tapped to join the S&P 500. Shares hit $438 before inclusion in the Consumer Discretionary category. The company aims to sell 3 million cars in 5-10 years. BofA raised price target to $455, citing continued growth and market share gains over CarMax.

Analysts see Carvana surpassing CarMax in quarterly sales by 2026. The online car retailer reported record sales and profits, with a net income margin exceeding industry averages. Over 30% of buyers complete transactions online without customer interaction, showing strong adoption of the fully online model.

Carvana’s stock has risen over 10,000% from its lows below $4 in 2022, defying bankruptcy speculation. The company posted its first-ever annual profit last year, impressing analysts. Wall Street analysts are bullish on Carvana, with 18 Buy ratings, 6 Hold, and 2 Sell ratings.

Read more at Yahoo Finance: Carvana stock surges on S&P 500 inclusion, marking dramatic turnaround