Skip to content

Carvana stock nears Wall Street max price target after major deal

Carvana stock nears Wall Street max price target after major deal

In 2023, Carvana (NYSE: CVNA), the popular used-car retailer, witnessed a staggering and unprecedented surge in its share price value, sending shockwaves through the stock market

The company’s shares staged an absolute monster rally this year, driven by a short squeeze reminiscent of the meme-stock frenzy of 2021. 

And it appears that CVNA has plenty more to offer to its investors. Following another rally in July 19 premarket trading, shares of Carvana are nearing the maximum 1-year price target offered by Wall Street analysts.

While its 2023 gains can be attributed to a mix of factors, Carvana’s most recent premarket rally came after the company said it has inked a partnership to reduce its heavy debt load. 

CVNA pops 22% in premarket 

At the time of writing, the car retailer’s stock stood at $48.57 in the market pre-open on Wednesday, up more than 22%. 

CVNA premarket gains on July 19. Source: Nasdaq

The stock reached a pre-market high of $58.88 at one point, before retracing.

Its current price of $48.57 is nearing the maximum 12-month price estimate provided by Wall Street experts. According to TradingView data, 17 analysts offered their 1-year price forecasts for CVNA, with a consensus level of $15.82, over 60% lower than the stock’s current price. 

Meanwhile, maximum and minimum estimates for Carvana’s shares stand at $50 and $1, respectively.

Analysts’ 12-month price target for CVNA. Source: TradingView

Over the past three months, 23 analysts rated the stock, giving it an average rating of Neutral at the time of writing. This is based on 3 ‘strong buy’ recommendations and 17 ‘hold’ suggestions, while only 3 strategists believe CVNA is a ‘strong sell.’

Seeking further insights into Carvana’s stock price potential, Finbold’s technical analysis showed that the used-car retailer’s shares actually have more room to grow. 

As can be observed from the below chart, CVNA’s price action formed a bull flag – a bullish chart pattern that forms after a sharp price increase. It represents a temporary pause in the uptrend and is considered a positive indicator as it suggests that the market is likely to resume its upward movement after the consolidation phase.

Bull flag on CVNA chart. Source: TradingView

If the stock maintains its current momentum, Carvana’s stock could potentially leap to as high as $57. 

Over the past month, Carvana surged more than 46%, while its year-to-date gains stand at a staggering 727%. 

What’s behind the latest surge?

In particular, through an agreement with a group of noteholders, Carvana expects to eliminate over 83% of Carvana’s 2025 and 2027 unsecured note maturities and lower required cash interest expense by more than $430 million annually for the next two years.

In total, the deal will trim the debt by more than $1.2 billion. 

Additionally, Carvana also reported Q2 financial results. The company secured $2.97 billion during the three-month period, beating the expected $2.6 billion. Gross profit stood at $499 million in the quarter, ahead of the estimated $409.6 million. 

Buy stocks now with Interactive Brokers – the most advanced investment platform

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in 70+ cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit

  • Copy top-performing traders in real time, automatically.

  • eToro USA is registered with FINRA for securities trading.

30+ million Users
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. eToro USA LLC does not offer CFDs, only real Crypto assets available. Don’t invest unless you’re prepared to lose all the money you invest.

Read Next:

Weekly Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts

Disclaimer: The information on this website is for general informational and educational purposes only and does not constitute financial, legal, tax, or investment advice. This site does not make any financial promotions, and all content is strictly informational. By using this site, you agree to our full disclaimer and terms of use. For more information, please read our complete Global Disclaimer.