Carvana Co (CVNA) fair value: what the stock is really worth
As of Nov 5, 2026: fair value (intrinsic value) of Carvana Co stock $25.27, price $72.08, that is 64.9% below the price, quality 56 out of 100. Rating: strongly overvalued. Calculated from audited financials with 24 of our 26 valuation models and 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 6, 2026.
How to read this chart
60‑month range $0.7440 – $95.69 · fair‑value band $14.20 – $43.58 · the $72.08 price screens above the $25.27 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 6, 2026.
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Carvana Co., together with its subsidiaries, operates an e-commerce platform for buying and selling used cars.
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It provides vehicle acquisition, inspection and reconditioning, online search and shopping experience, financing, complementary products, logistics network and distinctive fulfillment experience, and post-sale customer support services. The company also operates auction sites.
Carvana Co. was founded in 2012 and is based in Tempe, Arizona.
Stock analysis
Carvana Co (CVNA) currently trades at $72.08, while our model-based Fair Value estimate is $25.27, 65% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of $90.80 per share, and 2 of the 24 models we run sit above the $72.08 price.
Bear case: the Asset-Based group reads lowest at $3.15, and 22 of the 24 models stay below the price. Data coverage for this calculation is medium.
Scenario range: $14.20 (bear) to $43.58 (bull), the price of $72.08 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 56/100 (solid quality), in the Consumer Cyclical sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Carvana Co reported revenue of $20.3B in FY2025 versus $12.8B in FY2021, a compound +12.2%/yr. Reported net income was $1.4B in FY2025.
Key figures
Market cap $75.7B Large · P/E ratio 32.8 · P/S ratio 1.78 · EPS (TTM) $2.08 · Net margin 6.2% · Return on equity 54.7% · Return on assets (EBIT) 1.3% · Operating margin 8.9%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 63 out of 100 (medium confidence).
What moves the price
The share trades about 25% below its 52-week high and 28% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Consumer Cyclical peers we cover trades at −14% fair-value upside, at −65%, CVNA screens richer than that median.
Fair Value models
Bear$14.20Fair Value $25.27Bull$43.58
Price $72.08 · Downside -64.9%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then ($1.77 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
In the last 6 months, one officer or director bought shares worth $1.5M, on Jul 31, 2026. Over the same period, 7 people sold shares worth $73.1M.
SaleIra J. PlattDirector4× since Jun 15, 2026: 104,640 shares, avg. $73.03$7.6MNov 4, 2026
SaleDaniel J. GillChief Product Officer3× since Dec 8, 2025: 373,639 shares, avg. $193.49$72.3MNov 3, 2026
SaleMark W. JenkinsChief Financial Officer12× since Dec 1, 2025: 459,000 shares, avg. $118.08$54.2MNov 2, 202610b5-1 plan
SaleStephen R PalmerVice President of Accounting12× since Dec 1, 2025: 36,000 shares, avg. $118.45$4.3MNov 2, 202610b5-1 plan
SaleJ Danforth QuayleDirector4× since Mar 9, 2026: 46,470 shares, avg. $86.19$4.0MOct 30, 2026
SaleThomas TairaPresident, Special Projects13× since Nov 10, 2025: 117,421 shares, avg. $316.91$37.2MOct 12, 202610b5-1 plan
SaleBenjamin E. HustonChief Operating Officer12× since Dec 1, 2025: 320,000 shares, avg. $196.59$62.9MSep 1, 202610b5-1 plan
BuyMichael E MarooneDirector2× since Jan 8, 2026: 25,005 shares, avg. $61.88$1.5MJul 31, 2026
SaleMichael E MarooneDirector2× since Dec 3, 2025: 30,933 shares, avg. $400.33$12.4MMar 16, 2026
SalePaul W. BreauxOfficer2× since Dec 8, 2025: 30,000 shares, avg. $450.67$13.5MDec 12, 202510b5-1 plan
Plus 2 more entries from the last 12 months.
Plus 55 other filings such as grants, option exercises or tax withholding. They are not market purchases or sales.
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.90/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+48.6%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+14.3%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+29.5%
Start year 2020 (pandemic). Over 10 years: +65.7% a year
Revenue growth 11 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+75.5%
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What shareholders gained per year (last 3 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 3 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Basis: adjusted.
+31.2%
Earnings growth per share plus dividend.
Earnings per share, growth per year+31.2%
Dividend (yield on the price)0.0%
Profit margin 2019 to 2024 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.−7% → 7%
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+37.1%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+25.8%
Yearly sales growth analysts expect, extended to five years.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +33.9% a year for the price and +22.8% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (98 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Positive
Recent news coverage is more positive than average.
AI conclusion: Innovation and margins deliver moderate moat signals, yet high leverage remains the central weakness that may pressure decisions.
Main risk: Amazon Autos platform might attract buyers and secure used-car supply from partners like Hertz or Ford dealers, reducing Carvana's transaction volumes or forcing lower margins on its online retail model.
Bull case: Carvana could deepen its integrated logistics and digital platform to capture more volume even as Amazon expands, while streamlining any related-party arrangements to reduce legal overhang and sustain financing economics.
Bear case: If Amazon Autos scales successfully or legal issues around DriveTime lead to restrictions on financing practices, Carvana might lose share in online used-car sales and see its loan-sale margins compressed, limiting growth in its core retail model.
Carvana achieved record retail unit sales with nearly 40 percent year-over-year growth in the latest quarter, yet gross profit per unit declined amid higher interest rates and fuel costs. Our models see it as overvalued given this contrast between rapid scale expansion and ongoing pressure on unit economics. Will greater operating leverage from the built infrastructure eventually lift margins, or will external factors keep squeezing profitability per car?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Auto & Truck Dealerships · 84 stocks
Beats the industry median on 6/13 measures
A mixed picture versus its industry peers.
Valuation
Quality Score56 · Above median
Fair Value upside−64.9% · Bottom 25%
Profitability
Return on equity (12 months)54.7% · Top 25%
Return on assets14.4% · Top 25%
Net margin (12 months)8.4% · Top 25%
Operating margin (12 months)8.9% · Top 25%
Growth and dividend
Revenue growth (quarter YoY)42.4% · Top 25%
Balance sheet
Debt / equity1.40× · Highest 25%
Valuation Multiplesvs Auto & Truck Dealerships median · lower = cheaper
P/E (12 months)32.8× · Priciest 25%
P/B22.00× · Priciest 25%
P/S (12 months)3.71× · Priciest 25%
Price / free cash flow114.7× · Priciest 25%
EV/EBITDA39.4× · Priciest 25%
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 42
FUTURE (revenue growth)100· sector 30
PAST (return on equity)100· sector 30
HEALTH (low debt)30· sector 83
DIVIDEND (yield)0· sector 74
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Carvana Co Fair Value". https://www.fairvalue-calculator.com/stock/CVNA
Frequently asked questions
Is Carvana Co (CVNA) overvalued or undervalued?
As of Nov 6, 2026, our model estimates a fair value of $25.27 versus a price of $72.08, about 65% lower (overvalued).
What is the fair value of CVNA?
Our model-based fair value for Carvana Co is $25.27 (as of Nov 6, 2026), built from audited fundamentals. The current price: $72.08.
What is the quality score of CVNA?
Carvana Co has a Quality Score of 56/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Carvana Co (CVNA)?
Our model-based price target is the fair value of $25.27 (as of Nov 6, 2026) from 24 valuation models. Cautious scenario $14.20, optimistic scenario $43.58. It is a calculation from audited fundamentals, not an analyst target.
What is the Carvana Co stock forecast for 2026?
Our models put fair value at $25.27, about 65% lower versus a price of $72.08 (overvalued). Cautious scenario $14.20, optimistic scenario $43.58. The calculation is refreshed regularly with new filings.
What is the revenue of Carvana Co (CVNA)?
Carvana Co reported trailing-twelve-month revenue of about $27.5B (latest available figure, as of Nov 6, 2026).
What growth is priced into Carvana Co (CVNA)?
For today's price to be fair in a discounted-cash-flow model, Carvana Co would have to grow free cash flow by +37.1 % per year for five years (discount rate 11.5 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +29.5 % per year. As of Nov 6, 2026.
What discount rate (WACC) does the fair value of CVNA use?
Our models discount Carvana Co at 11.5 %: a base by market capitalisation (large), damped by beta 3.55, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Carvana Co that is +37.1 % per year a year over ten years, using the same discount rate (11.5 %) and the same formula as our fair value.
How much growth has Carvana Co (CVNA) delivered so far?
Over the past 5 years revenue at Carvana Co grew +29.5 % a year. The price currently implies +37.1 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Carvana Co (CVNA) growing?
The median revenue growth in the sector is +4.6 % a year. That is the yardstick for the growth priced into Carvana Co (+37.1 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Carvana Co (CVNA)?
The free-cash-flow yield on the price is 1.67 %: that much free cash flow Carvana Co produces per unit of market value. When it exceeds the discount rate of our models (11.5 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Carvana Co (CVNA)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Carvana Co it is $25.27 per share (as of Nov 6, 2026), against a price of $72.08. It is the blended result of 24 valuation models (cash flow, earnings, asset, dividend).
Is Carvana Co stock overvalued or undervalued in 2026?
As of Nov 6, 2026, CVNA trades above its calculated fair value: price $72.08, fair value $25.27, a gap of about −65% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of CVNA?
No. The price is what the market pays today ($72.08); the fair value is what the company's own numbers justify ($25.27). For Carvana Co the two are $46.81 per share apart. That gap is exactly why we show both numbers side by side.
How much is Carvana Co worth?
The market values Carvana Co at about $75.7B (market capitalisation, as of Nov 6, 2026). Per share that is $72.08; our models calculate a fair value of $25.27 per share.
What do the bullish and bearish scenarios say about CVNA?
Our models span a range for Carvana Co: cautious scenario $14.20, base $25.27, optimistic $43.58 per share (as of Nov 6, 2026, price $72.08). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of CVNA?
Carvana Co trades at a price-to-earnings ratio of 32.8 (as of Nov 6, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $25.27 is built from several models across several years. Excluding one-off items of fiscal year 2025 it is 42.7 (reported for FY2025: 57.8). Other multiples: P/B 22.0, P/S 3.7, EV/EBITDA 39.4.
How solid is the balance sheet of Carvana Co (CVNA)?
Balance-sheet figures for Carvana Co (as of Nov 6, 2026): return on equity 54.7%, debt of 1.40 per unit of equity. They feed the Quality Score of 56/100, which measures business quality independently of the share price.
How far is CVNA from its 52-week high?
Carvana Co trades at $72.08, about 25% below its 52-week high of $95.69 and 28% above the low of $56.26 (as of Nov 5, 2026). Distance from the high says nothing about value: that is what the fair value of $25.27 is for.
Which stocks are comparable to Carvana Co?
From the same area (Consumer Cyclical) we also value Penske Automotive Group, D'Ieteren Group, Hotai Motor Co, CarMax, Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Carvana Co stock attractive at the current price?
The data as of Nov 6, 2026: price $72.08, calculated fair value $25.27 (−65%), Quality Score 56/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of CVNA calculated?
We run Carvana Co through 24 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $25.27, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 15.5% above its aggregate fair value. Carvana Co itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Carvana Co (CVNA)?
The closing price on Nov 5, 2026 was $72.08. Our model-based fair value is $25.27, about 65% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Carvana Co right now?
The price sits above even our optimistic bull case ($43.58). The favourable scenario is already priced in. The model range is unusually wide ($14.20 to $43.58). The outcome hinges heavily on assumptions, so read the point estimate with caution. Solid but not exceptional quality (56/100) and above fair value, neither a clear bargain nor a standout compounder.
Key figures of Carvana Co
How large is the market capitalisation of Carvana Co (CVNA)?
The market capitalisation of Carvana Co is $75.7B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Carvana Co (CVNA)?
The price-to-sales ratio of Carvana Co is 1.78 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Carvana Co (CVNA)?
Earnings per share at Carvana Co are $2.08 (price ÷ EPS = P/E 32.8). Earnings per share over the last twelve months: total profit spread across every single share.
What is the net margin of Carvana Co (CVNA)?
The net margin of Carvana Co is 6.2% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Carvana Co (CVNA)?
The return on equity (ROE) of Carvana Co is 54.7% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Carvana Co (CVNA)?
On an EBIT basis the return on assets of Carvana Co is 1.3% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Carvana Co (CVNA)?
The operating margin of Carvana Co is 8.9% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Carvana Co (CVNA)?
Revenue at Carvana Co is growing +42.4% versus a year earlier (3y avg +14.3%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Carvana Co (CVNA)?
Earnings per share at Carvana Co are growing +89.3% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Carvana Co (CVNA) hold?
Carvana Co holds more cash than debt, $1.7B net (fiscal year 2025). The company holds more cash than debt, a safety cushion.
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Some data
Nov 6, 2026