Carvana Stock Falls Despite Record Q2 Results Due to Disappointing Full-Year Guidance
Carvana (CVNA) reported record second-quarter results with revenue of $7.376 billion and adjusted EPS of $0.42, both exceeding expectations. The company also achieved a new high for adjusted EBITDA at $769 million. Despite these strong numbers, the stock fell more than 20% after hours due to weaker-than-expected full-year guidance. Carvana projected full-year adjusted EBITDA of between $2.7 billion and $3.0 billion, with a midpoint below analysts' expectations of $2.99 billion. The company also provided vague Q3 retail unit sales guidance without specific figures against consensus estimates of 204,115 units. CEO Ernie Garcia emphasized Carvana's growth potential in the U.S. automotive market and highlighted its current scale as just a fraction of total industry size.
Tickers: $CVNA
Topics: Carvana CVNA stock price drop full-year guidance Q2 earnings report