Core Viewpoint - Carvana Co. is under investigation for potential violations of federal securities laws due to significant stock price drops linked to claims of accounting improprieties [1][2]. Company Overview - Carvana operates as an online e-commerce platform and used-car retailer, facilitating the buying, selling, and financing of vehicles entirely online. A major portion of its revenue is derived from online vehicle sales and auto loans, which are often securitized or sold to external parties [3]. Investigation Details - The investigation by Bleichmar Fonti & Auld LLP focuses on whether Carvana overstated its earnings and improperly accounted for related party transactions [3]. - Gotham City Research LLC released a report indicating that Carvana's financial results are closely connected to a network of related party entities controlled by Ernest Garcia II, which includes DriveTime, Bridgecrest, and GoFi. The report claims that these relationships have led to an overstatement of Carvana's earnings by over $1 billion, raising substantial risks for investors [4]. Stock Performance - Following the release of the Gotham City report on January 28, 2026, Carvana's stock price fell over 20%, dropping from $474.06 per share at market open to a low of $374.55 per share [5].

Core Viewpoint - Rosen Law Firm is investigating potential securities claims on behalf of shareholders of Carvana Co. due to allegations of materially misleading business information issued to the investing public [1] Group 1 - The investigation is focused on Carvana Co. (NYSE: CVNA) and its business practices [1] - Shareholders who purchased Carvana securities may be entitled to compensation without any out-of-pocket fees or costs through a contingency fee arrangement [1]

Core Viewpoint - Pomerantz LLP is investigating claims of potential securities fraud and unlawful business practices involving Carvana Co. following a short report alleging significant overstatement of earnings and undisclosed dependencies on related parties [1][2]. Group 1: Investigation and Allegations - Pomerantz LLP is representing investors in Carvana Co. and is looking into claims of securities fraud or other unlawful business practices by the company and its executives [1]. - Gotham City Research LLC published a short report on January 28, 2026, claiming that Carvana's earnings for 2023-2024 are overstated by over $1 billion and that the company is more reliant on related parties than previously disclosed [2]. Group 2: Market Reaction - Following the allegations from Gotham City Research, Carvana's stock price dropped by $67.68, or 14.17%, closing at $410.04 per share on January 28, 2026 [2].

Group 1 - The law firm Kirby McInerney LLP is investigating potential claims against Carvana Co. regarding possible violations of federal securities laws and unlawful business practices by the company and its senior management [1] - A report by Gotham City Research alleges that Carvana's reported profitability is based on undisclosed related-party transactions with DriveTime and Bridgecrest, claiming that DriveTime incurred over $1 billion in cash losses while leveraging 20x to 40x EBITDA to support Carvana's earnings [1] - Following the allegations, Carvana's share price dropped by $67.68, approximately 14.2%, from $477.72 on January 27, 2026, to $410.04 on January 28, 2026 [1] Group 2 - No lawsuit has been filed yet, and the investigation is ongoing to assess whether claims can be made under federal securities laws [2] - Individuals who purchased or acquired Carvana securities and have information related to the investigation are encouraged to contact Kirby McInerney LLP for further discussion [2]

Core Viewpoint - Carvana Co. is under investigation for potential violations of federal securities laws due to significant stock price drops linked to claims of accounting improprieties [2][3]. Company Overview - Carvana operates as an online e-commerce platform and used-car retailer, facilitating the buying, selling, and financing of vehicles entirely online. A major portion of its revenue is derived from online vehicle sales and auto loans, which are often securitized or sold to external parties [3]. Investigation Details - The investigation by Bleichmar Fonti & Auld LLP focuses on whether Carvana overstated its earnings and improperly accounted for related party transactions [3]. - Gotham City Research LLC released a report indicating that Carvana's financial results are closely connected to a network of related party entities controlled by Ernest Garcia II, which includes DriveTime, Bridgecrest, and GoFi. The report claims that these relationships have led to an overstatement of Carvana's earnings by over $1 billion [4]. Stock Performance - Following the release of the Gotham City report, Carvana's stock price fell over 20%, dropping from $474.06 per share at market open on January 28, 2026, to a low of $374.55 per share [5].

Core Viewpoint - Carvana Co. (NYSE:CVNA) shares are experiencing a rebound after a significant drop due to allegations of inflated earnings from a short seller report [1] Group 1: Stock Performance - Carvana stock is gaining positive traction, reversing from levels around $400, which previously acted as resistance and is now turning into support [2] - The stock encountered resistance at the $125 level in May 2024, which was later broken, and when the stock returned to this level, it became support [2] - Similar patterns are observed at the $160 and $285 levels, where previous resistance levels converted into support after being broken [3] Group 2: Market Behavior - The phenomenon of resistance levels converting into support is common in financial markets, often due to seller's remorse [4] - Traders who sold at resistance levels may regret their decision when prices rise, leading them to buy back shares at the same price, thus forming support [4] - Carvana found support at the $400 level on January 2 and again recently, indicating a potential upward trend [5]

As most CFOs are probably thinking, this structure could complicate the interpretation of Carvana’s unit economics. Profit is generated not only at the point of sale of the vehicle sale but also through credit origination, securitization and intercompany arrangements, making it difficult to isolate the contribution of core retail operations from financing-driven profit.Within this structure, privately held companies controlled by the Garcia family play key roles in the broader retail and financing ecosystem ...

美国二手车网络交易平台Carvana（CVNA）周四早盘上涨2.6%，部分挽回了昨日蒙受的损失。在做空 机构哥谭市研究公司（Gotham City Research）指控其2023-2024年利润虚增超10亿美元并依赖关联方融 资后，该股周三股价下跌14%。 美国二手车网络交易平台Carvana（CVNA）周四早盘上涨2.6%，部分挽回了昨日蒙受的损失。在做空 机构哥谭市研究公司（Gotham City Research）指控其2023-2024年利润虚增超10亿美元并依赖关联方融 资后，该股周三股价下跌14%。 Carvana公司称该报告"不准确且故意误导"。 责任编辑：张俊 SF065 Carvana公司称该报告"不准确且故意误导"。 责任编辑：张俊 SF065 ...

Quick Read Carvana (CVNA) shares plunged 15% after Gotham City Research alleged undisclosed related-party transactions inflated earnings by over $1B. Gotham claims DriveTime subsidies fuel over 73% of Carvana’s adjusted EBITDA with leverage at 20x to 40x. Subprime auto loan delinquencies hit 6.74% in December. Carvana derives 26% of gross profit from subprime loan sales. Investors rethink 'hands off' investing and decide to start making real money Carvana (NASDAQ:CVNA) shares had rallied 13% in 202 ...

Core Viewpoint - Carvana is demonstrating resilience on Wall Street despite facing challenges, including a critical short report from Gotham City Research [1] Group 1: Company Performance - Carvana continues to perform well in the online used car retail market, indicating strong operational capabilities [1] - The company is navigating through market pressures and external criticisms effectively [1] Group 2: Market Context - The release of the short report by Gotham City Research highlights ongoing scrutiny and potential volatility in the used car retail sector [1] - The market reaction to Carvana's performance amidst such reports reflects investor sentiment and confidence levels [1]