Core Viewpoint - The market anticipates Carvana (CVNA) will report a significant year-over-year increase in earnings and revenues for the quarter ended June 2025, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - Carvana is expected to post quarterly earnings of $1.09 per share, reflecting a year-over-year increase of +678.6% [3]. - Revenues are projected to reach $4.57 billion, which is a 34% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 0.72% higher in the last 30 days, indicating a slight positive reassessment by analysts [4]. - However, the Most Accurate Estimate for Carvana is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -2.60%, suggesting a bearish outlook from analysts [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict the likelihood of actual earnings deviating from consensus estimates, with a strong predictive power for positive readings [9][10]. - Carvana's current Zacks Rank is 3, which complicates the prediction of an earnings beat [12]. Historical Performance - In the last reported quarter, Carvana exceeded expectations by delivering earnings of $1.51 per share against an expected $0.75, resulting in a surprise of +101.33% [13]. - Over the past four quarters, Carvana has beaten consensus EPS estimates three times [14]. Conclusion - While Carvana does not appear to be a strong candidate for an earnings beat based on current estimates, investors should consider other factors before making investment decisions [17].
Carvana (CVNA) Reports Next Week: Wall Street Expects Earnings Growth