CVNA Stock Movement Summary Carvana (NYSE: CVNA) experienced significant volatility following a short-seller report from Gotham City Research. The report alleged that Carvana overstated 2023-2024 earnings by over $1 billion and is excessively reliant on related parties. Gotham claimed the company's adjusted EBITDA is artificially inflated and that financial statements may require restatement, potentially leading to auditor resignation. The report also highlighted alleged issues with DriveTime's cash flow and leverage. Following the report's release, CVNA shares dropped 14%. The stock subsequently rose 6% on Thursday as Wall Street analysts defended the company. However, the stock continued declining as the short report maintained pressure on the stock ahead of the company's February 18 earnings announcement. The Rosen Law Firm initiated a securities investigation into potential claims against Carvana.
Read full analysisCVNA Stock Movement Summary Carvana (NYSE: CVNA) experienced significant volatility following a short-seller report from Gotham City Research. The report alleged that Carvana overstated 2023-2024 earnings by over $1 billion and is excessively reliant on related parties. Gotham claimed the company's adjusted EBITDA is artificially inflated and that financial statements may require restatement, potentially leading to auditor resignation. The report also highlighted alleged issues with DriveTime's cash flow and leverage. Following the report's release, CVNA shares dropped 14%. The stock subsequently rose 6% on Thursday as Wall Street analysts defended the company. However, the stock continued declining as the short report maintained pressure on the stock ahead of the company's February 18 earnings announcement. The Rosen Law Firm initiated a securities investigation into potential claims against Carvana.
Carvana Co. (CVNA) is a publicly traded company in the Broad Market sector.