With this update, the company now expects adjusted EBITDA for Q2 to come in above $50 million. It’s also looking for non-GAAP total gross profit per unit to increase 63% year-over-year (YOY) to $6,000.
Carvana also points out that its loans sold or securitized quarter-to-date are sitting at roughly $2 billion. To put that in perspective, the company’s loans sold or securitized quarter-to-date as of May 4, 2023 was $1.3 billion.
Ernie Garcia, founder and CEO of Carvana, said the following in a news release:
“Our record-breaking 2023 first quarter is evidence that our strategy is working, and our updated Q2 2023 outlook demonstrates that our progress continues to positively impact the business even faster than expected […] The team’s persistent focus on driving profitability has resulted in significant savings and efficiencies, and this work will persist as we continue to execute our plan.”
How This Is Affecting CVNA Stock Today
With the new outlook for Q2 2023, shares of CVNA stock are seeing heavy trading. As of this writing, more than 34 million shares have changed hands. That’s a massive surge compared to the company’s daily average trading volume of about 16.7 million shares.
CVNA stock is up 27.3% as of Thursday morning and up 327.7% since the start of the year.
Investors looking for even more of the most recent stock market news will want to keep reading!
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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.