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Carvana posts record Q1 growth with 40% retail unit increase and 52% revenue rise, targeting $80 price.

Company Fundamentals
17 Jun 2026
Seeking Alpha
View Source
Bullish
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Carvana reported strong Q1 2026 results with 40% year-over-year growth in retail units and 52% revenue growth, achieving a 10.4% adjusted EBITDA margin and reducing net leverage to 1.1x. Operational improvements like AI-driven logistics and centralized reconditioning are boosting efficiency and margin potential as these scale nationwide. Despite a high valuation at 31x EV/EBITDA, the company’s growth, margin expansion, and lower debt support a positive outlook amid macroeconomic and execution risks. This performance highlights Carvana's successful transition from heavy debt and cash burn to a more resilient and scalable business model.

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