Carvana (CVNA) ended the recent trading session at $251.63, demonstrating a +1.68% swing from the preceding day's closing price. The stock's performance was ahead of the S&P 500's daily loss of 0.76%. Meanwhile, the Dow lost 0.28%, and the Nasdaq, a tech-heavy index, lost 1.2%.

Shares of the company have appreciated by 39.69% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 7.49% and the S&P 500's gain of 2.71%.

The upcoming earnings release of Carvana will be of great interest to investors. The company's earnings report is expected on February 19, 2025. In that report, analysts expect Carvana to post earnings of $0.25 per share. This would mark year-over-year growth of 125%. Meanwhile, the latest consensus estimate predicts the revenue to be $3.34 billion, indicating a 37.81% increase compared to the same quarter of the previous year.

Investors might also notice recent changes to analyst estimates for Carvana. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Carvana is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, Carvana currently has a Forward P/E ratio of 92.91. Its industry sports an average Forward P/E of 21.8, so one might conclude that Carvana is trading at a premium comparatively.

The Internet - Commerce industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 71, this industry ranks in the top 29% of all industries, numbering over 250.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

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