Carvana Co. ( CVNA ) shares are trading higher Monday, and the stock is up more than 10% in the past five days. Here's a look at what's going on.

What To Know:

Last Thursday, Carvana ( CVNA ) provided an update on its operating plan and capital structure and highlighted its first-quarter financial results as the best in company history and growth in retail units of 16% year-over-year.

The company also said it repurchased $250 million of 2028 Senior Secured Notes during the second quarter and raised $350 million of equity capital through its at-the-market (ATM) program. Carvana ( CVNA ) said it expects these actions to lead to approximately $55 million of interest expense savings in 2026 and $620 million less debt outstanding at year-end 2026.

Following the announcement, JMP Securities analyst Nicholas Jones maintained Carvana ( CVNA ) with a Market Outperform rating and raised the price target from $135 to $150. JP Morgan also maintained its Overweight rating on Carvana ( CVNA ) and raised the price target from $130 to $150 Monday.

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CVNA Stock Prediction 2024:

Equity research analysts on and off Wall Street typically use earnings growth and fundamental research as a form of valuation and forecasting. But many in trading turn to technical analysis as a way to form predictive models for share price trajectory.

Some investors look to trends to help forecast where they believe a stock could trade at a certain point in the future. Looking at Carvana ( CVNA ), an investor could make an assessment about a stock's long term prospects using a moving average and trend line. If they believe a stock will remain above the moving average, which many believe is a bullish signal, they can extrapolate that trend into the future using a trend line. For Carvana ( CVNA ), the 200-day moving average sits at $60.63, according to Benzinga Pro, which is below the current price of $106.24. For more on charts and trend lines, see a description here.

Traders believe that when a stock is above its moving average, it is a generally bullish signal, and when it crosses below, it is a more negative signal. Investors could use trend lines to make an educated guess about where a stock could trade at a later date if conditions remain stable.

CVNA Price Action: According to Benzinga Pro, Carvana ( CVNA ) shares are up 3.04% at $109.80 at the time of publication Monday.

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