Overview
- Bank of America, which downgraded Carvana to Neutral on Monday, cited costlier gasoline and rising two‑year Treasury yields as the main near‑term risks.
- Analysts warned that higher short‑term rates can narrow Carvana’s financing profit, since the company earns less on the gap between what its loans bring in and what funding those loans now costs.
- Fuel spikes threaten demand from younger buyers who use Carvana’s app most, with the bank noting nearly 44% of users are under 35 and feel pump prices more acutely.
- Gordon Haskett sees first‑quarter revenue tracking above Wall Street’s forecast, though its data show March unit growth slowed compared with earlier in the quarter.
- Shares have fallen roughly 25% in 2026 after a big 2025 rally, while many firms still model long‑term growth and keep average price targets well above current levels as investors wait for April 29 results.