Carvana jumps as record Q1 results and upbeat Q2 outlook reset expectations

Carvana is moving higher as investors digest the company’s April 29 release of record first-quarter 2026 results and a more bullish near-term setup for Q2. The company reported all-time quarterly records in retail units sold and revenue, alongside a record adjusted EBITDA figure, and then reinforced momentum with guidance calling for sequential improvement in both retail units and adjusted EBITDA in Q2—implying new company records again.

For Q1 2026, Carvana reported 187,393 retail units sold (up 40% year over year) and total revenue of $6.432 billion (up 52% year over year). Profitability also stood out: adjusted EBITDA was $672 million, which the company described as a record, and the results included meaningful GAAP profitability (net income reported at $405 million). Investors are treating the combination of scale-driven growth and record-level earnings power as a confirmation that Carvana’s operating model is delivering at higher volumes.

Beyond the beat, the key catalyst is management’s expectation for sequential increases in retail units sold and adjusted EBITDA in Q2 2026, which would set new all-time highs for both metrics. That outlook can matter more than the backward-looking print for a high-beta name like Carvana because it reframes the next quarter as an acceleration point rather than a digestion period—especially after several quarters of rapid unit growth.

The durability of today’s move will likely hinge on whether Carvana can sustain unit growth without giving back too much profitability as industry conditions shift. Investors will also focus on any sign that retail GPU headwinds or financing/loan-sale dynamics begin to pressure margins, even as volumes climb, given the stock’s sensitivity to incremental changes in profitability expectations.