Carvana shares tumble after forecasting core profit below estimates
CVNA•Shares fall after profit forecast misses estimates
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Shares of online used-car retailer Carvana CVNA.N slide 14% to $57.01 after the bell
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CVNA shares down 21.72% year-to-date, as of close on Wednesday
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Co's 2026 core profit forecast of $2.7 bln to $3 bln fell short of Wall Street estimates of $2.97 bln - data compiled by LSEG
Used-car market remains strong, but margins are pressured
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While demand for used cars has remained strong, fewer new pre-owned vehicles has kept wholesale prices higher, pressuring dealer margins across the industry.
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Carvana's net income margin for the quarter through June rose marginally to 7% compared with 6.4% a year earlier.
