Carvana price target raised to $11 from $5.50 at Citi

Citi analyst Ronald Josey raised the firm’s price target on Carvana to $11 from $5.50 and keeps a Neutral rating on the shares. Amid a challenging used vehicle market in Q4, Carvana reported Q4 revenue 8% below consensus as retail unit sales declined 23% year-over-year, the analyst tells investors in a research note. While visibility remains limited, Carvana ended Q4 with $3.9B of available liquidity resources, providing some flexibility as management improves its unit economics once unit volumes stabilize and a more normalized environment for used vehicles emerges, Citi contends.