Carvana Co. cash flow to debt ratio of 18.76% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Carvana Co.'s free cash flow has increased 7.50% from $827.00M last year to $889.00M, signaling increasing performance

Carvana Co.'s debt to equity ratio is 1.40, which means that the company's assets are unhealthy financed, signaling financial risk.

Carvana Co.'s debt has decreased relative to shareholder equity from 4.80 last year to 1.40 today, signaling strengthened financials

Carvana Co. has negative EBITDA, making leverage ratio unreliable

Carvana Co.'s interest coverage ratio of 5.29 indicates that earnings with good margin can cover interest payments on company debt

Carvana Co.'s profit margin has increased (307.42%) in the last year from 1.54% to 6.26%, signaling increasing performance

Carvana Co.'s short-term assets of $6.55B exceed its short-term liabilities of $1.52B

Carvana Co.'s return on assets of 10.78% is higher than the 5.00% threshold, indicating efficient asset utilization

Carvana Co.'s return on equity of 46.57%, is higher than 15.00%, indicating good performance

Carvana Co.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Carvana Co. had positive net income in 3 out of 5 years, indicating stable and consistent earnings

Carvana Co. has positive free cash flow, indicating the company generates cash after capital expenditures

Carvana Co. has a free cash flow yield of 1.09%, which is below the 2.00% threshold, indicating limited cash return relative to market value

Carvana Co.'s yearly earnings has increased 570.00% since last year from $210.00M to $1.41B, signaling increasing performance

Carvana Co.'s yearly revenue has increased 48.63% since last year from $13.67B to $20.32B, signaling increasing performance

ROIC -66.88% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

Carvana Co.'s 3-year revenue CAGR of 14.31% is positive, indicating growing revenue over the past 3 years

Carvana Co. had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Carvana Co. had positive ROE in 3 out of 5 years, indicating consistent and reliable returns on equity

Carvana Co. has insufficient data to evaluate this check.

Carvana Co. has an earnings yield of 2.95%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Carvana Co. is overvalued relative to its fair value price of 4.27 based on EBITDA multiple model

Carvana Co. has negative or missing EBITDA, making EV/EBITDA ratio unreliable

Carvana Co. is overvalued relative to its fair value price of -2.61 based on Earnings Fair Value model

Carvana Co. had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Carvana Co. has a price-to-book ratio of 10.36x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Carvana Co. has a price-to-sales ratio of 2.12x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue