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Is Carvana Really Going Bankrupt?

TheMotleyFool

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Bankruptcy is a legal proceeding that occurs when a company is unable to meet its debt obligations and needs to be restructured -- a process that usually results in common stockholders being completely wiped out.

Let's discuss three reasons why online used car dealership Carvana (NYSE: CVNA) could be on the path to this unfortunate scenario.

Like many e-commerce companies, Carvana performed well during the height of the COVID-19 pandemic, with revenue soaring by 42% and 129% in 2020 and 2021, respectively.

Source Fool.com

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