Why Carvana Stock Is Plummeting Today
Shares of Carvana (NYSE: CVNA) are sinking in Friday's trading. The company's share price was down 13.2% as of 12:30 p.m. ET, according to data from S&P Global Market Intelligence.
Carvana stock is losing ground following a report published by Forbes detailing irregularities surrounding one of the company's former reconditioning vendors, HyperSport Industries. According to the report, HyperSport would submit duplicate invoices to Carvana for lone painting and repair jobs.
Forbes' recent report on HyperSport suggests that the company was linked with Carvana and notes that a relationship was never detailed or mentioned in any public filings or statements. According to Carvana employees, HyperSport technicians worked with Carvana technicians at more than a dozen inspection and reconditioning centers. The Carvana employees also stated that one of the company's managers had an ownership interest in HyperSport -- and that there was an improper incentive structure that promoted duplicate billings and reliance on the vendor for repairs and supplies.
Source Fool.com
Carvana Co. Stock
The stock is an absolute favorite of our community with 57 Buy predictions and no Sell predictions.
With a target price of 81 € there is a positive potential of 23.91% for Carvana Co. compared to the current price of 65.37 €.
