Carvana may have to start shaking some change out of its car vending machines.
After a pandemic-era surge in sales, shares of Carvana exploded from a low of $29 to a peak of $360. But after the company still failed to turn a consistent profit, investors bailed, sending shares tumbling to $15. Now, sitting on inventory they paid too much for and facing a used car recession, is Carvana going bust?
It sure looks that way. Even if they get a cash injection, it’s difficult to see how a company that couldn’t turn a profit at the best of times can weather 2023.
– Chris Butsch, Contributor
