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Carvana runs an online used-vehicle marketplace where customers buy, sell, and trade cars through a nationwide digital inventory and home delivery. It lets buyers complete the entire purchase process online from viewing listings to arranging delivery, with features such as a 7-day money-back guarantee. Selling or trading a vehicle is done online in seconds, streamlining the process with instant offers and vehicle pickup or drop-off options. The service relies on a strong emphasis on convenience and transparency, leveraging technology to simplify car transactions and provide a seamless ecommerce experience. Carvana differentiates itself from competitors by offering a fully online, end-to-end process with nationwide delivery, a no-hassle return policy, and quick online trade-in capabilities, backed by a customer-first approach. The company aims to make buying, selling, and trading cars as easy and transparent as possible for consumers.
Industries
Automotive & Transportation
Consumer Software
Company Size
5,001-10,000
Company Stage
IPO
Headquarters
Tempe, Arizona
Founded
2012
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Total Funding
$4.4B
Above
Industry Average
Funded Over
7 Rounds
Health Insurance
Dental Insurance
Vision Insurance
401(k) Retirement Plan
401(k) Company Match
Wellness Program
Carvana sued in carbon monoxide death of 21-year-old college student. by Skyler Shepard Thu, May 7, 2026 at 9:34 AM Updated Thu, May 7, 2026 at 11:33 AM MIAMI, FLORIDA - MAY 11: A Carvana used car "vending machine" on May 11, 2022 in Miami, Florida. Carvana Co. announced it is letting go about 2,500 workers, a few weeks after the company posted a $506 million loss in the first quarter. (Photo by Joe Raedle/Getty Images) FORT LAUDERDALE, Fla. (CBS12) - A wrongful death lawsuit filed in Broward County alleges that Carvana sold a 2015 Kia Forte with a dangerous exhaust leak to a dealership in West Palm Beach, which then sold the vehicle to 21-year-old college student Allwyn Thompson Jr., who later died from carbon monoxide poisoning. Attorneys with Morgan & Morgan announced Wednesday that Thompson was found dead on June 29, 2024, inside his Kia Forte in the parking lot of a Fort Lauderdale nightclub he had visited the night before. An autopsy determined the cause of death was carbon monoxide poisoning. According to the 68-page lawsuit, Carvana sold the vehicle to the West Palm Beach dealership, which in turn sold the car to Thompson. The complaint alleges the vehicle contained an exhaust leak that allowed lethal levels of carbon monoxide to enter the cabin, a condition that was never detected or disclosed despite multiple inspections. The lawsuit further alleges that Thompson repeatedly brought the car in for service over a seven-month period, during which the vehicle underwent four separate inspections by different entities, including the selling dealership, CaRite of Oakland Park, and outside repair companies. Despite reported engine problems and warning lights, none of the inspections allegedly identified the exhaust leak or warned Thompson of the danger. Court filings state that proper inspections should have revealed the defect through audible noise, visible exhaust damage, or basic safety testing. Attorneys argue that the repeated failures to detect or repair the leak directly led to Thompson's death, which they say was preventable. In May 2024, Thompson sought service at a Midas location in Lake Worth. The lawsuit alleges the inspection relied on a digital checklist system that did not require technicians to check for exhaust leaks or carbon monoxide risks. That system, according to the complaint, was developed by Bolt On Technology LLC and approved for use by Midas' corporate entities. The Kia was returned to Thompson on May 10, 2024. Less than two months later, he was found dead, according to the lawsuit. "Failing to detect an exhaust leak is one of the most dangerous errors an automotive technician can make," Morgan & Morgan founder John Morgan and attorney Kris Bonham said in a joint statement. "There were four separate inspections of this Kia before it killed Allwyn, and the lawsuit states that none of the defendants did their duty to protect him." The lawsuit names Carvana, the West Palm Beach dealership involved in the sale, CaRite of Oakland Park, multiple Midas entities, TBC Tire & Battery Corporation, Bolt On Technology LLC, and other inspection and repair providers as defendants. The case, Thompson v. DMM Motors LLC et al., was originally filed in 2024 and expanded in April 2026 to add additional defendants. It is pending in the Circuit Court of the Seventeenth Judicial Circuit in and for Broward County. The lawsuit seeks damages under Florida's Wrongful Death Act and demands a jury trial. Attorneys for the defendants had not publicly responded to the allegations as of Wednesday. Carbon monoxide is an odorless, colorless gas produced by vehicle exhaust, according to the Centers for Disease Control and Prevention. Safety experts warn that leaks in exhaust systems can allow the gas to accumulate inside a vehicle, even in open-air parking lots, creating a potentially deadly hazard. SPONSORED CONTENT MORE TO EXPLORE
Carvana has filed a proxy statement urging shareholders to reject a proposal separating the chairman and CEO roles ahead of its 5 May 2026 annual meeting. Simultaneously, Bank of America downgraded the stock, warning that rising oil prices and higher interest rates could pressure the company's core lower- and middle-income customers. The company's Q1 2026 earnings on 29 April will be crucial, with investors monitoring unit growth and per-vehicle profitability amid macro headwinds. Carvana has also proposed a five-for-one stock split tied to the annual meeting, potentially broadening its shareholder base as volatility increases. Carvana's internal projections forecast $40.2 billion revenue and $3 billion earnings by 2029, requiring 25.6% annual revenue growth. However, some analysts remain cautious, projecting just $26.8 billion revenue and $1.1 billion earnings by 2028.
Carvana, the online used-car retailer with a $61.6 billion market cap, has seen its shares fall 38.2% from their 52-week high of $486.89. The stock is down 31.4% year-to-date and declined 33.8% over the past three months, underperforming the broader consumer discretionary sector. The company's shares dropped nearly 8% following its Q4 2025 results on 18 February, despite strong revenue growth of 58% to $5.6 billion and 163,522 units sold. High expenses of approximately $2.16 billion hurt margins, with adjusted EBITDA of $511 million missing expectations. However, Carvana's stock has climbed 51.7% over the past 52 weeks. Analysts remain optimistic, giving it a consensus "Strong Buy" rating with a mean price target of $444.19, representing 49.6% upside.
Carvana shares are down approximately 35% year to date in 2026, despite posting record fourth-quarter results. The online used-car retailer reported revenue of $5.6 billion, up 58% year over year, driven by a 43% increase in retail units sold to over 163,000 vehicles. For full-year 2025, Carvana sold nearly 600,000 retail units, generating record revenue of $20.3 billion, up 49% from 2024. The company reported fourth-quarter net income of $951 million, boosted by a $685 million non-cash benefit from releasing its valuation allowance against deferred tax assets, signalling management's confidence in future profitability. However, investors remain cautious due to sequential weakness in profitability metrics and the stock's demanding valuation, contributing to the sharp decline alongside broader market uncertainty.
Carvana, the US e-commerce platform for used vehicles, reported record full-year 2025 revenue of $20.3 billion, up 49% year-over-year. Fourth-quarter revenue surged 58% to $5.6 billion, beating the $5.24 billion analyst estimate, whilst diluted earnings per share of $4.22 significantly exceeded the $1.11 consensus. The company sold a record 163,522 retail units in Q4, a 43% increase from the prior year. However, adjusted EBITDA of $511 million slightly missed the $535.7 million consensus due to rising vehicle reconditioning costs. Founded in 2012 and headquartered in Tempe, Arizona, Carvana operates 39 car vending machines and offers next-day delivery in over 300 markets. The company maintains $2.33 billion in cash and targets 3 million annual vehicle sales with double-digit profit margins by 2030.
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Industries
Automotive & Transportation
Consumer Software
Company Size
5,001-10,000
Company Stage
IPO
Headquarters
Tempe, Arizona
Founded
2012
Find jobs on Simplify and start your career today