Is Carvana's balance sheet in serious trouble?

Carvana's balance sheet is in serious trouble. Macroeconomic conditions that have been supporting the used car market are fast deteriorating. The company's bad inventory is expected to further weaken the Caravan's balance sheet health. Carvana ( NYSE: CVNA) a pandemic-time stock market darling, is currently a sinking ship.

Why are investors pointing to Carvana's balance sheet?

In light of the earnings miss, many investors are pointing to the balance sheet as they worry about the company’s long-term growth. Carvana doesn’t have much cash on hand, and they have $6.3 billion in debt, including $5.7 billion in senior notes. The company has consistently borrowed money to cover losses.

Does Carvana Co (cvna) pay a dividend?

The company also operates auction sites. The company was founded in 2012 and is based in Tempe, Arizona. CVNA does not currently pay a dividend. Go Premium to see ratings on CVNA peers. Is Carvana Co. (CVNA) a buy, sell, or hold?