TL;DR
Total insider activity: Over $40 million in transactions across three key executives within one week.
July 2-8, 2025
Carvana Co. (NYSE: CVNA) witnessed significant insider trading activity totaling over $40 million across multiple company executives and major shareholders, as the used car retailer’s stock trades near its 52-week high of $364.
Garcia Family Orchestrates Major Divestitures
Ernest C. Garcia II, a ten percent owner of Carvana, executed the largest transaction, selling $35.3 million worth of Class A Common Stock on July 8, 2025.
The sales occurred at weighted average prices ranging from $343.47 to $363.50 per share, capitalizing on the stock’s proximity to all-time highs.
The transaction involved converting 100,000 Class A Common Units into Class A shares, followed by selling 47,474 shares.
Garcia II also cancelled 100,000 Class B shares for no consideration, suggesting strategic restructuring of ownership positions.
CEO’s Trusts Add to Selling Pressure
Ernest Garcia III, Carvana’s Chief Executive Officer, contributed additional selling through family trusts on July 3rd and 7th. The Ernest Irrevocable 2004 Trust III and Garcia III Multi-Generational Trust combined to sell $4.78 million worth of Class A shares.
Trust sales occurred at prices ranging from $339.06 to $353.15 per share. Following these transactions, the trusts maintain substantial positions with 684,562 and 784,562 shares respectively, while Garcia III directly owns 924,384 shares.
Executive Demonstrates Confidence
Contrasting with the Garcia family’s selling, Chief Product Officer Daniel J. Gill demonstrated confidence by acquiring shares on July 7, 2025.
Gill purchased 7,100 shares at $10.07 through stock option exercises while simultaneously selling at $350 per share, suggesting strategic portfolio management.
Market Context and Strategic Timing
The timing proves noteworthy given Carvana’s exceptional performance. Shares have delivered 179-182% returns over the past year, with the company valued at approximately $75 billion.
The stock currently trades at $364, near its 52-week high.
All transactions were executed under Rule 10b5-1 trading plans adopted December 13, 2024, indicating pre-planned sales rather than reactive decisions. This systematic approach suggests strategic portfolio diversification rather than negative sentiment about Carvana’s prospects.
Analyst Sentiment Remains Positive
Despite significant insider selling, Wall Street analysts maintain bullish sentiment. Recent updates include:
- Citi raising its price target to $415
- Stephens increasing targets to $375
- Citizens JMP maintaining Market Outperform with a $440 target
Positive coverage reflects confidence in Carvana’s technology platform, unit sales growth of 40-45% year-over-year, and market positioning.