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Is Carvana going out of business? The 'Amazon' of cars tumbles

31 点作者 ryan_j_naughton超过 2 年前

8 条评论

c4ptnjack超过 2 年前
You gotta love how a roughly %3 decrease in year-to-year revenue leads to a %97 decrease in the stock price and an increase in the net loss from ~$30 million to ~$300 million<p>Despite the concentration of highly intelligent and educated folks who make up the stock traders of the world... they make remarkably bad bets on the future of markets more often than not.<p>I couldn&#x27;t fathom the idea of me being any better playing the market vs pros -- but this really illustrates the fact that in the long run the only effective, proven way to consistently beat the market is investing in index funds.<p>The stock market is a particularly fickle bitch and mostly zero-sum-game.
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paulbaumgart超过 2 年前
Back in April of this year, they bought my 5-year-old car for $600 more than I had paid for it new. Anecdotal, sure, but somehow I’m not surprised their business is struggling.<p>Edit: another anecdote: <a href="https:&#x2F;&#x2F;twitter.com&#x2F;willmanidis&#x2F;status&#x2F;1569763363357396994" rel="nofollow">https:&#x2F;&#x2F;twitter.com&#x2F;willmanidis&#x2F;status&#x2F;1569763363357396994</a>
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boeingUH60超过 2 年前
Note: Carvana&#x27;s founder cashed out over $3.6 billion of shares during the bull market, over double the company&#x27;s current market capitalization...he can probably buy the company using money he got from selling his shares earlier on.<p><a href="https:&#x2F;&#x2F;www.wsj.com&#x2F;articles&#x2F;ceos-dad-gets-a-3-6-billion-stock-windfall-at-carvana-11631791801" rel="nofollow">https:&#x2F;&#x2F;www.wsj.com&#x2F;articles&#x2F;ceos-dad-gets-a-3-6-billion-sto...</a>
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dang超过 2 年前
Related:<p><i>Collapse of Carvana, the &#x27;Amazon of Used Cars&#x27;, Continues</i> - <a href="https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=33678700" rel="nofollow">https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=33678700</a> - Nov 2022 (9 comments)<p><i>Carvana to cut 1,500 jobs as online auto dealer’s troubles mount</i> - <a href="https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=33658716" rel="nofollow">https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=33658716</a> - Nov 2022 (91 comments)<p><i>Carvana, which bought my car for more than I paid new, has lost 98% of its value</i> - <a href="https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=33630970" rel="nofollow">https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=33630970</a> - Nov 2022 (15 comments)<p><i>Carvana laid off 2,500 employees today via a pre-recorded message through zoom</i> - <a href="https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=31332365" rel="nofollow">https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=31332365</a> - May 2022 (27 comments)
duped超过 2 年前
Not mentioned is that they&#x27;ve been forced or sued to halt sales operations in multiple states multiple times (Colorado, Illinois, Michigan, Florida) and had reported issues in California, Texas (among others, these are just the ones I remember). I believe it&#x27;s all been for the same reason - in most states, car dealers have to send you a title within a certain time frame (like 30 days) of the purchase, and Carvana has been incapable of doing that.<p>This is total speculation, but it seemed like they were purchasing cars and selling them before they had titles on them. I believe some people never received their titles. I wonder how many of them were stolen vehicles fenced through a startup too concerned with scale to comply with the law.
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highwayman47超过 2 年前
I never understood what was so special about this business. It&#x27;s a used car dealership.
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drumhead超过 2 年前
I was listening to a podcast where a car dealer was talking about Caravana. They weren&#x27;t really checking the cars they were buying properly so people were selling them any old junk and the company was paying top dollar for it. It sounds like a classic case of mis-pricing. I don&#x27;t think the company will last too long.
nunez超过 2 年前
That&#x27;s unfortunate. We purchased a car from Carvana and it was an awesome experience.