Carvana shares rise on Wednesday: What’s behind it? – Carvana (NYSE:CVNA)

Carvana Co CVNA Shares are trading higher on Wednesday. The company has introduced a new, streamlined shopping experience. Needham also upgraded the stock.

What happened: Carvana announced on Wednesday the launch of new features that will make purchasing used electric vehicles or plug-in hybrids easier and more accessible for its customers.

The company’s new, streamlined process highlights vehicles that qualify for the Clean Vehicle Tax Credit and allows eligible customers to claim the savings at checkout. Customers can now easily save up to $4,000 on the vehicle price up front.

“Carvana has always believed that we can use technology to make the car buying process simpler, more transparent and more accessible for our customers. By integrating the federal tax credit directly into our e-commerce experience, we are providing greater convenience and savings for the growing portion of our customers interested in purchasing electric vehicles,” said Daniel Gill, Chief Product Officer at Carvana.

Carvana said the company has been selling electric vehicles since 2013 and continues to expand its electric vehicle lineup to meet customer demand across a range of price points.

Needham analyst Chris Pierce upgraded Carvana to buy from hold on Wednesday morning and set a price target of $160. Pierce joins a growing list of analysts who have commented on the stock since the company provided an update on its operating plan and capital structure at William Blair’s annual growth stock conference in early June.

Analysts at JMP Securities and JPMorgan recently raised their price targets to $150 from $135 and $130, respectively. Evercore raised its price target to $135 from $118, while Wedbush and Needham reiterated their neutral ratings.

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CVNA Price Promotion: Carvana shares have risen about 137% since the beginning of the year, with shares up 4.06% at $130.80 at the time of publication, according to Benzinga Pro.

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