Carvana Co (CVNA)vsPenske Automotive Group Inc (PAG)
CVNA
Carvana Co
$376.55
-1.58%
CONSUMER CYCLICAL · Cap: $84.54B
PAG
Penske Automotive Group Inc
$164.91
-2.90%
CONSUMER CYCLICAL · Cap: $11.17B
Smart Verdict
WallStSmart Research — data-driven comparison
Penske Automotive Group Inc generates 41% more annual revenue ($31.72B vs $22.52B). CVNA leads profitability with a 6.4% profit margin vs 2.9%. PAG trades at a lower P/E of 12.3x. CVNA earns a higher WallStSmart Score of 56/100 (C).
CVNA
Buy56
out of 100
Grade: C
PAG
Buy53
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-44.4%
Fair Value
$252.13
Current Price
$376.55
$124.42 premium
Margin of Safety
-2.0%
Fair Value
$169.87
Current Price
$164.91
$4.96 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 60 in profit
Revenue surging 52.0% year-over-year
Large-cap with strong market position
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Trading at 14.5x book value
6.4% margin — thin
Premium valuation, high expectations priced in
Expensive relative to growth rate
3.4% revenue growth
2.9% margin — thin
Operating margin of 3.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : CVNA
The strongest argument for CVNA centers on Return on Equity, Revenue Growth, Market Cap. Revenue growth of 52.0% demonstrates continued momentum.
Bull Case : PAG
The strongest argument for PAG centers on P/E Ratio, Price/Book.
Bear Case : CVNA
The primary concerns for CVNA are Price/Book, Profit Margin, P/E Ratio. A P/E of 44.2x leaves little room for execution misses.
Bear Case : PAG
The primary concerns for PAG are PEG Ratio, Revenue Growth, Profit Margin. Debt-to-equity of 1.56 is elevated, increasing financial risk. Thin 2.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
CVNA profiles as a hypergrowth stock while PAG is a value play — different risk/reward profiles.
CVNA carries more volatility with a beta of 3.55 — expect wider price swings.
CVNA is growing revenue faster at 52.0% — sustainability is the question.
PAG generates stronger free cash flow (152M), providing more financial flexibility.
Bottom Line
CVNA scores higher overall (56/100 vs 53/100) and 52.0% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Carvana Co
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
Carvana Co., operates an e-commerce platform to buy and sell used cars in the United States. The company is headquartered in Tempe, Arizona.
Visit Website →Penske Automotive Group Inc
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
Penske Automotive Group, Inc., a diversified transportation services company, operates commercial and automotive truck dealerships. The company is headquartered in Bloomfield Hills, Michigan.
Visit Website →Compare with Other AUTO & TRUCK DEALERSHIPS Stocks
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