Barclays Highlights Carvana (CVNA) Momentum in Used Vehicle Market Despite Sluggish New Sales

Carvana Co. (NYSE:CVNA) is one of the best US stocks to buy and hold in 2026. On January 21, Barclays analyst John Babcock raised the firm’s price target on Carvana to $530 from $465 and kept an Overweight rating. As part of its Q4 outlook, the firm updated its targets for the auto retail sector, generally lowering estimates due to sluggish new vehicle sales. Despite these pressures on unit volume, recent industry checks point to strong continued momentum in the used vehicle market.

Earlier on January 15, BTIG increased its price target for Carvana Co. (NYSE:CVNA) to $535 from $450, while maintaining a Buy rating. This update follows a survey of nearly 2,000 consumers regarding their attitudes toward purchasing used vehicles entirely online and their specific views on Carvana.

The firm highlighted that the findings were overwhelmingly positive across all primary metrics. At an industry-wide level, the data showed that consumer openness to fully online car purchases grew 1.5x between June and December. BTIG estimates this shift alone expands Carvana’s serviceable market by 3.5 million to 4 million units.

Carvana Co. (NYSE:CVNA), together with its subsidiaries, operates an e-commerce platform for buying and selling used cars in the US.

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Disclosure: None. This article is originally published at Insider Monkey.