All articles tagged with #drivetime
Carvana’s stock fell about 9% after Gotham City Research accused the company of accounting irregularities and undisclosed related-party transactions, highlighting DriveTime and Bridgecrest ties and claiming earnings were overstated by more than $1 billion; the report suggests potential restatements and delays for 2023–2024 disclosures, with Carvana having not yet commented.
Gotham City Research accused Carvana of overstating 2023-2024 earnings by more than $1 billion and of heavy reliance on related-party financing from DriveTime and Bridgecrest tied to the Garcia family, sending the stock down about 14% and marking the second-worst trading day in the past year; CNBC did not verify the allegations, and Carvana's shares have been volatile since a 2022 bankruptcy scare.
Activist short seller Gotham City Research alleges Carvana overstated 2023–24 earnings by over $1 billion, linking inflated EBITDA to DriveTime and signaling possible restatements, auditor changes, and delayed filings; despite a rebound narrative and a Strong Buy consensus among analysts, the stock fell as much as 20% on the news.