Carvana's Stock Price Jumps On The Company's Debt Restructuring Plan

(Justin Sullivan/Getty Images)

Cruisin’

Carvana, still eyeing massive growth, climbs on earnings beat

The used car retailer announced its second-quarter earnings after the market close on Wednesday.

7/30/25 4:18PM

Used car retailer Carvana reported its second-quarter earnings after the bell on Wednesday, and the company’s ambitious growth plan is still hitting the gas.

Carvana reported earnings per share of $1.28 on revenue of $4.84 billion and profit of $308 million, beating expectations on every metric. Analysts polled by FactSet expected earnings of $1.17 per share on revenue of $4.58 billion and profit of $267 million.

Carvana shares climbed over 11% in after-hours trading.

The second quarter was the first to feel the effect of tariffs, which experts have expected to ultimately boost used car sales, due to the new vehicle price hike. Carvana sold 143,280 retail units on the quarter, up 41% from last year’s 101,440 units. Wall Street expected more than 142,300 used retail sales.

Rapid expansion is Carvana’s goal: last quarter, the retailer said it’s aiming to sell 3 million retail units annually within 5 to 10 years. That’s more than 5x the figure Wall Street expects Carvana to reach this year (about 566,000 units). To achieve its lofty target, Carvana will need to maintain annual sales growth of between 18% and 43%, implying significant expansion of its market share.

Carvana’s retail success gets it closer to its rival CarMax, which sells significantly more used vehicles to customers despite having a market share of more than $60 billion less than Carvana’s. CarMax sold more than 230,000 retail units in its first quarter, which ended in May.

Justice Department accuses telehealth Zealthy of fraud, says remedy may bankrupt it

The feds say they don’t think Zealthy has the liquidity to pay what it owes customers.

J. Edward Moreno4/14/26

Hyunsoo Rim, J. Edward Moreno

bottling it

4/13/26

Americans aren’t drinking as much Mexican beer — that’s not been good for Constellation

The nation’s largest beer importer by sales just saw a 10-year growth streak come to an abrupt end.

Will investing in kids games finally make Netflix Games “the Netflix of games”?

Netflix is launching a game for preschoolers, its latest foray into stuff-you-play instead of stuff-you-watch.

Claire Yubin Oh4/10/26

Max Knoblauch4/9/26

American Airlines joins the flock, hiking bag fees amid higher jet fuel prices

American Airlines on Thursday announced that it, too, will be hiking the fees it charges customers to check luggage.

With the move, all four of the major US airlines, which together control about 80% of the US market, have now hiked their baggage fees in recent days amid surging jet fuel prices.

The change will go into effect on tickets bought on or after Thursday, the same day Southwest’s hike begins.

Since late March, JetBlue, Delta Air Lines, United Airlines, Canada’s WestJet, and Southwest have hiked their fees. Experts expect more major carriers to follow, and to potentially tweak the pricing of other ancillary revenue sources like seat assignments and carry-on luggage.

American Airlines updates bag fees and Basic Economy fares

The change will go into effect on tickets bought on or after Thursday, the same day Southwest’s hike begins.

Max Knoblauch4/9/26

Less than a year after implementing them, Southwest is also hiking its bag fees

Southwest Airlines has joined the growing list of airlines opting to hike their bag fees amid sustained higher jet fuel costs.

Starting today, the first checked bag at the carrier — which implemented bag fees less than a year ago — will jump from $35 to $45, and the second from $45 to $55. Southwest quietly disclosed the change Tuesday.

Southwest assigned the decision to “part of an ongoing analysis of the business and against the evolving global backdrop.”

As of Wednesday, jet fuel prices dropped to $4.16 a gallon, per the Argus US Jet Fuel Index, down from $4.81 on Tuesday following President Trump’s ceasefire announcement, which sent travel stocks soaring. Major airlines have shed some of those gains in premarket trading Thursday.

With the move to hike bag fees, Southwest joins JetBlue, United Airlines, Delta Air Lines, and Canada’s WestJet, all of which also boosted fees this month. Experts expect more major carriers to follow, and to potentially tweak the pricing of other ancillary revenue sources like seat assignments and carry-on luggage.

Three US airlines have already hiked baggage fees. More are likely on the way.