{
  "docId": "019dd923-622c-750b-8b98-98685acdea95",
  "docSlug": "11e962264b36",
  "documentTitle": "Carvana Co. (CVNA)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": null,
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2019-03-01 00:00:00",
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  "pageNumber": 10,
  "pageCount": 98,
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  "slideType": "valuation_table",
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  "density": "balanced",
  "nDataPoints": 36,
  "notes": "The slide uses a bear-case valuation methodology to argue for significant downside in CVNA stock.",
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      "text": "We continue to believe that Carvana could be a zero given its significant financing risk.",
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      "kind": "metric",
      "text": "Per Share Value: $7.49",
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      "kind": "paragraph",
      "text": "Investors are taking a leap of faith in Carvana’s full year 2019 outlook given that it cannot even provide short-term visibility into the business. Nonetheless, taking consensus revenues at face value, and applying a generous 0.5x to 1.0x multiple, we derive a price target of approximately $7.50 to $19.60 per share. The largest drivers of our price target change are Carvana’s reduced revenue outlook, significantly diminished unrestricted cash, and growing unrecorded tax receivable liability. We continue to believe that Carvana could be a zero given its significant financing risk.",
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      "text": "Valuation table showing EV/Sales multiples, consensus sales, enterprise value, debt, tax liabilities, cash, equity value, shares, per share value, and downside.",
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      "kind": "title",
      "text": "Spruce Point Sees ~55%-85% Downside In CVNA At The Very Minimum, And Potentially 100% Downside In An Extreme Bear-Case Scenario",
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      "arcSlug": "overcoming-monster",
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      "evidence": "The deck presents various contradictions and concerns about Carvana's business model and management practices.",
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      "evidence": "The deck presents various data points and analysis to support the 50%-70% downside risk thesis.",
      "position": 0,
      "objective": "To reveal the true downside risk in CVNA",
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