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Carvana Just Proved This Isn’t A Dip — It’s A STRUCTURAL SHIFT!

The latest pullback in Carvana has been framed by some as a routine earnings wobble. The company missed adjusted EBITDA expectations, reconditioning costs ran hot, and margins dipped. Management called it growing pains. The market initially knocked the stock down more than 9% intraday before trimming the loss. That might sound like a standard high-growth hiccup. But look a little closer, and the story feels heavier. Beneath the headline miss sit persistent cost pressures, fragile unit economics that rely on favorable financing dynamics, and a valuation that leaves little room for error. Add to that ongoing balance-sheet complexity and renewed credibility questions following short-seller allegations, and this begins to look less like a temporary setback and more like a stress test. The selloff may not be about one quarter. It may be about whether the turnaround is structurally durable.