GreenEngineering3475 to BusinessEnglish · 3 months agoCarvana Is Cooking Its Books, Hindenburg Research Claimsgizmodo.comexternal-linkmessage-square5fedilinkarrow-up175arrow-down11file-text
arrow-up174arrow-down1external-linkCarvana Is Cooking Its Books, Hindenburg Research Claimsgizmodo.comGreenEngineering3475 to BusinessEnglish · 3 months agomessage-square5fedilinkfile-text
The notorious short seller published a report titled “Carvana: A Father-Son Accounting Grift For The Ages.”
minus-squareTommySodalinkfedilinkEnglisharrow-up16arrow-down1·3 months agoI bought a car through them a few years ago during COVID but I’m still paying it off. I wonder what would happen if the company went under. People’s loans and shit would probably just get picked up by other companies, right?
minus-squareBassman1805linkfedilinkEnglisharrow-up22·3 months agoYes. Owning debt is an asset that will certainly be purchased when a company is liquidated.
minus-squareUnderpantsWeevillinkfedilinkEnglisharrow-up11·3 months agoThey sell their debt, primarily to Ally Financial. That’s how they generate the bulk of their operating income. So you’d still be paying.
minus-squarePlantJamlinkfedilinkEnglisharrow-up3·3 months agoSame. Based on the experience, I’ll never set foot in a dealership again.
I bought a car through them a few years ago during COVID but I’m still paying it off. I wonder what would happen if the company went under. People’s loans and shit would probably just get picked up by other companies, right?
Yes. Owning debt is an asset that will certainly be purchased when a company is liquidated.
They sell their debt, primarily to Ally Financial. That’s how they generate the bulk of their operating income. So you’d still be paying.
Same. Based on the experience, I’ll never set foot in a dealership again.